Daily Morning Note – 14 Aug 2019

WEEKLY MARKET OUTLOOK WEBINAR

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PHILLIP SUMMARY

A Trump Administration decision to delay the imposition of tariffs on goods imported from China set off a huge rally Tuesday that reclaimed most of Monday’s losses.

The rally sent the S&P 500 up 1.48%, the Dow Jones industrials up 1.44% and the Nasdaq Composite up nearly 2%.

The gains for the S&P 500 and the Nasdaq — 43.69 points and 153 points, respectively — recovered all of Monday’s losses. The Dow fell about 7.5 points short of a total recovery. The Nasdaq 100 index, which has a concentration in big tech, jumped more than 2.2%. The index more than recovered its Monday loss, ending the day 82 points ahead of Friday’s close.


BREAKING NEWS

AGRI and food giant Olam International’s net profit shrank 34.5 per cent to S$61.5 million for its second quarter ended June 30, from S$94 million a year ago. This was due to higher depreciation and amortisation, net finance costs and exceptional losses, Olam said on Wednesday morning.

MAINBOARD-LISTED Singapore Technologies Engineering (ST Engineering) on Wednesday posted an 18 per cent rise in second-quarter net profit to S$138.2 million for the three months ended June 30, up from S$117.5 million a year ago, on the back of higher earnings from its marine sector.

PROPERTY developer OUE Limited on Tuesday posted a ballooning in net profit to S$60.9 million for its second quarter ended June 30. This was more than 10 times the S$5.3 million that it reaped a year ago. This was mainly due to a one-off S$136.6 million gain on disposal of Aquamarina Hotel, which owns Marina Mandarin Singapore.

AGRI giant Wilmar International’s net profit for the second quarter fell 52 per cent to US$151 million from a restated US$316.4 million a year ago on the back of lower soybean crush margins, weaker showing by associates and sugar business as well as higher finance cost.

CONTRIBUTIONS from its newly acquired properties lent a boost to Manulife US Reit’s second-quarter distribution per unit (DPU), which rose to 1.53 US cents from 1.3 US cents a year ago. The acquisitions include Centrepointe, a two-tower Class A office building in Washington DC, 1750 Pennsylvania Avenue also in Washington DC, and the Phipps Tower in Buckhead, Atlanta.

Source: SGX Masnet, The Business Times, Bloomberg, Channel NewsAsia, Reuters, PSR

TECHNICAL PULSE

Venture Corp Ltd

Recommended Action: Technical BUY

Venture Corp is currently heading for a bullish breakout despite the overall range trading mode.
Technicals point to the current falling wedge formation as a strong clue that the stock is heading for a bullish reversal.

>> Read more research reports

Webinar Of The Week

Market Outlook: : (PSR) Raffles Medical Group, Singapore Exchange Limited, DBS Group Holdings, Oversea-Chinese Banking Corp Limited, United Overseas Bank Limited, Ascendas REIT, Ascott Residence Trust, Sheng Shiong Group & Phillip Singapore Weekly

Date: 05 August 2019

For more on Market Outlook

Clients of Phillip Securities can keep updated with Country Strategy and Singapore Sector Reports by logging into: www.poems.com.sg > STOCKS > Research

Read the research report(s), available through the link(s) above, for complete information including important disclosures Important Information





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