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Retail Market Monitor
www.uobkayhian.com.sg 15 August 2012
Market News
The FSSTI was up 0.8% to 3,087.8, led by gains on regional
bourses. Noble Group gained 12.1% to S$1.25 after posting a
39.3% rise in quarterly net profit. The broader market saw
278 gainers and 119 losers, with trading value amounting to
S$5.3b.
US stocks ended flat, as positive retail sales data was offset by
a report that Greece was looking for an extension to
implement austerity measures. The DJIA gained 0.02% to
13,172 and the S&P 500 index fell 0.01% to 1,404. Commerce
Department data showed that US retail sales grew 0.8% in
July, breaking a string of three straight monthly declines.
Stocks on the move…
City Developments – 2Q12: Steady Sales But Cautious
Outlook Ahead
(CIT SP/HOLD/S$11.83/Target: S$11.85)
Results slightly below expectations…
Ho Bee Investments – 2Q12: Diversifying Its Risks
(HOBEE SP/BUY/S$1.25/Target: S$1.86)
Results in-line…
S’pore Telecommunications – 1QFY13: Slowdown In
Mobile Business In Singapore And Australia
(ST SP/SELL/S$3.39/Target: S$3.22)
SingTel reported net profit below our forecast…
ST Engineering – 2Q12: Excluding Several One-offs, Net
Profit Rises 7.5% yoy
(STE SP/BUY/S$3.31/Target: S$3.78)
Revenue, operating and net profit all improved yoy…
Ezra Holdings (EZRA SP, 5DN) –
Technical BUY with +11.8% potential return
The stock has broken above its mid Bollinger band…
Yangzijiang Shipbuilding Holdings (YZJ SP, BS6) –
Technical BUY with +13.7% potential return
The stock has broken above its trend line…
Noble Group (NOBL SP, N21) –
Technical SELL with +6% potential return
The Stochastics are in the overbought region and a bearish
crossover could be formed…
Last close: 3,087.8 (+0.8%)
Source: NextView
Current View:
A break above 3,090 is likely to test 3,140…
• The FSSTI staged a strong rebound with comparatively
higher trading volume in the last trading session. A break
above 3,090 is likely to test 3,140, a resistance level
mentioned from 6 Aug 12. Thus, the gap created on 8 Aug 11
could be closed and the bearish divergence with its price
oscillator could be temporarily negated for now.
Support: 2,970
Resistance: 3,140
In the last trading session…
• The FSSTI gained 23pts and opened higher at 3,065.8. The
intraday range was from 3,064.9 to 3,088.5.
• Within the FSSTI 30 stock components, Noble Group
(+12.1%) and Olam (+6.0%) led the gainers while City
Developments (-1.3%) and CapitaMall (+1.0%) lost ground.
• Regional bourses ended higher…
HSI (+1.1%) closed at 20,291.7
SSEC (+0.3%) closed at 2,142.5
ASX (+0.2%) closed at 4,317.4
Key dates for SG Economics
15 August Retail Sales (MoM & YoY)
17 August Electronic Exports (YoY)
17 August Non-oil Domestic Exports (MoM & YoY)
23 August CPI (MoM & YoY)
23 August Automobile COE Open Bid
Source: Bloomberg