KLCI inches higher at mid-morning, brushes off concerns after Bersih rally

KUALA LUMPUR (April 30): The FBM KLCI brushed off events over last weekend arising from the Bersih 3.0 rally and inched higher on Monday, in line with the gains at most regional markets, lifted by select blue chips in early trade.

At 10am, the FBM KLCI was up 3.64 points to 1,571.44.

Gainers led losers by 184 to 151, while 202 counters traded unchanged. Volume was 183.93 million shares valued at RM115.43 million.

Asian shares inched higher on Monday as weaker-than-expected U.S. growth data left open the possibility for more monetary stimulus from the Federal Reserve, but trading will likely be subdued with Japanese and Chinese markets closed, according to Reuters.

Global stocks ended higher on Friday on strong earnings reports, while the dollar dipped as data showed growth in the U.S. economy cooled in the first quarter to a 2.2% annual growth rate, below a 2.5% forecast, feeding views that the Fed could ease policy further to boost growth, it said.

At the regional markets, Hong Kong’s Hang Seng Index rose 1.12% to 20,973.80, South Korea’s Kospi added 0.44% to 1,984.09, while Singapore’s Straits Times index fell 0.20% to 2,975.60 and Taiwan’s Taiex shed 0.27% to 7,460.38.

Maybank Investment Bank Bhd in a market strategy note Monday maintained its Neutral stance on the FBM KLCI and said it expects the market to continue pricing in political concerns ahead of the 13th General Elections (13GE).

It said last Saturday's Bersih 3.0 rally had thrown up the possibility of the 13GE being deferred.

“On the external front, renewed concerns over the Eurozone imply heightened volatility again for equity markets.

“Against such a backdrop, we expect domestic equities to stay range bound ahead of the 13GE, and advise investors to stay selective in their picks,” it said.

BIMB Securities Research said on Monday that in the US solid corporate earnings, improving economic growth and employment had kept investors upbeat on equities hence the higher closing for the Dow Jones Industrial Average at 13,228 (+24 points).

Meanwhile European bourses all closed higher possible on a rebound after an eventful week, it said.

“We believe this as a lull before the storm as the situation in Spain is ripe for traders to manufacture more volatility ahead.

“To recap, the country recently was downgraded by the S&P and recently reported its unemployment rate of 24.4% for 1Q12 should become as a main target to derail sentiments, it said.

The research house said Asian markets were weaker possibly spooked by the situation in Spain amid profit taking activities.

“Locally, the FBM KLCI fell almost 12 points to 1,567 ahead of the Bersih 3.0 Rally as investors continue to pare down their holdings.

“We believe outlook for the local bourse has deteriorated for the 2Q12 unless corporate earnings for the 1Q excel. Next support is seen at 1,560,” it said.

Among the gainers on Bursa Malaysia at mid-morning, Chin Teck added 29 sen to RM9.30, Aeon Credit and Petronas Dagangan up 22 sen each to RM10.38 and RM19.28, Tasek 21 sen to RM8.76, UMW and Carlsberg 14 sen each to RM7.97 and RM11.62, Genting PLANTATION []s 13 sen to RM9.52, Toyo Ink and KLK 12 sen each to RM1.53 and RM23.82, while Petra Energy added 11 sen to RM1.27.

Utopia was the most actively traded counter with 178.28 million shares done. The stock was unchanged at 8.5 sen.

Other actives included DRB-Hicom, XDL, CSL, Berjaya Corp. Daya Materials, Metronic and Oversea.

Decliners included PacificMas, Bumi armada, Dutch Lady, IJM Plantations, Sarawak Plantations, Batu Kawan, GAB and Gadang.



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KLCI gains on US, Europe updates

KUALA LUMPUR (April 25) : Malaysians stocks rose in tandem with Asian peers following a stronger close across US markets in overnight trade. Global markets have responded positively to improving US corporate earnings and housing sector updates, apart from firm demand for European government bonds.

Analysts said investors will watch for clues of further quantitative easing (QE) by US policymakers to sustain the world’s largest economy. Signs of a further QE may spur global equities while an opposite indication could result in profit taking, they said.

“Selling pressures on Asian equities may abate today after Wall Street’s performance last night,” HwangDBS Vickers Research Sdn Bhd wrote in a note.

At 9.59am, the FBM KLCI added 1.13 points to 1,583.41. Across the exchange, some 372 million shares worth RM188 million were traded, leading to 222 gainers versus 138 decliners.

Top gainers UMW HOLDINGS BHD [] rose 18 sen to RM7.83, while Panasonic Manufacturing Malaysia Bhd was up 16 sen to RM22.30.

Among decliners, UMS HOLDINGS BHD [] fell 20 sen to RM1.60 while PPB GROUP BHD [] was down 12 sen to RM16.66.

Among actively-traded stocks, RAMUNIA HOLDINGS BHD [] added one sen to 41 sen with some 15 million shares done.

Across Asia, Japan’s Nikkei 225 rose 1% to 9,562.62 points while South Korea’s Kospi was up 0.34% to 1,970.11. The Australian exchange is closed for a public holiday.



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UMW extends gains after Maybank IB Research upgrade

KUALA LUMPUR (April 25): UMW HOLDINGS BHD [] extended its gains on Wednesday after Maybank Investment Bank Bhd Research had upgraded the stock to a Buy from Hold on Monday and raised its target price to RM8.35 (from RM6.95).

At 9.38am, UMW rose 17 sen to RM7.82 with 80,600 shares done.

Maybank IB Research in a note on Monday said it had upgraded UMW, ahead of recoveries at the automotive and O&G sectors, and on the back of a 10-11% rise in 2012-13 net profit forecasts.

“The disruption to the regional auto supply chain has abated while its O&G segment is at the cusp of a revival.

“ With market already absorbing the anticipated weak 1Q12 earnings and its 2011 kitchen-sinking exercise, UMW now offers a recovery play angle with modest growth (3-year EPS CAGR of 20%) and undemanding valuations, supported by a decent dividend yield (6%),” it said.



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UMW advances following upgrade

KUALA LUMPUR (April 24): UMW HOLDINGS BHD [] shares advanced on Tuesday after Maybank Investment Bank Bhd Research upgraded the stock to a Buy from Hold and raised its target price to RM8.35 (from RM6.95).

At 4pm, UMW rose 16 sen to RM7.70 with 4.49 million shared done.

Maybank IB Research in a note on Monday said it had upgraded UMW, ahead of recoveries at the automotive and O&G sectors, and on the back of a 10-11% rise in 2012-13 net profit forecasts.

“The disruption to the regional auto supply chain has abated while its O&G segment is at the cusp of a revival.

“ With market already absorbing the anticipated weak 1Q12 earnings and its 2011 kitchen-sinking exercise, UMW now offers a recovery play angle with modest growth (3-year EPS CAGR of 20%) and undemanding valuations, supported by a decent dividend yield (6%),” it said.



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Stocks to Watch Bursa, China Stationery, UMW, CMMT, Naim

KUALA LUMPUR (April 19): Economic and political factors, besides weakening technical indicators, could dictate the direction of Malaysian stocks on Friday, as investors evaluate the impact of global economic data against domestic pre-election sentiment.

Analysts said the on-going European debt crisis and slower growth in China, apart from the anticipation of Malaysia's coming general election, could lead to persistent selling pressure in the FBM KLCI.

The FBM KLCI of 30 stocks erased earlier gains to finish in the red at 1,596.62, down 2.24 points on Thursday.

Stocks to watch on Friday are BURSA MALAYSIA BHD [], China Stationery Ltd, UMW HOLDINGS BHD [], Capitamalls Malaysia Trust (CMMT) and Naim Holdings Bhd.

Bursa posted flat profit growth in the first quarter (1Q), as the stock exchange operator's lower operating expenses mitigated the impact of less revenue during the period. Bursa said its net profit rose 0.7% to RM40.77 million in the quarter ended March 31, 2012 from RM40.49 million a year earlier, while revenue fell 4.8% to RM110.52 million from RM116.11 million.

Regulators have queried China Stationery on the unusual trading patterns of the company's shares. The company said it was not aware of any factors contributing to the rise in the price and volume of the stock. China Stationery also said it had no plans to declare an interim dividend nor undertake a dual listing in Hong Kong.

AmResearch Sdn Bhd had raised its earnings forecast for UMW, an automotive and oil and gas support services entity, by up to 25% for financial years ending Dec 31, 2012 to 2014. AmResearch also revised upwards its target price for the stock by 31% to RM8.90 from RM6.80, and upgraded the shares to a "buy" from "hold".

CMMT's 1Q net profit rose 10% from a year earlier, as the retail-based Real Estate Investment Trust (REIT) registered higher revenue, following the inclusion of the East Coast Mall in Kuantan to the group's portfolio. CMMT said net profit came to RM34.44 million against RM31.44 million previously, while revenue was up 36% to RM71.4 million from RM52.68 million.

Real estate developer and builder Naim is diversifying into the healthcare business via a collaboration with KPJ HEALTHCARE BHD []. Both Naim and KPJ will set up a joint venture company on 30% and 70% basis respectively to construct and operate a hospital in Miri, Sarawak.



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AmResearch upgrades UMW to Buy, raises fair value to RM8.90

KUALA LUMPUR (APRIL 19): AmResearch Sdn Bhd has upgraded UMW HOLDINGS BHD [] to a Buy from hold previously, and raised its fair value to RM8.90 (from RM6.80).

In a note April 19, the research house said its sum-of-parts- derived valuation implied 12 times FY12F earnings (vs. 10x previously) to reflect an earnings re-acceleration which could test record highs from this year onwards.

“We raise earnings by 20%-25% over FY12F-14F to factor in:- (1) Higher auto sales; (2) Higher O&G earnings; and (3) Improved margins at the equipment division.

“After a kitchen sinking year in FY11, we believe earnings have reached an inflection point. Consensus earnings have been downgraded 7%-23% over the past 12 months, and we believe the earnings revision cycle has bottomed,” it said.

AmResearch said its forecasts were now 11% above street estimates and consensus earnings upgrades are a key re-rating catalyst.

It said a fresh mass model line-up, i.e. Avanza, IMV models and the high margin CKD Camry in June, coupled with stronger margins via a stronger Ringgit and improved plant economies of scale will drive a re-acceleration of UMW’s auto earnings (FY12F: +20%).

“We project a Toyota+Lexus TIV of 92,953 units (+5% YoY). Toyota sales are trending against industry (+7% YTD vs. Industry’s -13%).

“March growth momentum is likely to gain traction given:- (1) Recovery from supply crisis; (2) Huge order backlog of 4-6 months’ waiting list; and (3) A more than doubling of Camry annual sales. From a valuation stand-point,

The research house said UMW was a blue-chip laggard, having underperformed the market run-up over the past 6 months.

At 10.5 times FY12F earnings, UMW is trading at a 25% discount to the historical average of 14 times, it said.



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Stocks to watch UMW, Protasco and Cypark

KUALA LUMPUR (March 31): Profit taking might chip off some gains from the FBM KLCI next week after the index came very near to surpass its all-time high on the final trading day of the first quarter of 2012 last Friday.

The local index advanced in line with the positive sentiment at global markets.

World stock markets advanced o n Friday, posting double-digit gains for the quarter, as economic reports showing U.S. consumer spending and sentiment still on the rise helped buoy stock prices and undercut the desire to hold bonds, according to Reuters.

MIDF Research head of equity Syed Muhammed Kifni said that as expected, buying support emerged late Friday on account of quarterly window dressing.

The benchmark FBM KLCI recorded a fresh 2012 year high of 1,596.33 points but nonetheless it failed to break, by a whisker, the all-time high of 1,597.08 points.

Syed Muhammed said he anticipates the market to trade lower early next week as some investors could be cashing in on Friday’s price rise.

However, he said that the underlying market sentiment should remain positive as the liquidity flow into the market is expected to stay healthy.

He said the positive money flow was expected to continue to be sustained by the relentless ‘risk-on’ mood among the foreign funds.

Syed Muhammed said Bursa data showed that they foreign funds) have been net buyers of the local equity market for the past 30 consecutive trading days until last Thursday, and the streak may well continue unbroken next week.

“Hence we are sanguine on the ability of the KLCI to retest its all-time high of 1,597.08 points towards the later part of next week.

“Technically, we pegged the immediate resistance and support levels for FBM KLCI next week at 1,600 points and 1,585 points respectively,” he said.

Among the stocks that could be in focus are UMW HOLDINGS BHD [], PROTASCO BHD [] and CypARK RESOURCES BHD [].

Petroliam Nasional Bhd has extended its oil and gas services contract with UMW by another two years in a deal valud at about US$105 million RM321.8 million).

UMW said on Friday that it would continue to offer its jack-up drilling rig known as “Naga 3” to Petronas Carigali Sd Bhd which is the exploration arm of the national oil company from March 222 this year till March 21, 2014.

Protasco will offer its expertise to the Kuala Lumpur City Hall under a five-year agreement from March 30, 2012 to Marc 29, 2017.

Protasco will be offering to engineering and capacity building services to the KL City Hall.

Cypark could continue to advance and extend it gains from Friday on its upbeat outlook for solid waste management and renewable energy business.



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Petronas extends contract with UMW

KUALA LUMPUR (March 30) : Petroliam Nasional Bhd (Petronas) has extended its oil and gas support services contract with UMW HOLDINGS BHD [] by another two years in a deal valued at about US$105 million (RM321.8 million)

In a statement to the exchange on Friday, UMW said it will continue to offer its jack-up drilling rig known as “Naga 3” to Petronas Carigali Sdn Bhd which is the exploration arm of the national oil company from March 22 this year till March 21, 2014.

“The contract extension is expected to contribute positively to the earnings and net assets of UMW for the financial years from 2012 to 2014,” UMW said.



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Stocks to watch: Plantations, Supercomnet, TDM, Poh Kong

KUALA LUMPUR (March 27) : PLANTATION [] stocks could be a highlight for Malaysian stocks on Wednesday as investors weigh the effects of pre-election sentiment in the country against world economic growth concerns.

Malaysian crude palm oil (CPO) futures rose to a fresh high of RM3,485 a tonne on Tuesday in anticipation of declining oil palm output against higher demand for the commodity.

As plantation firms make up about a fifth of the FBM KLCI’s weightage, improving sentiments on CPO prices could give a lift to the stock market gauge.

However, analysts said “shrinking volume and cautious sentiment” in the stock market ahead of the country’s general election may curb the FBM KLCI’s advance.

The FBM KLCI of 30 stocks rose 5.12 points to close at 1,588.1 on Tuesday.

Stocks to watch on Wednesday include plantation stocks, Supercomnet Technologies Bhd, TDM BHD [] and POH KONG HOLDINGS BHD []. Other counters which could see trading interest are UMW HOLDINGS BHD [], STAR PUBLICATIONS (M) BHD [] and CAHYA MATA SARAWAK BHD [] (CMSB).

Supercomnet Technologies Bhd, whose share price fell on Tuesday after surging on Monday, stated Mohd Nazifuddin Mohd Najib was not taking up the option to purchase an 18.66% stake in the company.

TDM Bhd has proposed a final dividend of 18.5 sen per share, tax exempt for the financial year ended Dec 31, 2011.

Poh Kong, a jeweller, said its net profit rose 31% to RM12.43 million in the second quarter ended Jan 31, 2012 from RM9.52 million a year earlier as the jeweller raked in higher sales against the backdrop of rising gold prices.

RHB Research Institute has revised upwards its earnings forecast for UMW by between 0.8% and 1% for financial years ending Dec 31, 2012 to 2014, besides raising its target price for the stock from RM6.70 to RM7.30.

Star Publications’ shares will go ex-dividend on Wednesday. The company dad declared a second interim dividend of nine sen a share for financial year ended Dec 31, 2011.

CMSB and Rio Tinto plc have called off plans to jointly establish an aluminium smelter in Sarawak as electricity-supply details for the project could not be finalised.



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UMW shares rise on earnings and target price upgrade

KUALA LUMPUR (March 27) : UMW HOLDINGS BHD [] shares rose as much as 1.1 % or 8 sen to RM7.29 in morning trade on Tuesday after RHB Research Institute raised its earnings forecast and fair value for the company.

In a note on Tuesday, RHB said it has revised upwards its earnings forecast for UMW by between 0.8% and 1% for financial years ending Dec 31, 2012 to 2014. The research house has raised its target price for the stock from RM6.70 to RM7.30.

“UMW is set for a better year operationally and is unlikely to be encumbered by provisioning that has blighted earnings in the past two years. UMW’s share price is expected to be well supported by a reasonably attractive dividend yield," RHB said.

UMW shares were traded at RM7.23 as at 9.18am.



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KLCI stays in the black at mid-day break, Asian markets mostly in the red

KUALA LUMPUR (March 23): The FBM KLCI edged up 1.32 points to 1,584.56 at the mid-day break on Friday, lifted by gains including at Genting, Hong Leong Bank, KL Kepong and Petronas Gas.

Gainers trailed losers by 198 to 434, while 326 counters traded unchanged. Volume was 1.27 billion shares valued at RM614.23 million.

Asian shares fell on Friday and growth-linked currencies such as the Australian dollar were shunned after data showing shrinking factory activity in China and the euro zone heightened concerns about a slowdown in the global economy, according to Reuters.

At the regional markets, Japan’s Nikkei 225 fell 1.03% to 10,022.80, Hong Kong’s Hang Seng Index fell 0.96% to 20,701.50, the Shanghai Composite Index lost 0.68% to 2,359.57, Taiwan’ Taiex fell 0.15% to 8,047.84 and South Korea’s Kospi shed 0.02% to 2,025.65, while Singapore’s Straits Times Index was up 0.40% to 2,991.25.

On Bursa Malaysia, Jaya Tiasa rose 65 sen to RM8.34, BAT up 50 sen to RM53.80, Genting added 22 sen to RM10.98, Lipo rose 16 sen to RM1.20, Hong Leong Bank 12 sen to RM12.20, Dutch lady 10 sen to RM30.70, UMW and Subur Tiasa up nine sen each to RM7.22 and RM2.58, whiel KLK and Petronas Gas added eight sen each to RM23.90 and RM16.60.

Ingenuity Solutions was the most actively traded counter with 118.6 million shares done. The stock fell one sen to 12 sen.

Other actives included SAAG, Ariantec, Trinity, Metronic, Flonic, Astral Supreme, and Utopia.

Decliners in the morning session included Ta Win Holdings, QSR shares and warrants, Media Prima, Knusford, Coastal Contracts, SapuraCrest, KAf, Kein Hin and Deleum.



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KLCI stays in the black at mid-morning, lifted by select blue chips

KUALA LUMPUR (March 23): The FBM KLCI stayed in positive territory at mid-morning on Friday, while most key regional markets were mired in the red following the weaker overnight close at European and US markets on worries of a slowdown in the world economy.

At 10am, the FBM KLCI rose 1.55 points to 1,584.79, lifted by gains at select blue chips including BAT, Genting, Hong Leong bank and KLK.

Gainers trailed losers by 171 to 198, while 259 counters traded unchanged. Volume was 704.78 million shares valued at RM225.39 million.

Meanwhile, most Asian shares fell on Friday and the safe-haven yen gained after data showing shrinking factory activity in China and the euro zone heightened concerns about a slowdown in the global economy, acco0rding to Reuters.

At the regional markets, jaoan;s Nikkei 225 fell 1.07% to 10,019.00, Hong Kong’s Hang Seng Index lost 1.08% to 20,675.00, the Shanghai Composite Index shed 0.66% to 2,360.08, Taiwan’s Taiex lost 0.26% to 8,039.14 and South Korea’s Kospi was down 0.25% to 2,020.98, while Singapore’s Straits Times Index rose 0.28% to 2,987.71.

Maybank Investment Bank Bhd head of retail research and chief chartist Lee Cheng Hooi in a note to clients the KLCI closed 0.71 points higher on Thursday, at 1,583.24.

“Its resistance areas of 1,585 and 1,594 may cap market gains, whilst the firmer support areas are located at 1,567 and 1,583. Due to the US markets’ weaker tone last night, we could be in for a range-bound day,” he said.

BIMB Securities Research in a note Friday said traders are at it again and we believe any forthcoming negativity will be amplified exponentially. At present they are citing slower global growth as a major concern hence the prevailing selling on equities.

Despite a four-year low in unemployment claims, the Dow Jones Industrial Average declined 78.5 points to hang precariously just above the psychological 13,000 mark. For the same reason, European bourses also suffered similar fate from broad based selling as all ended up in the red, it said.

The research house said the sea of red spread to Asia as well with only a handful posted gains and one of them being the KLCI showed great resilience at 1,583 (+0.7).

“We were again astounded by the buying on the local bourse spearheaded by the foreign side as net foreign participation was a positive RM87 million. Maybe today would be the day that the index may retrace with the immediate support seen at 1,580,” it said.

On Bursa Malaysia, Jaya Tiasa was the top gainer and rose 52 sen to RM8.21, BAT up 50 sen to RM53.80, Genting up 16 sen to RM10.94, Lipo added 16 sen to RM1.20, UMW and Batu Kawan gained 12 sen to RM7.25 and RM18.7.

Kobay rose 10.5 sen to 89.5 sen, Hong leong Bank and Subur added 10 sen each to RM12.18 and RM2.59 while KLK gained eight sen to RM23.90.

SAAG was the most actively traded counter with 12.7 million shares done. The stock gained half a sen to eight sen.

Other actives included Trinity, Ingenuity Solutions, Ariantec, Metronic, Flonic, Astral Supreme and Iris Corp.

Meanwhile, the decliners at mid-morning included Ta Win Holdings, SMPC, Carlsberg, Deleum, AMMB, Kein Hin, Sarawak PLANTATION []s, Tenaga and KYM.



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Stocks advance in early trade, boost from Genting

KUALA LUMPUR (March 23): Blue chips started Friday on a firm note, despite the weaker regional markets, boosted by gains in GENTING BHD [] and Petronas Gas.

At 9.08am, the FBM KLCI was up 2.32 points to 1,585.56. Turnover was 192.74 million shares valued at RM42.05 million. Advancers led decliners 85 to 66 while 132 stocks were unchanged.

CIMB Equities Research said in its technical outlook that the KLCI continued to hang on above the rising wedge resistance-turned-support trend line yesterday. It seems that prices could still make one more push, possibly towards its previous swing high of 1,597 before a deeper correction would take place.

“However, sustainability is the key concern here. If the candles fail to hold on above the 1,575 level, then it would invite selling pressure in days to come. Falling below 1,550 would eliminate all bullish potential in the near term,” it said in its technical report.

Among the blue chips, BAT was up 32 sen to RM53.62 with 100 shares done while PetGas added 18 sen to RM16.70 with 200 units done.

Genting added 14 sen to RM10.90, UMW 12 sen to RM7.25 while Nestle added eight sen to RM55.98 and Sime Darby five sen to RM9.78.

Lipo jumed 15 sen to RM1.19 and Kobay nine sen to 88 sen. Kobay is acquiring full control of its 53.16% subsidiary Lipo via a selective capital reduction and repayment exercise.

Kobay requested Lipo to reduce the paid-up by cancelling one share for every RM1 paid by Lipo to shareholders as capital repayment. All entitled shareholders will receive a cash payment amounting to RM1.25 per Lipo share under the proposed SCR.



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KLCI stays above 1,570-level at mid-day

KUALA LUMPUR (March 14): The FBM KLCI remained in positive territory at the mid-day break on Wednesday and stayed above the 1,570 level in line with the positive sentiment at key regional markets.

Asian markets extended their gains from the morning on the back of a firmer overnight close at Wall Street and were given an added impetus after most of the largest U.S. banks passed their annual stress test, according to the Federal Reserve, in a conservative report card that underscored the recovery of the financial sector but called out a few laggards, including Citigroup.

The Fed announced the results in an earlier-than-expected release on Tuesday. JPMorgan Chase pulled the trigger on announcing its own glowing marks before the Fed's release, and helped lift the stock market, according to Reuters.

At 12.30pm, the KLCI was up 9.20 points to 1,573.22. Gainers led losers by 427 to 221, while 318 counters traded unchanged. Volume was 630.98 million shares valued at RM701.74 million.

The ringgit weakened 0.20% to 3.0044 versus the US dollar; crude palm oil futures for the third month delivery rose RM45 per tonne to RM3,337, crude oil added 32 cents per barrel to US$107.90 while gold rose US$5.18 an ounce to US$1,704.95.

At the regional markets, Japan's Nikkei 225 rose 1.74% to 10,071.70, Hong Kong’s Hong Seng Index rose 1.28% to 21,613.40, the shanghai Composite Index added 0.74% to 2,474.07, South Korea’s Kospi gained 1.34% to 2,052.22 and Singapore’s Straits Times Index was up 1.14% to 3,023.10.

At Bursa Malaysia, BAT added RM1.18 to RM53.98, Aeon 39 sen to RM9.50, GAB 20 sen to RM13.44, Toyo Ink 19 wen to RM1.63, United PLANTATION []s and Shell 18 sen each to RM25 and RM10.18, Jaya Tiasa 14 sen to RM7.60, UMW 12 sen to RM7.24, Panasonic and Johore Tin 12 sen each to RM22.20 and RM1.33.

Naim Indah Corp was the most actively traded counter with 99.9 million shares done. The stock fell 1.5 sen to 67 sen.

Other actives included astral Supreme, Euro Holdings, YTL, Sing Heng Chan, Tiger Synergy, Hwatai and Camres.

Meanwhile, decliners in the morning session included Tahps, Sunchirin, Warisan, Scientex, BOnia, MIlux, APB and Batu Kawan.



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KLCI up 0.6% at mid-morning

KUALA LUMPUR (March 14): The FBM KLCI rose at mid-morning on Wednesday, in line with the improved sentiment at key regional markets following the firmer overnight close at Wall Street.

At 10am, the 30-stock index was up 9.18 points to 1,573.20. Gainers led losers by 326 to 106, while 223 counters were traded unchanged. Volume was 246.15 million shares valued at RM221.51 million.

Asian shares rose on Wednesday as upbeat US economic data boosted investors' risk appetite, while reduced expectations for further monetary easing from the Federal Reserve underpinned the dollar, according to Reuters.

At the regional markets, Japan’s Nikkei 225 rose 1.92% to 10,089.60, Hong Kong's Hang Seng Index gained 0.96% to 21,544.50, the Shanghai Composite Index edged up 0.18% to 2,460.12, Taiwan’s Taiex rose 0.60% to 10,489.60, South Korea’s Kopsi rose 1.28% to 2,051.03 and Singapore’s Straits Times Index added 0.95% to 3,017.49.

BIMB Securities Research said US stocks climbed sharply overnight, pushing the major averages to multi-year highs since 2007 backed by stronger US economy; improved retail sales and recovering banking sector.

The S&P 500 rose 1.8 percent to 1,395.95 while the Dow added 217.97 points to 13,177.68. The rally picked up speed in the final hour after JPMorgan Chase boosted its dividend and announced a US$15 billion buyback, said the research house.

Over in Europe, shares climbed to their highest in more than seven months boosted by encouraging economic data from Germany and the US.

“Domestically, the FBM KLCI closed flat (on Tuesday) just below the 1,565 support level; nonetheless net foreign trading participation remains positive at RM77.7 billion," it said.

BIMB Research said the strong rally over in US and Europe might boost sentiment on the local market and it expected the KLCI might test the immediate 1,570.

On Bursa Malaysia, BAT was the top gainer, up RM1.48 to 54.28, Hwatai 19.5 sen to 74 sen, Toyo Ink 19 sen to RM1.63, Genting PLANTATION []s 17 sen to RM9.40, UMW 16 sen to RM7.27.

Shell and Tasek gained 10 sen each to RM10.10 and RM8.70, while Ta Ann and AirAsia added nine sen each to RM5.69 and RM3.63.

Sin Heng Chan, which fell earlier following a query by Bursa Malaysia Securities over its unusual market activity on Tuesday, rose 16 sen to RM1.25,

Naim Indah Corp was the most active counter with 43.99 million shares done. The stock fell three sen to 65.5 sen.

Other actives included Euro Holdings, FFHB, Sinh Heng Chan, Winsun, Silver Bird, Hwatai, YTL and CAM Resources.

Decliners included Quality Concrete, Sunchirin, MISC, LTKM, Gadang, PFCE, UPA Corp and Selangor Dredging.



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KLCI jumps in early trade, boost from Wall St, regional mkts

KUALA LUMPUR (March 14): Stocks on Bursa Malaysia advanced in early trade as investors’ appetite for equities perked up following the strong overnight close on Wall Street and firmer regional markets.

Reuters reported that Asian shares rose, as upbeat US economic data boosted investors' risk appetite, while reduced expectations for further monetary easing from the Federal Reserve underpinned the dollar.

U.S. stocks rallied on Tuesday as stronger-than-expected retail sales and signs of easing in the euro zone were signals the global economy was gaining momentum. The Dow Jones industrial average was up 104.08 points, or 0.80 percent, at 13,063.74. The Standard & Poor's 500 Index was up 11.10 points, or 0.81 percent, at 1,382.19. The Nasdaq Composite Index was up 29.63 points, or 0.99 percent, at 3,013.29.

At Bursa Malaysia, the FBM KLCI was up 8.95 points to 1,572.97. Turnover was 94.76 million shares valued at RM72.11 million. There were 235 gainers, 41 losers and 123 stocks unchanged.

Among the gainers were Nestle, up 70 sen to RM57 while BAT added 58 sen to RM53.38, UMW 19 sen to RM7.30 while Public Bank and Genting advanced 10 sen each to RM13.76 and RM10.88. KLK rose eight sen to RM23.34 and Maxis seven sen to RM5.97.



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KLCI pauses in line with regional markets

KUALA LUMPUR (March 12): The FBM KLCI slipped at mid-morning on Monday in line with the cautious sentiment at most regional markets.

Asian shares fell on Monday as investors paused to assess the effect of strong U.S. jobs data, which scaled back expectations for more easing ahead of this week's Federal Reserve meeting, while concerns over China's slowdown also weighed on sentiment, according to Reuters.

The FBM KLCI shed 0.90 of a point to 1,578.10 at 10am, weighed by losses at select blue chips.

Gainers led losers by 219 to 165, while 221 counters traded unchanged. Volume was 310.96 million shares valued at RM194.03 million.

At the regional markets, Japan’s Nikkei 225 was up 0.25% to 9,955.00, Hong Kong’s Hang Seng Index edged up 0.01% to 21,087.90, the Shanghai Composite Index added 0.09% to 2,437.29, , and Singapore’s Straits Times Index added 0.15% to 2,967.70, while South Korea’s Kospi fell 0.40% to 2,010.20, Taiwan’s Taiex was down 0.07% to 8,010.31.

Maybank Investment Bank Bhd head of retail research and chief chartist Lee Cheng Hooi in a note to clients on Monday said The FBM KLCI lost 4.78 points and closed at 1,579.00 last Friday.

The weaker support areas for the FBM KLCI are in the 1,530 to 1,572 zone, he said.

“The next resistance levels of 1,579 and 1,597 may see heavy liquidation activities,” he said.

On Bursa Malaysia, decliners at mid-morning included Sunchirin that fell eight sen to RM1.40, Petronas Chemicals down sevens sen to RM6.77. Media Prima, KLK and Kulim lost six sen each to RM2.65, RM23.34 and RM4.20 respectively, whiel Bursa and Public Bankl fell four sen each to RM7.38 and RM13.70,

Naim Indah Corp was the most actively traded counter with 83.4 million shares done. The stock added six sen to 70.5 sen.

Other actives included HLS Corp, HWGB,Key West, and Hubline.

Gainers included Petrol One that rose 30 sen to RM1.15, Ekovest up 21 sen to RM2.78. Nice 15.5 sen to 51 sen, Tecnic 15 sen to RM3.85, Lafarge Malayan Cement and Bonia 12 sen each to RM7.37 and RM2.64, P.I.E 11 sen to RM4.75, UMW 10 aen to RM7.30 and NWP eight sen to 24 sen.



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Market Commentary

The FBM KLCI index lost 15.08 points or 0.95% on Wednesday. The Finance Index fell 0.82% to 14089.39 points, the Properties Index dropped 0.69% to 1050.54 points and the Plantation Index down 0.52% to 8600.14 points. The market traded within a range of 12.87 points between an intra-day high of 1585.30 and a low of 1572.43 during the session.

Actively traded stocks include NICORP, HWGB, SILVER, HWGB-WB, CSL, AMEDIA, ENVAIR, KEYWEST, GOCEAN and TECFAST. Trading volume increased to 1742.64 mil shares worth RM2030.26 mil as compared to Tuesday’s 1288.12 mil shares worth RM1792.17 mil.

Leading Movers were ARMADA (+3 sen to RM4.23), UMW (+3 sen to RM7.19), RHBCAP (+4 sen to RM7.76), PETDAG (+4 sen to RM18.50) and MMHE (+2 sen to RM5.32). Lagging Movers were SIME (-19 sen to RM9.80), CIMB (-11 sen to RM7.31), GENTING (-18 sen to RM10.74), MAYBANK (-8 sen to RM8.71) and YTL (-6 sen to RM1.69). Market breadth was negative with 283 gainers as compared to 476 losers. -- JF Apex Securities Bhd



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UMW renews partnership with Mercy Malaysia

UMW Holdings Bhd today renewed its partnership with Mercy Malaysia, providing the non-profit organisation over RM1.8 million in funds and more than 3,000 hours in manpower support.

The group also launched the new Employee Payroll-Deduction Scheme in benefit of Mercy Malaysia during a signing ceremony between UMW Holdings President/Group Chief Executive Officer Datuk Syed Hisham Syed Wazir and Mercy Malaysia President Datuk Dr Ahmad Faizal Mohd Perdaus here.

"More than 11,000 people have benefited from programmes implemented under the UMW-Mercy Malaysia partnership since it was formalised in December 2008," Syed Hisham said.

The programmes include mobile clinic missions which provide free basic medical screening, pap smear tests, dental treatment, eye examination and free reading glasses for those living in remote areas.

Fire safety and flood relief efforts, as well as intervention groups for alcohol misuse are also conducted as part of partnership agreement.

"From 2009 to 2011, UMW provided Mercy with approximately RM1.2 million in financial support for its Sabah and Sarawak chapter activities, which included Toyota vehicles and this year, UMW will offer financial support for Mercy Johor activities and Disaster Risk Reduction programmes for people with disabilities
in Selangor," he said.

Syed Hisham said UMW will be handing over two new Toyota vehicles (Hilux and Innova) to Mercy, bringing to a total of five vehicles for the purpose of carrying out Mercy Malaysia's community health programmes which will now will cover Sabah,Sarawak, Johor, Selangor and Kuala Lumpur.

Meanwhile, Dr Ahmad said the Labour Department had approved the Employee Payroll-Deduction Scheme and the non-profit organisation could apply the same template with other interested corporations as well. -- Bernama



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UMW expects higher revenue, profit

UMW Holdings Bhd expects its revenue and profit to increase by five per cent to eight per cent this year bolstered by higher contribution from its automotive segment.

President and group chief executive officer, Datuk Syed Hisham Syed Wazir, said the group planned to launch new and facelift models this year and they were expected to boost demand.

"We just launched the new Toyota Avanza, Prius and Prius C. We will launch the new Camry in June and facelift Vios soon," he told Bernama after a parnership signing ceremony between UMW Holdings and Mercy Malaysia here today.

UMW Group is an international conglomerate that develops industries, manages partnerships and facilitates growth in automotive, equipment, manufacturing and oil and gas sector.

Meanwhile, in a statement, UMW Holdings said it expected UMW Toyota and Perodua to sell a total of 281,000 cars this year, a 3.9 per cent increase, or 10,560 cars, compared with last year.

The group also expected the revenue of the oil and gas segment to improve this year and it was currently in discussion with few parties pertaining to collaboration in oil and gas, manufacturing, engineering and equipment, it said.

It said operating profit of the oil and gas segment was expected to improve this year in consideration of a full-year contribution from Naga 3 as well as higher day-rates for its land righs, Ghazal 3 and 4 as well as a full-year contribution from Ghazal 5.

Profits would also improve further with the installation and commissioning of equipment and facilities for the Garraf Power Plant in Iraq which was expected to substantially completed this year, it said.

UMW Holdings' pre-tax profit for financial year ended Dec 31, 2011 rose by 5.2 per cent to RM1.381 billion from RM1.313 billion in the same period the previous year.

Revenue increased by 5.7 per cent to RM13.556 billion from RM12.280 billion previously. -- Bernama



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