ASEAN KEY DESTINATIONS
Asean Stock Watch- June 7
The Dow Jones Industrial Average fell 61.30 points, or 0.5 percent, to finish at 12,089.96
The S&P 500 slipped 13.99 points, or 1.08 percent, to end at 1,286.17 The Nasdaq composite declined 30.22 points, or 1.11 percent, to close at 2,702.56. Crude oil closed at USD 98.77 a barrel, while gold settled at USD 1,545.10 an ounce.
Share prices on Bursa Malaysia finished easier Monday as losses in plantation and finance stocks pressured the broader market.
At 5pm, the FTSE Bursa Malaysia Kuala Lumpur Composite Index (FBM KLCI) ended the day 7.71 points lower at 1,552.14 after opening 3.61 points lower at 1,556.24.
A dealer said CIMB shed four sen to RM8.30 and RHB Capital dropped five sen to RM9.93 but Maybank, which gained two sen to RM8.74, helped cushion overall losses.
He said gains in Sime Darby and IJM, however, managed to lend some support to the market.
Another dealer said there was not much to expect from the market this week as most investors were away for the school holidays.
The Finance Index dropped 21.449 points to 14,480.61, the Plantation Index eases 7.89 points to 7,793.50 and the Industrial Index shed 3.55 points to 2,746.18.
The FTSE Bursa Malaysia Emas Index declined 46.02 points to 10,649.70 and the Ace Index erased 28.49 points to 4,199.02.
Losers outpaced gainers by 454 to 261 while 316 counters were unchanged and 431 others were untraded.
Total turnover increased to 635.332 million shares, worth RM972.527 million, compared with last Friday's 581.943 million shares valued at RM1.038 billion.
Among active stocks, Tejari Technologies was unchanged at seven sen but KNM eased seven sen to RM1.92 and Ho Wah Genting dropped three sen to 42.5 sen.
Among heavyweights, Tenaga fell four sen to RM6.95 while Public Bank and Hong Leong Bank were both flat at RM13.12 and RM12.56, respectively.
Volume on the Main Market dropped to 442.103 million shares, valued at RM944.511 million, from 452.437 million shares, valued at RM1.018 billion, on Friday.
Turnover on the ACE Market increased to 149.433 million units, worth RM19.85 million, compared with last Friday's 84.374 million units worth RM14.350 million.
Warrants fell to 42.655 million units, valued at RM7.85 million, from 43.967 million units, valued at RM5.81 million, registered previously.
Consumer products accounted for 29.414 million shares traded on the Main Market, industrial products 125. 406 million, construction 24.615 million, trading and services 130.817 million, technology 17.203 million, infrastructure 5.321 million, finance 41.791 million, hotels 359,000, properties 49.971 million, plantations 12.743 million, mining 23,000, REITs 4.397 million and closed/fund 41,000.
Philippine share prices on Monday tumbled for the second consecutive session as the weak US jobs data and expectations of rising inflation weighed on investor sentiment. At the Philippine Stock Exchange, the composite index fell 38.72 points, or 0.90 percent to 4,258.90, while the broader all-shares index lost 23.01 points, or 0.76 percent to 2,997.58.
Losers beat gainers, 80 to 51, while 47 issues were unchanged. A total of 2.68 billion stocks worth P2.93 billion changed hands.
“With US jobs data disappointing last Friday, the downward pressure was too much for the local stock market to resist,” said Prince Anthony Yeung of AB Capital Securities Inc.
“With very little to hinge trading decisions on, investors’ focus remained on the poor economic numbers from the US last week, particularly the evident weakness in the jobs sector,” said Jun Calaycay of Accord Capital Securities Inc.
A slowdown in US employment added proof that the recovery in the world’s biggest economy is weakening, sending Asian markets lower. On Friday, the Dow Jones Industrial Average lost 97.29 points, or 0.80 percent to 12,151.26.
Expectations of higher consumer prices in May also weighed on investor sentiment, triggering another sell off.
“The prospect of inflation topping the government’s 3-percent to 5-percent target range heightened the possibility of a third interest rate hike when the Monetary Boards sits for the fourth time this year,” said Calaycay.
The PSEi may once again try its support near 4,200, depending on the actual inflation numbers, which will be released Tuesday, and how the market will see interest rates moving forward to next week’s Bangko Sentral ng Pilipinas meeting, he added.
Asian currencies were mostly down in holiday-thinned trade Monday also because of the latest US jobs data.
At the Philippine Dealing System, the peso moved sideways to close at 43.21, or 5 centavos weaker than 43.205 last week.
The dollar-peso pair opened at 43.12 and moved to a high of 43.21 and a low of 43.12. Total trading volume eased to $483.01 million from last week’s $665.84 million.
Traders expect the dollar-peso exchange to trade at 42.80 to 43.50 range within the week.
Singapore shares opened lower on Tuesday, with the benchmark Straits Times Index at 3,103.01 in early trade, down 0.30 percent, or 10.72 points.
Around 89.2 million shares exchanged hands.
Losers beat gainers 95 to 35.
On Monday Singapore shares closed lower, with the benchmark Straits Times Index at 3,113.73, down 1.02 percent, or 31.94 points.
About 979.4 million shares exchanged hands.
Losers beat gainers 329 to 92.
The Stock Exchange of Thailand (SET) composite index on Monday lost 11.70 points, or 1.11 percent, to close at 1,046.16 points. The market value was 18.47 billion baht, with 3.27 billion shares traded.
The SET100 index ended the session at 1,593.07 points, down 20.25 points, or 1.26 percent, with a total trade value of 13.57 billion baht.
The SET50 index dropped 9.61 points, or 1.30 percent, to stay at 730.25 points, with a total transaction value of 10.23 billion baht.
The Market for Alternative Investment (mai) index fell 2.24 points, or 0.76 percent, to stay at 294.35 points, with a total turnover of 1.53 million baht.
Top five most active values were as follows;
JAS closed at 3.06 baht, up by 0.16 or 5.52 percent.
BBL closed at 155.50 baht, down by 3.00 or 1.89 percent.
PTT closed at 343.00 baht, down by 4.00 or 1.15 percent.
RAIMON closed at 1.20 baht, up by 0.06 or 5.26 percent.
SCB closed at 107.00 baht, down by 3.00 or 2.73 percent.
The VN-Index yesterday plunged by 2.2 percent to close at 433.81 points. The value and volume of trades on the HCM City Stock Exchange halved from last Friday's session to VND419.8 billion (US$20 million) on a volume of 22.9 million shares.
Losers outnumbered gainers by 117-90. Of the 10 leading shares by capitalisation, only Phu My Fertilisers (DPM), property developer Hoang Anh Gia Lai (HAG) and Sacombank (STB) closed unchanged, while food producer Masan Group (MSN) and real estate developer Vincom (VIC) hit their floor prices and five others lost between 0.9-4 per cent.
"The downtrend was less precipitous in the final minutes of the session, as insurer Bao Viet Holdings (BVH) recovered from bottoming out and other codes followed," stated Stoxplus Financial Media Co analyst Dang Anh.
Real estate shares were also particularly active yesterday, with many reaching their ceiling prices, including Thu Duc Housing Development (TDH), Licogi (LCG), Dream House Investment (DRH), Petro Capital Infrastructure Investment (PTL) and Vien Nam Land Investment (VNI), according to analysts of ACB Securities Co, who noted that real estate shares now accounted for about 20 percent of the entire market in terms of capitalisation.
Saigon Securities Inc (SSI) continued as the most-active share, with 2 million traded.
Profit-taking continued heavy, Anh said, predicting a market decline in the medium term as no real surge of capital has materialised.
"In fact, foreign investors play a very important role in market movements, but they are only willing to disburse in a deeply depressed market," she said. "In contrast, individual Vietnamese investors are relatively passive during market upheavals." Foreign investors were net buyers on both national bourses yesterday, but their combined net buys slumped 79.4 per cent from last Friday to VND22.4 billion (US$1.07 million).
On the Hanoi Stock Exchange yesterday, the HNX-Index also declined by 0.4 percent to end the session at 73.60 points. The value slumped to VND346.5 billion ($16.5 million) on a volume of 30.6 million shares.
PetroVietnam Construction (PVX) was the most-active share nationwide, with 3.6 million traded.
"Many investors have set their expectations for June, when the economy may be more stable and create an opportunity for the stock market," Anh said, adding "the issue of foreign exchange rates, foreign currency supplies, and gold are also under control, while the increase in consumer price index has begun to slow.
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