Daily Morning Note – 3 June 2021
U.S. equities rose on Wednesday as the tussle between economic optimism and inflation concern continued to play out in markets.
The S&P 500 and Nasdaq 100 faded from early gains as traders awaited fresh catalysts in economic data, including the U.S. jobs report due later this week. AMC Entertainment Holdings Inc., a favorite among retail traders, rallied. Tesla Inc. fell following a reported loss in electric-vehicle market share. And energy stocks were among the best performing after WTI crude futures gained.
Specialty pharmaceutical company iX Biopharma on Wednesday announced it has installed new freeze-dry equipment that will allow it to expand its current wafer production capacity for its WaferiX sublingual wafers by up to six times. The company is on track to produce its first commercial batch of wafers in July 2021, it said in its bourse filing, adding that it expects to benefit from improved operational efficiency and economies of scale.
Boustead Projects’ wholly-owned subsidiary, BP-Vietnam Development (BP-VD) has signed an option agreement with Khai Toan Joint Stock Company (KTG) for a proposed acquisition of a 49 per cent interest in KBJSC, the holding company for KTG and Boustead Industrial Logistics Joint Stock Company (KBIL). The real estate player announced on Wednesday that KTG will provide BP-VD with a call option to purchase 49 per cent of the issued and paid-up share capital of KBJSC, while BP-VD will provide KTG with a put option to sell 49 per cent of the issued and paid-up share capital of KBJSC to BP-VD.
Property developer and manager Mapletree Investments on Wednesday posted a net profit of S$1.85 billion for the financial year ended March 31, 2021, a 4 per cent increase from the previous year. It said in a press statement that this was underpinned by significant investments in global logistics and data centres. The resilient performance underscored the strong focus on operations and capital recycling efforts, with S$3.1 billion in capital recycled, complemented by revaluation gains, it added.
Singapore Reinsurance has again extended the closing date for Fairfax Asia’s cash offer from June 2 to June 17, 5.30pm, with all other terms of the offer unchanged. Fairfax Asia is making a cash offer for Singapore Reinsurance’s 71.82 per cent stakes that it and its concert parties do not own. The offer is conditional on them garnering more than 50 per cent stakes.
President Joe Biden on Wednesday plans to double down on his administration’s efforts to get more Americans vaccinated against Covid-19 by July 4, a date the president has said he hopes will mark a turning point in the pandemic in the U.S. In early May, Biden announced his administration’s new goals in the fight against the coronavirus: getting 70% of U.S. adults to receive at least one dose of a Covid vaccine and having 160 million adults fully vaccinated by Independence Day.
Tesla is recalling 5,974 of its electric vehicles over concerns that their brake caliper bolts might loosen, which could potentially cause a loss of tire pressure and increase the risk of a crash, according to documents made public by the National Highway Traffic Safety Administration. Cars that are part of the voluntary recall include certain 2019-2021 Model 3 vehicles and 2020-2021 Model Y vehicles. Tesla said it is not aware of any crash or injury resulting from the potential defect. It will inspect and tighten, or replace the caliper bolts as necessary for free.
Private spaceflight specialist Axiom Space on Wednesday announced a deal with SpaceX that added three more crewed flights to the International Space Station, bringing its total planned missions through Elon Musk’s company to four. “We are beyond excited to build upon our partnership with Axiom to help make human spaceflight more accessible for more people,” SpaceX president Gwynne Shotwell said in a statement. “A new era in human spaceflight is here.”
E-commerce firm Etsy announced Wednesday that it is buying the secondhand fashion app Depop for $1.62 billion. Founded in the U.K. in 2011, Depop lets people buy and sell used clothes through its online marketplace. The company has attracted a predominantly younger audience thanks to its social media savvy and messaging on environmental and ethical shopping.
Source: SGX Masnet, The Business Times, Bloomberg, Channel NewsAsia, Reuters, CNBC, PSR
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