Daily Morning Note – 1 Oct 2020
Asian stocks were set for modest gains at the start of the year’s final quarter though volumes may be subdued Thursday with many markets closed for holidays. U.S. shares earlier finished higher after a volatile session.
Futures in Japan and Australia climbed. S&P 500 contracts were flat. The U.S. index climbed 0.8%, paring gains of as much as 1.7% after Treasury Secretary Steven Mnuchin said there had been no agreement on pandemic relief, though talks would continue. Speculation a deal was in the works kept the benchmark at a two-week high. The dollar declined and Treasury yields ticked higher.
Sembcorp Marine (SMM) shares rose 2.8 per cent on Wednesday following Keppel Corporation‘s Vision 2030 update on Tuesday which included the commencement of a strategic review of its offshore and marine (O&M) segment. While declining to disclose specific details, Keppel’s chief executive officer Loh Chin Hua said that “all options are available to the group” – including the merger of Keppel O&M with rival SMM, as well as a complete divestment of the segment.
Fintech startup SOCASH has announced a partnership with OCBC to provide the bank’s customers with more cash withdrawal points. The Singapore-based startup will also serve as the cash management and distribution solution to the lender’s retail and small and medium enterprise (SME) customers, it said.
Capitaland Retail China Trust (CRCT) will be expanding its investment strategy beyond the retail sector to include assets that are used for office and industrial purposes, CRCT’s manager announced on Wednesday. It will focus on long-term investment in a “diversified portfolio of income-producing real estate and real estate-related assets in China, Hong Kong and Macau”. This includes assets used primarily for retail, office and industrial purposes including business parks, logistics facilities, data centres and integrated developments.
Mainboard-listed Hong Leong Asia‘s subsidiary, Airwell Air-Conditioning Technology, will be disposing assets for a total cash consideration of 141 million yuan (S$28.3 million) and will wind up and dissolve following the disposal. Airwell Air-Conditioning has entered into a sale and purchase agreement with Taicang Loucheng High-tech Group to sell a property in China, including its land use rights, home ownership rights and the facilities and assets.
Keppel Reit‘s trustee has priced S$150 million of fixed-rate subordinated perpetual securities at 3.15 per cent, the real estate investment trust (Reit) manager announced on Wednesday.These will be consolidated and form a single series with the existing S$150 million perps issued on Sept 11. The new perps are expected to be issued on Oct 7, and listed on the Singapore bourse on or around Oct 8, the Reit manager said.
Environmental protection solutions provider Sunpower Group has entered a strategic cooperation agreement with Sichuan Yongxiang in a bid to solidify its position in serving the renewable energy industry. Sichuan Yongxiang primarily manufactures and distributes chemical products such as high-purity crystalline silicon and electronic grade polysilicon.
Source: SGX Masnet, The Business Times, Bloomberg, Channel NewsAsia, Reuters, PSR
Capitaland Mall Trust
Analyst: Chua Wei Ren
Recommended Action: Technical SELL
Capitaland Mall Trust (SGX: C38U) has been on a range bound in a form of a larger corrective flat waves since the strong impulse down move in March 2020. To add on, the recent technical indicate a stronger downside to come.
Webinar Of The Week
Date: 28 September 2020
Updates summarised in 3 minutes
|The information contained in this email and/or its attachment(s) is provided to you for information only and is not intended to or nor will it create/induce the creation of any binding legal relations. The information or opinions provided in this email do not constitute an investment advice, an offer or solicitation to subscribe for, purchase or sell the e investment product(s) mentioned herein. It does not have any regard to your specific investment objectives, financial situation and any of your particular needs. Accordingly, no warranty whatsoever is given and no liability whatsoever is accepted for any loss arising whether directly or indirectly as a result of this information. Investments are subject to investment risks including possible loss of the principal amount invested. The value of the product and the income from them may fall as well as rise. You may wish to seek advice from an independent financial adviser before making a commitment to purchase or investing in the investment product(s) mentioned herein. In the event that you choose not to do so, you should consider whether the investment product(s) mentioned herein is suitable for you. PhillipCapital and any of its members will not, in any event, be liable to you for any direct/indirect or any other damages of any kind arising from or in connection with your reliance on any information in and/or materials attached to this email. The information and/or materials provided 揳s is?without warranty of any kind, either express or implied. In particular, no warranty regarding accuracy or fitness for a purpose is given in connection with such information and materials.|
|This e-mail and its attachment(s) may contain privileged or confidential information, which is intended only for the use of the recipient(s) named above. If you have received this message in error, please notify the sender immediately and delete all copies of it. If you are not the intended recipient, you must not read, use, copy, store, disseminate and/or disclose to any person this email and any of its attachment(s). PhillipCapital and its members will not accept legal responsibility for the contents of this message. Thank you for your cooperation.|