Daily Morning Note – 28 June 2021
Futures contracts tied to the major U.S. stock indexes rose Sunday evening after the S&P 500 notched its best week since February, as well as a new record, on Friday.
Futures tied to the S&P 500 rose 0.15% and those linked to the Dow Jones Industrial Average advanced 50 points. Nasdaq 100 futures gained 0.15%.
Stocks posted their best week in months on Friday as investors grew more relaxed about inflation, seeing the current price acceleration in the U.S. not as a sustained economic threat, but as a temporary uptick.
The S&P 500 ended Friday at a closing record high of 4,280.70, while the Dow rose 237.02 points and sits less than 2% from its record. While the Nasdaq Composite closed just lower on Friday, it added 2.35% for the week, its best since April 9 and is up 4.45% for the month of June.
Sarine Technologies on Sunday announced that its application for a dual listing of its shares on Israel’s Tel Aviv Stock Exchange (TASE) has been approved. Trading on TASE will commence on July 5 under the symbol SARN, said the company in an announcement on the Singapore Exchange (SGX). Sarine’s move to list on TASE comes as SGX and TASE recently authorised the dual listing of companies whose primary listing is on either one of the venues. The company previously said that the dual listing would expose the company to a broader investing public – not just in Israel, but also in the US. This is because the time difference between Tel Aviv and the US is only seven hours, versus the 12-13 hour time difference to Singapore.
Keppel Telecommunications & Transportation (Keppel T&T), through its wholly-owned subsidiary Apsilon Ventures, has divested its 20.05 per cent equity interest in ARIP Public Company Limited to Min Intanate for 60.7 million baht (S$2.6 million). In a bourse filing on Friday evening, Keppel said the market value represented by the sale shares as at June 25 stood at 68.2 million baht.
MC Payment on Sunday reported that it received a third statement from controlling shareholder Ching Chiat Kwong on June 26, and refuted a number of claims made by Mr Ching. The company also advised shareholders to take the statement and the company’s comments into consideration before arriving at an “informed decision” at the extraordinary general meeting (EGM) set for June 30. Mr Ching owns 27.1 per cent of MC Payment, and is also the executive chairman and chief executive officer of property developer Oxley Holdings.
Tesla Inc’s aspirations in China were dealt a major blow over the weekend after the government ordered that almost all the cars it’s sold in the nation – more than 285,000 of them – be fixed to address a safety issue. The State Administration for Market Regulation said in a statement on Saturday that the action involves 211,256 locally produced Model 3 vehicles and 35,665 imported ones, as well as 38,599 China-made Model Ys. The California-based carmaker only began deliveries of the Model Y sports-utility vehicle in January, so the recall will affect pretty much every driver who bought one.
The US Federal Aviation Administration (FAA) has told Boeing Co that its planned 777X is not yet ready for a significant certification step and warned it “realistically” will not certify the airplane until mid- to late 2023. The FAA in a May 13 letter to Boeing seen by Reuters cited a number of issues in rejecting a request by the manufacturer to issue a Type Inspection Authorization (TIA) Readiness.
A “heat dome” over western Canada and the US Pacific northwest sent temperatures soaring to new highs, triggering heat warnings from Oregon to Canada’s Arctic territories on Sunday. More than 40 new temperature highs were recorded in British Columbia over the weekend, including in the ski resort town of Whistler. And the high pressure ridge trapping warm air in the region is expected to continue breaking records throughout the week.
Republican Senate negotiators on an infrastructure deal were optimistic about a US$1.2 trillion bipartisan bill on Sunday after President Joe Biden withdrew his threat to veto the measure unless a separate Democratic spending plan also passes Congress. US Senator Rob Portman said he and his fellow negotiators were “blindsided” by Mr Biden’s comments on Thursday after a rare bipartisan compromise to fix the nation’s roads, bridges and ports.
Source: SGX Masnet, The Business Times, Bloomberg, Channel NewsAsia, Reuters, CNBC, PSR
SG Bonds Weekly – Week 26
Credit Analyst: Timothy Ang
– Activity in the Asian primary market picked up last week even as we approach the end of 1H21.
– Toll-road operator Shenzhen Expressway’s new US$300mn 5 year senior unsecured bond saw strong investor demand.
– 4 outstanding mandates remain from last two weeks.
HK Reports – Read up on our Hong Kong reports here
Webinar Of The Week
Date: 22 June 2021
Updates summarised in 3 minutes
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