Daily Morning Note – 29 July 2021
Dear valued client,
Dear Investors, with effect from 9 August 2021, Stocksbnb WhatsApp will be migrating to Telegram: POEMS StocksBNB. POEMS StocksBNB telegram channel will be hosted by Phillip Securities Research, providing you with unbiased reports based on various methodology to the best of our abilities.
Join our Telegram: https://bit.ly/3iP1s6T
Disclaimer: Reports do not constitute, and should not be used as a substitute for, tax, legal or investment advice. This report should not be relied upon exclusively or as authoritative, without further being subject to the recipient’s own independent verification and exercise of judgment. Read full disclaimer here: https://bit.ly/2Wi2Ze6
Asian stocks look set to rise Thursday after the Federal Reserve said more economic progress is needed to start tapering substantial stimulus and as traders weigh efforts by China to restore market calm there. Futures rose in Japan, Australia and Hong Kong, where traders are waiting to see if equities will rebound from steep losses sparked by China’s crackdown on private enterprises. The S&P 500 was little changed and the Nasdaq 100 advanced, helped by a rally in Google parent Alphabet Inc. on strong earnings. U.S. equity futures fluctuated in early trading.
The Monetary Authority of Singapore (MAS) on Wednesday lifted its dividend cap on locally-incorporated banks and finance companies based in Singapore.
Samudera Shipping‘s H1 net profit has increased more than five times on the back of higher freight rates and significant cost-management measures put in place by the group. Net profit for the half-year ended June 30 was US$36.7 million, up from US$7.2 million a year ago. Earnings per share worked out to 6.83 US cents, up from 1.33 US cents.
Entertainment group mm2 Asia is hoping to sell at least 80 per cent of its cinema business to a local investor, for a price tag of between S$80 million and S$120 million. In a regulatory filing on Wednesday, mm2 said it has entered into a non-exclusive binding term sheet with financial investment firm Kingsmead Properties for the proposed sale.
Keppel Infrastructure Trust (KIT) on Wednesday announced a distribution per unit (DPU) of 1.86 Singapore cents for the first-half ended June 2021, unchanged from the corresponding period last year.
Keppel Pacific Oak US Reit (KORE) is proposing to acquire two office assets in the US for a total of US$105.1 million, the Reit manager announced on Wednesday morning.
Business park landlord Ascendas India Trust will make a distribution per unit (DPU) of 4.20 Singapore cents for the first six months, the manager said on Wednesday.
CapitaLand Integrated Commercial Trust (CICT), formerly known as CapitaLand Mall Trust, has posted a 75-per-cent increase in distribution per unit (DPU) to 5.18 Singapore cents for the first half ended June 30, from 2.96 cents for the year-ago period.
AIMS Apac Reit’s distribution per unit (DPU) rose by 12.5 per cent to 2.25 Singapore cents for its first quarter ended June 30, 2021, from two cents for the same period a year ago.
The US economic recovery is showing signs of progress, but the Federal Reserve said on Wednesday it is not yet ready to end the easy money policies it implemented as the pandemic began last year.
Ford reported a surprise profit as strong vehicle pricing offset the hit from the semiconductor shortage, sending the automaker’s shares higher on Wednesday. Robust demand for vehicles in the reopening economy drove profits to US$1.1 billion in the latest three months, about double the level seen in the same quarter of 2020, Ford said in its earnings report.
Boeing on Wednesday posted its first profit in almost two years, as deliveries of its best-selling 737 MAX jets to airlines gained traction amid a sharp rebound in travel bookings following an increase in global Covid-19 vaccinations.
Swedish music streaming service Spotify on Wednesday posted a narrowed quarterly loss as the number of paying subscribers grew, while reporting a disappointing overall user growth. “Most of our major metrics… performed better than expected this quarter,” the company said.
Sony Interactive Entertainment on Wednesday said that PlayStation 5 has become the company’s hottest selling video game console, with demand outpacing supply. More than 10 million PS5 consoles have been snapped up around the world since they hit the market in November, according to Sony’s gaming unit.
Facebook on Wednesday reported its profit doubled in the recently ended quarter as digital advertising surged, but warned of cooler growth in the months ahead in an update which sent its shares sinking. Profit jumped to US$10.4 billion on revenue of US$29 billion, a 56 per cent increase from last year, mainly from a jump in ad revenues, Facebook said in its second quarter report.
Source: SGX Masnet, The Business Times, Bloomberg, Channel NewsAsia, Reuters, CNBC, PSR
Technical Analysis: Hong Kong market outlook
Is the rebound on Wednesday a trap?
Analyst: Chua Wei Ren
– Hong Kong’s Hang Seng index closed 1.54% higher on Wednesday. Which was sent the HSI 8% decline over a span of two days. Triggered by regulatory fears over sectors such as technology and private education.
– Chinese tech stocks in Hong Kong, among the hardest hit in the recent sell-off, had a rebound on Wednesday.
– Despite strong volume, the need to clear above key support turned resistance will then remove the threat. Afterall, clear downtrend has been formed and escalated by the Chinese government.
HK Reports – Read up on our Hong Kong reports here
Webinar Of The Week
Weekly Market Outlook: Koda Ltd, Frasers, CapitaLand, Dasin, Suntec REIT, SGX, SG Weekly
Date: 26 July 2021
Updates summarised in 3 minutes
The Highlights EP01: LHN Limited – Optimisier of real-estate trends
For more videos on Phillip in 3 Mins
|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.|