Traders work on the floor of the New York Stock Exchange (NYSE) at the start of the trading day in New York, New York, USA, 24 November 2015. EPA(filepic)
Market wrap: US shares closed higher on Tuesday as energy stocks rose along with oil prices after Turkey shot down a Russian warplane near the Syrian border. The three major US indexes recovered from a morning selloff that was triggered by the overseas news despite some strong US economic data. - Reuters
The DJIA rose 19.51 points, or 0.11%, to 17,812.19, the S&P 500 gained 2.55 points, or 0.12%, to 2,089.14 and the Nasdaq added 0.33 points, or 0.01%, to 5,102.81.
Forex summary
*The ringgit gained 1.01% to 4.1995 per US$
*It rose 1.09% to 4.4777 per euro
*Up 1.33% to 6.3384 to the pound sterling
*0.07% higher to 2.9997 per Singapore dollar
*0.27% higher to 3.0499 per Aussie
*Up 0.93% to 3.4301 per 100 yen
Energy
Oil prices hit two-week highs on Tuesday, rising about 3%, after a spike in Middle East tensions from Turkey's downing of a Russian warplane and a rally in US gasoline futures. Brent LCOc1 settled up US$1.29, or 2.9%, at US$46.12 a barrel, after hitting a two-week high at US$46.50. - Reuters
Top foreign stories
US GDP growth raised for third quarter: The US economy grew at a healthier clip in the third quarter than initially thought, but strong inventory accumulation by businesses could temper expectations of an acceleration in growth in the final three months of the year. The Commerce Department on Tuesday said the nation's gross domestic product grew at a 2.1% annual pace, not the 1.5% rate it reported last month, as businesses reduced an inventory bloat less aggressively than previously believed. - Reuters
Allianz shakes up business to boost profitability: Allianz on Tuesday set out plans to overhaul its business to help the insurer to overcome a tough business environment, boost sales and profitability and attract new customers. Chief executive Oliver Baete's plans, designed to make Europe's largest insurer more profitable and more resistant to financial shocks, include a target of 1 billion euros in annual productivity gains by 2018, which would be reinvested. - Reuters
Fedex, TNT win US approval to merge: Fedex Corp and Dutch counterpart TNT Express have won US antitrust permission to merge, according to a listing of approved deals the Federal Trade Commission issued on Tuesday. The European Union has yet to sign off on the proposed transaction. The companies announced in April that Fedex would buy TNT for 4.4 billion euros (US$4.8 billion). - Reuters
China lifts brokerage curb in sign of market confidence: In a sign of growing confidence that China's stock markets are stabilising, the country's securities regulator has lifted an order that required brokerages each day to buy more shares than they sell for any proprietary trading. - Reuters
Top local stories
No liberalisation of power industry: The proposed sale of Edra Global Energy Bhd’s entire equity stake in its power generation plants to a China state-owned entity will not translate into the liberalisation of the highly-regulated industry. Energy, Green Technology and Water Minister Datuk Seri Maximus Ongkili said the deal was not a precedent for other foreign companies to purchase power generation assets in Malaysia and that all future transctions would be vetted by the Energy Commission. - StarBiz
IJM net profit up 40% to RM156mil: IJM Corp Bhd
’s net profit for its second quarter rose 40% to RM156.38mil while revenue increased to RM1.34bil from RM1.29bil a year earlier. The company said the improved earnings was mainly due to higher revenues contributed by the group’s construction, industry and infrastructure divisions. - StarBiz
Econpile wins RM95.5mil job in mont Kiara: Econpile Holdings Bhd has bagged a RM95.5mil contract for piling and related works for Arte Mont Kiara. The company said Arte Mont Kiara, situated within established neighbourhoods including Mont Kiara, Sri Hartamas, and Dutamas, consists of three towers of office suites and serviced residences. - StarBiz
Ex-MIG CEO charged with insider trading: The Securities Commission (SC) has charged former Melewar Industrial Group Bhd’s (MIG) chief executive officer Datuk Lim Kim Chuan and two other individuals with insider trading. - StarBiz
Block of RHB Cap shares changes hands: A block of RHB Capital Bhd (RHB Cap) ordinary rights (OR) or entitlement to its rights issues have been sold in an off-market deal valued at RM25.62mil. Sources said the 77.65 million OR sold on Tuesday belonged to RHB Cap’s substantial shareholder, Aabar Investments PJS, while the buyer was a local fund. They were transacted at 33 sen each, which represented a discount of 51%, or 34.5 sen, from the closing price of 67.5 sen on Tuesday. - StarBiz
UEM’s acquisition plan of KFM ‘fairly valued’: The proposed RM128mil acquisition of KFM Holdings Sdn Bhd by UEM Edgenta Bhd appears fairly valued, as a sub- stantial portion of the payments are conditional upon KFM achieving key targets over the next few years, said Hong Leong IB Research. - StarBiz
Parkson earnings rise to RM63.29mil in Q1: Parkson Holdings Bhd posted an operating loss of RM25mil in the first quarter, but a RM136.33mil gain from a partial disposal of a former subsidiary more than tripled its earnings. Its earnings grew to RM63.29mil in the quarter ended Sept 30 from RM20.21mil achieved a year earlier on a 10% higher revenue of RM933.39mil, the company said. - StarBiz
JCY International saves RM600mil: JCY International Bhd saved some RM600mil from the years 2002-2012 from being tax exempted and that it is in talks with Malaysia Investment Development Authority to renew its tax-exempt status for another 10 years, as its exemption status expires next year. Most companies paid between 15% to 20% in manufacturing tax annually. - StarBiz
Icon unit bags RM51mil contract: Icon Offshore Bhd unit Icon Offshore Group Sdn Bhd has secured a RM51mil contract from Borneo Seaoffshore Sdn Bhd. Icon said the contract is for the provision of one deepwater platform supply vessel for Kebabangan Petroleum Operating Co Sdn Bhd. - Bernama
Chipmakers take cautious stance: Most electronic and semiconductor companies in Malaysia will take a cautious stance on reinvestment in 2016. Malaysian American Electronics Industry chairman Datuk Wong Siew Hai said those impacted by the merger and acquisition exercises initiated by their parent companies would have to wait for the outcome of the M&As before making decisions to reinvest. - StarBiz
Misif slams Megasteel safeguard duty request: The Malaysian Iron and Steel Industry Federation (Misif ) has slammed Megasteel Sdn Bhd’s request for safeguard duties on the import of hot rolled coils into Malaysia. Misif deemed Megasteel’s proposal “unsustainable” as it did not fulfil the requirements set out under the World Trade Organisation rules and domestic legislations. - StarBiz
Perisai Petroleum grants call options to Macquarie Bank: Perisai Petroleum Teknologi Bhd, which last month announced a proposed placement of up to 10% of its share capital last month, has found a placee, Australia-based Macquarie Bank Ltd. Macquarie has been granted call options with the right to exercise and be issued with up to 119 million 10 sen Perisai shares at a price to be determined at a later date. - StarBiz
LKL International eyes ACE Market listing: Healthcare furniture and equipment maker LKL International Bhd is eyeing an ACE Market listing to fund its capital expenditure. According to its draft prospectus, the group will be issuing a total of 113 million new shares, of which eight million will be made available for the public, 13.2 million for its eligible directors and employees, 42.2 million for placement and 49.6 million for bumiputra investors. - Edge FD
WCT Q3 earnings up more than 3-fold: WCT Holdings Bhd’s net profit was up more than three times to RM85.91 million for the third quarter mainly due to a foreign exchange gain of RM78.76 million.
Revenue came in at RM371.8 million, down 21.1%, due to lower contribution from its construction segment. - Edge FD
UMW-OG quarterly profit plunges 99.7%: UMW Oil & Gas Corp Bhd (UMW-OG) saw its net profit plunge 99.7% to RM218,000 for the third quarter on lower profit from its oilfield services segment, coupled with loss registered by its drilling services segment. Revenue also fell by 16.4% to RM212.7 million. - Edge FD
AGMs/EGMs
Lion Industries Corp
Time: 9am
Venue: Level 16, Lion Office Tower, No.1 Jalan Nagasari, Kuala Lumpur
Guinness Anchor Bhd
Time: 10am
Venue: Connexion @ nexus, No.7, Jalan Kerinchi, Bangsar South City, Kuala Lumpur
Chee Wah Corporation Bhd
Time: 11am
Venue: Sunway Hotel Seberang Jaya, Bandar Seberang Jaya, Prai, Penang
Bonia Corporation Bhd
Time: 11am
Venue: Bukit Jalil Golf & Country Resort, Jalan Jalil Perkasa 3, Kuala Lumpur
MMC Corporation Bhd
Time: 11am
Venue: Hotel Istana, Jalan Raja Chulan, Kuala Lumpur
Limited time offer:
Just RM5 per month.
