A man is silhouetted against a logo of Honda Motor at the company's showroom in Tokyo, Japan, May 13, 2016. REUTERS/Toru Hanai
MarketWrap: US stocks ended little-changed on Wednesday, though the Nasdaq eked out another record high close, as investors assessed the outlook for US interest rates.- Reuters
The DJIA was down 11.98 points, or 0.06%, to 18,526.14, the S&P 500 lost 0.33 points, or 0.02%, to 2,186.15 and the Nasdaq added 8.02 points, or 0.15%, to 5,283.93, a record high close.
Forex summary
*The ringgit gained 0.17% to 4.0533 per US$
*It was 0.29% higher at 4.5653 per euro
*Up 0.66% to 5.4097 to the pound sterling
*Up 0.27% to 3.0096 per Singapore dollar
*0.13% higher to 3.1120 per Aussie
*Up 0.21% to 3.9822 per 100 yen
Energy
Oil prices rose 1.5% on Wednesday as the market focused on the possibility that the world's top producers would agree on an output freeze. Trade was choppy as some traders eyed US oil inventory data due late Wednesday and Thursday morning for clearer direction. Brent futures rose 72 cents to settle at US$47.98 a barrel after trading between US$46.97 and US$48.10. - Reuters
Top foreign stories
Tesla gets US$300m lease credit line from Deutsche Bank: Tesla Motors Inc said on Wednesday it had entered into an agreement with Deutsche Bank whereby the electric car maker can borrow up to US$300 million for its vehicle leasing programme, part of a broader effort to bolster the company's finances. - Reuters
HP Enterprise in US$8.8b deal with Micro Focus for software assets: Hewlett Packard Enterprise Co will spin off and merge its non-core software assets with Britain's Micro Focus International Plc in a deal worth US$8.8 billion, the companies said on Wednesday. - Reuters
Japan second-quarter GDP growth revised up slightly, momentum weak: Japan's economic growth over April-June was faster than initially estimated, the Cabinet Office said on Thursday, with upward revisions to capital expenditure and inventories, but weak demand at home and overseas is seen weighing on growth this quarter. The economy grew at a 0.7% annualised rate, up from the preliminary reading of 0.2%growth. - Reuters
Intel to spin out security unit, sell stake in business to TPG: Intel Corp said it would spin out its cyber security division, formerly known as McAfee, and sell a majority stake in it to investment firm TPG for US$3.1 billion in cash. TPG will own 51% of the new entity, valuing the entire company at US$4.2 billion including debt. Intel will retain a 49 percent stake in the business. - StarBiz
Sony unveils new versions of PlayStation 4: Sony Interactive Entertainment, a division of Sony Corp, unveiled on Wednesday two new versions of its PlayStation 4 Console in an effort to help Sony maintain its sales lead over Microsoft Corp and Nintendo Co Ltd. - Reuters
Top local stories
Wah Seong signs RM2.7b contract with Nord Stream 2: Oil and gas services firm Wah Seong Corp Bhd has finalised an earlier agreement with Nord Stream 2 AG and signed a 600 million euros (RM2.726bil) contract to provide pipe coating services to the Swiss firm. This order would lift Wah Seong’s outstanding order-book to about RM3.5bil, the company said. - StarBiz
Divided views on further rate cut: Opinions are divided as to whether Bank Negara will go ahead and make another interest-rate cut before the end of the year. The central bank’s monetary policy committee maintained the benchmark overnight policy rate on Wednesday at 3%, in line with analysts’ expectations. - StarBiz
L&G sees better property market next year: Land and General Bhd
(L&G), whose niche is in high-rise property development, expects the property market to recover next year. Managing director Low Gay Teck said despite the slowdown, it would go ahead with RM1.67bil worth of property launches since the projects were located in prime areas.
Mobikom increases stake in Webe: Telekom Malaysia Bhd unit Mobikom Sdn Bhd has subscribed to RM495mil convertible medium-term notes of Webe Digital Sdn Bhd, allowing the company to further boost its shareholding to 82%. - StarBiz
Century Logistics to get new shareholder?: South Korea’s CJ Logistics, which is looking to expand in Asean, is close to buying into Century Logistics Holdings Bhd, sources say. CJ is said to be buying a block of shares of the integrated logistics service provider from its major shareholders. - StarBiz
NWP wins RM744mil ‘aspirational home’ projects: Timber products maker NWP Holdings Bhd has entered into a turnkey agreement for housing projects under Syarikat Perumahan Negara Bhd and Perbadanan PR1MA Malaysia with an estimated gross development value of RM744mil. The contract encompasses six projects consisting of 3,855 units of houses and apartments. - StarBiz
Report: 1MDB no impact on economy: Investors remain confident of the Malaysia’s economy despite the political and economic fallout from the 1Malaysia Development Bhd (1MDB) crisis.
A political risk consultancy, Global Risk Insights, said in a report dated Sept 6 that the country’s economy had been “remarkably resilient” despite 1MDB dominating recent headlines. - StarBiz
Bioalpha plans to raise funds for new products: Health supplements producer Bioalpha Holdings Bhd plans to raise RM28mil via a renounceable rights issue to launch new products in the company’s three principal markets of Malaysia, Indonesia and China. - StarBiz
AmInvest’s move into unconventional Reits pays off: AmInvest’s diversification into non-conventional real estate investment trusts (REITs), with assets such as childcare centres, energy, healthcare, large scale logistics and data centres, has paid off with the investments showing good growth. - StarBiz
Eversendai finalising refinancing of outstanding sukuk: Construction firm Eversendai Corp Bhd is finalising the refinancing of outstanding obligations on the company’s RM500mil sukuk programme, said RAM Rating Services Bhd. It said the company has obtained the sukuk holders’ nod to complete this exercise by the end of next month. - StarBiz
July exports down more than expected: Malaysia’s July exports declined more than expected on a slump in electrical and electronic (E&E) exports and a drop in shipments to China. Exports slumped 5.3% year-on-year to RM59.9bil while imports fell 4.8% to RM57.9bil. - StarBiz
Sunsuria to get RM59mil from put option: Property developer Sunsuria Bhd will receive total cash proceeds of RM59.38mil after exercising a put option entered earlier. - StarBiz
Honda Malaysia expects at sales growth due to challenges: Honda Malaysia Sdn Bhd, the No. 1 non-national car company in Malaysia in terms of total industry volume, expects flat sales growth this year due to the challenging economic outlook. Managing director and CEO Katsuto Hayashi said the company had targeted sales of 90,000 units for this year – the same level the company recorded last year. - StarBiz
Berjaya Food Q1 net profit at RM5mil: Berjaya Food Bhd’s net profit for the first quarter fell by 18.1% year-on-year to RM5mil mainly due to the depreciation of the ringgit impacting profit margins of Starbucks and lower contribution from Kenny Rogers Roasters’ operation in Malaysia.
Revenues increased to RM141.4mil from RM132.4mil a year ago. - StarBiz
Zenith picks up BUCG’s stake in consortium: Consortium Zenith BUCG Sdn Bhd (CZBUCG) has decided not to look for a new shareholder to replace Beijing Urban Construction Group Co Ltd (BUCG) in the RM6.3 billion Penang undersea tunnel and road project as Zenith Construction Sdn Bhd — the largest shareholder of CZBUCG, with a 95% equity interest — will pick up the 1% stake BUCG will drop. - Edge FD
EA Holdings eyes turnaround in FY17: Software solutions provider EA Holdings Bhd is confident of a turnaround in the current financial year ending March 31, 2017 (FY17) with an expected revenue of RM60 million compared with RM35.9 million the year before. - Edge FD
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