Japan export slowdown could weigh on second-quarter GDP growth: Japan’s export growth slowed for a second straight month in May, with weak external demand now threatening to erode economic growth in the current quarter. Finance Ministry data showed exports grew 2.4% year-on-year in May, less than a 3.5% gain seen by economists and a 8% rise in the prior month. Compared with April, exports fell 2.7%. — Reuters
Bitcoin surges as Grexit worries mount: Bitcoin surged by as much as 7% on Tuesday and was on track for its longest winning streak in 18 months, as concerns that Greece could tumble out of the euro drove speculators and Greek depositors into the decentralised digital currency. Bitcoin, a Web-based “cryptocurrency” invented six years ago, is not backed by or controlled by any government or central bank and floats freely, fluctuating according to user demand. — Reuters
Top local news
Fitch says weaker outlook raises risk for Thai, Malaysia household debt: High household leverage in Thailand and Malaysia remains a source of risk for both economies, says Fitch Ratings. The asset quality outlook is underpinned by the macroeconomic environments in the two countries, which are challenged by headwinds from China as the economy there slows and weighs on growth prospects across Asia. Household debt to gross doemstic product in Thailand and Malaysia remains among the highest in South-East Asia at 86% and 88%, respectively, at end-2014. - Reuters
Sunway City Ipoh to unveil RM500mil projects: Sunway City Ipoh, the largest integrated township in Perak and controlled by property tycoon Tan Sri Jeffrey Cheah, will unveil new developments projects with a gross development value (GDV) of RM500mil over the next three years. Among the projects is the expansion of the Banjaran Hotsprings Retreat, The Sunway City Ipoh sprawls over 546ha and has an estimated GDV of about RM2bil. - Bernama
Mudajaya keen to explore 1MDB power assets if price is right: Mudajaya Group Bhd
is keen to explore opportunities, including possibly acquiring 1Malaysia Development Bhd’s power assets, provided the price is right. Chairman Datuk Yusli Yusoff said the group was looking to acquire power assets that gave “good returns”. - StarBiz
AirAsia plans IPO for Indonesia, Philippine units and boost their share capitals: AirAsia Bhd announced a corporate exercise yesterday that includes potential new equity for Indonesia AirAsia and Philippines AirAsia via a convertible bond issuance. The first step was to raise the two carriers’ share capital to about US$100mil each from US$13.81mil and US$13.28mil, respectively. Separately, the budget carrier issued a business update to assure the investor community that it has a solid footing, strong balance sheet, is rich in assets and has good business outlook, followiung the recent fall in its share price. The carrier noted in a statement the transaprency of its accounts, its aircraft leasing business (Asia Aviation Plc), consolidation of its associates’ accounts and new equity to be raised for Indonesia AirAsia and AirAsia Philippines. - StarBiz
Maxis plans to issue up to RM5bil sukuk: Maxis Bhd plans to issue Islamic medium-term notes of up to RM5bil to finance its capital expenditure, working capital and refinance other debt. The company said the Securities Commission has approved the proposed sukuk. - StarBiz
CSC Steel revenue down 8%: CSC Steel Holdings Bhd revenue for the financial year ended Dec 31, 2014, fell 8% to RM1.048bil on stiff competition from cheap imports and a weak steel market.
Group managing director Chen Chung-Te said that FY14 was much more challenging as the group recorded a loss before tax of RM27.02mil, compared with a profit before tax of RM38.73mil a year earlier. - Bernama
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