Daily Morning Note – 9 June 2022


Welcome to our Daily Morning Note from our Research team!


Singapore shares lost ground on Thursday (Jun 9), in line with most markets in the region, with risk sentiment hit over fresh lockdowns in parts of Shanghai and inflation concerns. The benchmark Straits Times Index (STI) fell 0.5 per cent or 16.18 points to close at 3,209.62. Elsewhere, major indices in Shanghai, Malaysia, Australia and Hong Kong also closed lower, falling between 0.7 and 1.4 per cent. On the local bourse, shares of Hongkong Land led declines on the STI, tumbling 5.5 per cent to US$5.01. The local banks were also among the decliners. UOB fell 1.2 per cent, OCBC lost 1.1 per cent while DBS retreated 0.5 per cent. Meanwhile, DFI Retail Group was the top index gainer after climbing 2.5 per cent to US$2.91. Jardine Cycle & Carriage continued its stellar run in 2022, climbing 2.4 per cent to close at S$31.80, taking its gains for the year to date to 54.4 per cent. Shares of Sembcorp Marine were the most actively traded by volume. The counter rose 0.8 per cent to S$0.12, after 224.7 million shares worth S$26.9 million were traded.

Wall Street’s main indexes opened lower on Thursday (Jun 9) as rising bond yields pressured technology and growth stocks, while concerns around surging inflation and the path for interest rate hikes sapped risk appetite. The Dow Jones Industrial Average fell 82.28 points, or 0.25 per cent, at the open to 32,828.62. The S&P 500 opened lower by 14.12 points, or 0.34 per cent, at 4,101.65, while the Nasdaq Composite dropped 69.80 points, or 0.58 per cent, to 12,016.47 at the opening bell.

Top gainers & losers




Changi Airport Group narrowed its losses to S$838 million for the year ended Mar 31, 2022, down from S$954 million in the previous year, on the back of a rebound in air travel as restrictions ease. Full-year passenger traffic stood at 5.2 million in FY2021/22, at about 8 per cent of pre-Covid-19 levels, the group said in an exchange filing on Thursday (Jun 9). Passenger numbers in March 2022 went up to 1.14 million, or 20 per cent of pre-Covid levels – its highest since the start of the pandemic. The group registered its first net loss in FY2020/21, when passenger arrivals fell 98 per cent from the previous year to just 1.1 million. Revenue for FY2021/22 rose 35 per cent year on year to S$944 million, but the group remained in the red, taking into account its deconsolidation losses, write-down of investments in Russia, as well as depreciation and amortisation charges. The group said the challenging business and economic environment in Brazil made it untenable for it to operate the Tom Jobim Airport in Rio de Janeiro, under the terms of an existing concession agreement. The group deconsolidated Concessionária Aeroporto Rio de Janeiro as a subsidiary and recognised it as an equity-accounted investee. It therefore registered a deconsolidation loss of S$128 million.

Singapore on Thursday (Jun 9) launched a governance framework for sovereign green bond issuances under the Significant Infrastructure Government Loan Act 2021 (Singa). Called the Singapore Green Bond Framework, it establishes guidelines for green bonds issued by the public sector. In a speech at the Singapore Sustainable Investing and Financing Conference on Thursday, Second Minister for Finance and National Development Indranee Rajah noted that the framework is aligned with internationally recognised market principles, standards and best practices. Under the framework, proceeds from green bonds issued should be used to finance expenditures in support of the Singapore Green Plan 2030. This includes expenditures on renewable energy; energy efficiency; green building; clean transportation; sustainable water and wastewater management; pollution prevention, control and circular economy; climate change adaptation; and biodiversity conservation and sustainable management of natural resources and land use.

The Lian Beng Group is buying a freehold industrial building now held by Food Empire Holdings for $49.25 million. The 11-storey building, at 31 Harrison Road, has a gross floor area of 4,890.24 sqm and is now fully tenanted. With the sale, Food Empire, which has seen the value of this asset appreciate over the years, will book a gain of around $20.54 million. Food Empire will see its NTA per share increase from 40.46 cents to 43.12 cents upon completion of the deal. It calls the sale part of its efforts to rationalise its businesses and that it deems the ownership of this property non-core. As for Lian Beng, the acquisition is line with one of its core business activities in property investments. Lian Beng shares closed on 9 June at 52 cents, down 1.9% for the day.


Tesla was proceeding with an online hiring event in China on Thursday (Jun 9) and added two dozen new job postings for the country, a week after Elon Musk threatened job cuts at the electric car maker and said the company was “overstaffed” in some areas. Tesla plans to hold the event online starting from 7 pm Shanghai time (11 am GMT) and will recruit staff for “smart manufacturing” roles, according to an online post. Tesla has 224 current openings in China for managers and engineers under that category, according to a separate post on its WeChat account, 24 of which were newly posted on Jun 9. Among the posted positions are managers and engineers to supervise the operation of its 6,000-ton die casting machines known as Giga Press, one of the worlds biggest. Tesla regularly holds such hiring events online in China, with the latest one held in May for summer interns. Tesla’s China revenue more than doubled in 2021 from a year ago, contributing to a quarter of the total income for the US automaker.

Microsoft is partnering with Samsung Electronics to allow gaming fans to play Xbox games directly on smart TVs without a console. Starting Jun 30, hundreds of cloud-enabled games attached to the Xbox Game Pass Ultimate subscription, which costs US$14.99 a month without promotional pricing, will be available through Samsung’s Gaming Hub, similar to using any other streaming app on a TV. Later this year, Game Pass Ultimate subscribers will be able to play some of the games they already own using the cloud and without a download, even if the games aren’t currently in the Game Pass library. That expands the cloud-gaming features, which let users play on various devices and are presently only available for Game Pass titles.

United Hampshire US Real Estate Investment Trust (UHReit) is acquiring a grocery-anchored freehold shopping centre for US$85.7 million in Pennsylvania, expanding its footprint in the affluent Eastern seaboard. The purchase price for Upland Square in Pottsdown, Pennsylvania is 0.3 per cent below the independent valuation of US$86 million, the Reit’s manager said on Thursday (Jun 9). Upland Square has a net lettable area of about 400,674 square feet, with a 100 per cent committed occupancy rate and a long-forward committed weighted average lease expiry of 6.3 years. Anchor tenants include Giant by Ahold Delhaize, a leading supermarket operator in mid-Atlantic US, and popular national off-price retailers such as TJ Maxx, Ross, and Burlington. There are 35 tenants in all. The acquisition is expected to increase UHReit’s pro forma distribution per unit by 2.13 per cent, to 6.23 US cents, the manager said. Committed occupancy of UHReit portfolio will increase to 96.6 per cent with this acquisition – the highest occupancy achieved since its initial public offering. UHReit, which made its debut on the Singapore Exchange on Mar 12, 2020, is the first Reit with US exposure here.

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


Guest Presentation by Hyphens Pharma International Limited

Date: 14 June 2022

Time: 12pm – 1pm

Register: https://bit.ly/3NTNf6w

Guest Presentation by NIO

Date: 16 June 2022

Time: 12pm – 1pm

Register: https://bit.ly/3mrQhmV

Guest Presentation by Watches.com Ltd

Date: 21 June 2022

Time: 12pm – 1pm

Register: https://bit.ly/3an3lHm

Guest Presentation by Uni-Asia Group Limited

Date: 22 June 2022

Time: 12pm – 1pm

Register: https://bit.ly/3aJjIhD

POEMS Podcast


Recent Podcasts:

Money Never Sleeps – Ep 10

Money Never Sleeps – Ep 9

SGX Company Insights Ep 51 – Keppel DC REIT


Visit www.stocksbnb.com to view our research reports!


Join our Phillip Securities Research Telegram channel for the latest update on our stock coverage!

Click the link to join: https://t.me/stocksbnb

HK Reports
– Read up on our Hong Kong reports here



Weekly Market Outlook: Silverlake, Salesforce, Hyphens Pharma, SATS, PropertyGuru, LHN, SG Weekly…

Date: 6 June 2022

Click here for more on Market Outlook

Sign up for our webinars here, and be among the first to receive economy and market updates.



Phillip Research in 3 minutes: #29 – Keppel Corporation; Initiation

Click here for more videos on Phillip in 3 Mins

For any research-related matters, email: research@phillip.com.sg

For general enquiries, email: talktophillip@phillip.com.sg
or call 6531 1555.


The information contained in this email is provided to you for general information only and is not intended to create any binding legal relation. The information or opinions provided in this email do not constitute investment advice, a recommendation, an offer or solicitation to subscribe for, purchase or sell any investment product. 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 should obtain advice from a financial adviser before making a commitment to invest in any investment product or service. In the event that you choose not to obtain advice from a financial adviser, you should assess and consider whether the investment product or service is suitable for you before proceeding to invest.

Confidentiality Note

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.


Contact us to Open an Account

Need Assistance? Share your Details and we’ll get back to you


This material is provided by Phillip Capital Management (S) Ltd (“PCM”) for general information only and does not constitute a recommendation, an offer to sell, or a solicitation of any offer to invest in any of the exchange-traded fund (“ETF”) or the unit trust (“Products”) mentioned herein. It does not have any regard to your specific investment objectives, financial situation and any of your particular needs. You should read the Prospectus and the accompanying Product Highlights Sheet (“PHS”) for key features, key risks and other important information of the Products and obtain advice from a financial adviser (“FA“) pursuant to a separate engagement before making a commitment to invest in the Products. In the event that you choose not to obtain advice from a FA, you should assess whether the Products are suitable for you before proceeding to invest. A copy of the Prospectus and PHS are available from PCM, any of its Participating Dealers (“PDs“) for the ETF, or any of its authorised distributors for the unit trust managed by PCM.  

An ETF is not like a typical unit trust as the units of the ETF (the “Units“) are to be listed and traded like any share on the Singapore Exchange Securities Trading Limited (“SGX-ST”). Listing on the SGX-ST does not guarantee a liquid market for the Units which may be traded at prices above or below its NAV or may be suspended or delisted. Investors may buy or sell the Units on SGX-ST when it is listed. Investors cannot create or redeem Units directly with PCM and have no rights to request PCM to redeem or purchase their Units. Creation and redemption of Units are through PDs if investors are clients of the PDs, who have no obligation to agree to create or redeem Units on behalf of any investor and may impose terms and conditions in connection with such creation or redemption orders. Please refer to the Prospectus of the ETF for more details.  

Investments are subject to investment risks including the possible loss of the principal amount invested. The purchase of a unit in a fund is not the same as placing your money on deposit with a bank or deposit-taking company. There is no guarantee as to the amount of capital invested or return received. The value of the units and the income accruing to the units may fall or rise. Past performance is not necessarily indicative of the future or likely performance of the Products. There can be no assurance that investment objectives will be achieved.  

Where applicable, fund(s) may invest in financial derivatives and/or participate in securities lending and repurchase transactions for the purpose of hedging and/or efficient portfolio management, subject to the relevant regulatory requirements. PCM reserves the discretion to determine if currency exposure should be hedged actively, passively or not at all, in the best interest of the Products.  

The regular dividend distributions, out of either income and/or capital, are not guaranteed and subject to PCM’s discretion. Past payout yields and payments do not represent future payout yields and payments. Such dividend distributions will reduce the available capital for reinvestment and may result in an immediate decrease in the net asset value (“NAV”) of the Products. Please refer to <www.phillipfunds.com> for more information in relation to the dividend distributions.  

The information provided herein may be obtained or compiled from public and/or third party sources that PCM has no reason to believe are unreliable. Any opinion or view herein is an expression of belief of the individual author or the indicated source (as applicable) only. PCM makes no representation or warranty that such information is accurate, complete, verified or should be relied upon as such. The information does not constitute, and should not be used as a substitute for tax, legal or investment advice.  

The information herein are not for any person in any jurisdiction or country where such distribution or availability for use would contravene any applicable law or regulation or would subject PCM to any registration or licensing requirement in such jurisdiction or country. The Products is not offered to U.S. Persons. PhillipCapital Group of Companies, including PCM, their affiliates and/or their officers, directors and/or employees may own or have positions in the Products. Any member of the PhillipCapital Group of Companies may have acted upon or used the information, analyses and opinions herein before they have been published. 

This advertisement has not been reviewed by the Monetary Authority of Singapore.  


Phillip Capital Management (S) Ltd (Co. Reg. No. 199905233W)  
250 North Bridge Road #06-00, Raffles City Tower ,Singapore 179101 
Tel: (65) 6230 8133 Fax: (65) 65383066 www.phillipfunds.com