Daily Morning Note – 17 Oct 2019

WEEKLY MARKET OUTLOOK WEBINAR

PHILLIP SUMMARY

Asian stocks were set for a mixed start Thursday after a weak U.S. consumer report triggered a rally in Treasuries. U.S. equities earlier edged lower. Futures were flat in Japan, contracts rose in Hong Kong and pointed lower in Australia, while the S&P 500 Index slid as energy and technology shares retreated. The dollar and Treasury yields slipped after an unexpected drop in retail sales boosted market pricing for an October rate cut by the Federal Reserve as earnings season ramps up.

Elsewhere, the pound strengthened amid signs a Brexit deal may be imminent, and Turkish stocks fell with the lira after the U.S. brought a criminal case against one of the nation’s largest banks. Oil rose 0.3% to $52.97 a barrel, and gold was at $1,490.15 an ounce.



BREAKING NEWS

Keppel Reit posts Q3 DPU of 1.4 S cents on higher rents, T Tower contribution.

MAINBOARD-LISTED Ellipsiz has expanded its foothold in the semiconductor and electronics industry by acquiring a 51 per cent stake in local engineering solutions firm AXIS-TEC for S$3.6 million, it said on Wednesday.

SOILBUILD Business Space Reit on Wednesday posted third-quarter distribution per unit (DPU) of 0.918 Singapore cent, down 26.3 per cent from 1.245 cents in the same period a year earlier.

MAINBOARD-LISTED integrated fish service provider Qian Hu on Wednesday announced a 72 per cent year-on-year increase in net profit for the third quarter ended Sept 30 on the back of improved margins from the aquaculture business.

CATALIST-LISTED Atlantic Navigation has been queried by its sponsor SAC Capital on its Oct 11 trading activity which saw its shares plunge S$0.035 or 44.9 per cent to S$0.043.

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

TECHNICAL PULSE

Sunny Optical Technology Group Co Ltd

Recommended Action: Technical SELL

Sunny Optical (HK: 2382) Bullish run may come to an end based on the technicals


Read more technical pulse

RESEARCH REPORTS

Keppel DC REIT – Delivering, as expected

Recommendation: ACCUMULATE (Maintained), Last Done: S$1.99

Target Price: S$2.06, Analyst: Natalie Ong

– 3Q19 NPI and DPU were in line with our estimates. 9M DPU formed 74.2% of our FY19 estimates

– Portfolio metrics healthy; occupancy crept up 0.7% ppts and while post-acquisition gearing will settle at 30.3% (historical average 30.7%)

– Maintain ACCUMULATE with a higher target price of $2.06 (previously $2.00). We raise our estimates by 2% to recflect the tightening DC market which will help provide support for rents

Read more research reports

Webinar Of The Week

Market Outlook: : (PSR) 2019-10-14 SG Q4 Strategy, Phillip Absolute 10, China Strategy, Technicals

Date: 14 October 2019

For more on Market Outlook

Phillip Research in 3 minutes: #14- Singapore Banking Sector

Updates summarised in 3 minutes

For more videos on Phillip in 3 Mins

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





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