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MICA (P) 057/11/2011 Ref No: SGMN2012_0149 1 of 16
Morning Note
Phillip Securities Research Pte Ltd Singapore
3 AUGUST 2012
Fundamental Call
OCBC - Results (Ken Ang) Recommendation: Reduce Previous close: S$9.46 Fair value: S$8.20
2Q12 NPAT of S$648 million above both our and consensus’s estimates due to largely to lower allowances for loans. Downgrade to “Reduce” based on current high share price and slower loans growth, lower NIMs, with unchanged target
price of S$8.20. Source: Phillip Securities Research Pte Ltd
Market & Portfolio Outlook
- STI: -0.49% to 3036.2 - MSCI SE Asia: -0.65% to 818.5 - FTSE Asia Pac ex-Japan: -0.56% to 565.6 - Euro Stoxx 50: -3.00% to 2263.4 - S&P500: -0.74% to 1365 MARKET OUTLOOK: The much awaited ECB plan to arrest Spain and Italy's bond slide was sketched out (not confirmed) by Mario Draghi - it will buy their bonds on the secondary markets so long as the EFSF/ESM buys the bonds on the primary markets and imposes conditions with them. Spain and Italy are already undergoing tough budget reform so meeting conditions will not be a problem. As the ESM has 500b euros, while the EFSF has only 148b left in the kitty, and if secondary market purchases will match the primary, the total buying would be over 1tr euros. If the ECB plan comes into fruition, it could provoke a short-term rally despite the tepid reaction it got, but as the underlying vector of the global economy is slower - we remain sellers of risk positions into the market as we remain of the view the broad equity market trend is still lower. PORTFOLIO OUTLOOK: Our medium-longer term portfolio stance is unchanged, we think absolute returns for stocks everywhere till 1q13 could prove fleeting, we favour ASEAN markets - the KLCI, JCI, SETI, PSEI, STI - to be relatively more resilient. For the first 4, domestic demand and pro-growth govt policy counteracts a weak external environment. As for the STI: +60% earnings exposure to ASEAN & Emerging Markets, high dividend yields in strong business moats, and the SGD's relative safe haven status, makes the STI an attractive buy in these yield starved times. Overall though, we favour Fixed Income (ETF tickers in brackets) over Stocks given our global slowdown, receding inflation outlook. A repressed rate environment, is inducing a global search for yield beyond the traditional safe havens of Treasuries (TLT: NYSE), Bunds, Gilts, SGS (A35:SGX). Portfolios hard pressed for yield will likely have to explore beyond the safe havens, thus we like dollar denominated EM sovereigns (EMB:NYSE), dollar denominated Asian Sovereigns & Corporates (N6M:SGX and O9P:SGX), and US Corporate Debt (VCLT:NYSE). Dividend paying stocks with strong business moats are likely spillover beneficiaries in the global search for yield. Our SG Sector Strategist likes defensives (SCI, Comfort, Singtel), is overweight Aviation Services (SIAEC, STE, SATS), and overweight the REITS. REPORTS: Global Macro, Asset Strategy: 26 July Singapore Sector Strategy: 1 Aug Singapore Sector Reports: Banks / Transport / Telcos / Property / REITS / Thematic Regional Strategy: Indon, 17 July / HK, 22 June / Thai, 18 June / S'pore, 8 June / M'sia, 30 May / China, 24 May Source: Phillip Securities Research Pte Ltd
MICA (P) 057/11/2011 Ref No: SGMN2012_0149 2 of 16
Morning Note 3 AUGUST 2012
Macro Data
MACRO DATA: US total mfg new orders slid 0.5%m-m, continuing its slide. Core-capex new orders was also confirmed to have continued its slide. We have pointed out for some time now that the US investment cycle has peaked out long ago. The print corroborates the PMI drops as well. The US is certainly slowing and the impending fiscal cliff could not come at a worse time than a slowdown. In Euro zone, PPI fell by 0.5% m-m in June, a second consecutive monthly drop, after May’s 0.5% m-m drop. PPI ex energy fell slightly by 0.1% m-m in June, after 0.0% m-m change in May. Energy itself fell by 1.8% m-m, extending May’s 1.4% m-m drop. In Germany, PPI fell by 0.4% m-m in June, after May’s 0.3% m-m drop. France’s PPI fell by 0.9% m-m, after the 1.0% m-m drop in May. The ECB has just announced to leave the benchmark rate unchanged at a record low of 0.75%. ECB President Mario Draghi also signaled that the ECB intends to join forces with governments to buy bonds in sufficient quantities to ease the region’s debt crisis, while conceding that Germany’s Bundesbank has reservations about the plan. UK’s construction PMI rose to 50.9 in July, indicating a slight expansion, after June’s 48.2, whereas the market was predicting a 48.7. BOE announced to maintain its current bond-buying program as policy makers wait to assess the outlook for the latest stimulus and their new lending program to end the recession. It also held the key rate unchanged at a record-low 0.5%. In Hong Kong, retail sales by value unexpectedly rose by 11.0% y-y in June, outperforming the market expected 9.1% y-y pace, after a 8.7% y-y growth in May. Retail sales by volume rose by 8.5% y-y in June, compared to a market expected 6.1% pace and May’s 5.7% y-y growth. Despite the higher than market expected performance, it does not change our bet that HK's economic growth would slump to between 1% and 2% in 2012, compared to last year’s 5.0% growth, since until now, we haven’t observed a clear sign that China, Hong Kong’s most important trading partners, is bottoming out. Australia’s retail sales rose by 1.0% m-m in June, outperforming the market predicted 0.7% m-m pace, after May’s 0.8% m-m growth. The nation’s retail sales rose by 1.4% q-q in 2q12, the same pace as it grew in 1q12, whereas market was predicting a 0.9% q-q growth. This comforting result backs RBA Governor Glenn Stevens’s holding the benchmark rate unchanged last month, saying its 75 basis points in reductions in May and June to 3.5 percent will buttress the strongest developed economy. Source: Phillip Securities Research Pte Ltd
Morning Note 3 AUGUST 2012
3 of 16
Source: Bloomberg
STI - Index Members
1.3
%
1.2
%
0.7
%
0.6
%
0.6
%
0.6
%
0.6
%
0.4
%
0.3
%
0.2
%
0.0
%
0.0
%
0.0
%
-0.1
%
-0.2
%
-0.3
%
-0.4
%
-0.5
%
-0.5
%
-0.6
%
-0.6
%
-0.6
%
-0.6
%
-0.8
%
-0.8
%
-0.9
%
-1.0
%
-1.5
%
-1.7
%
-5.1
%
-8%
-6%
-4%
-2%
0%
2%
4%
6%
8%
10%
NO
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HK
Lan
d
S/N Company Name Q/HY/FY Currency,
Units
Revenue Net Profit
Current Previous Change
(%) Current Previous
Change (%)
1 OVERSEA-CHINESE BANKING CORP
2Q S$’mn 1,527 1,413 8 648 577 12
2 PARKWAYLIFE REIT 2Q S$’000 23,401 21,378 9.5 15,013 14,315 4.9
3 CITYSPRING INFRASTRUCT TRUST
1Q S$’000 132,578 110,664 19.8 -4,247 -14,574 70.9
4 SEMBCORP MARINE LTD
2Q S$’000 1,216,989 831,310 46.4 142,780 149,743 -4.6
5 GLOBAL PREMIUM HOTELS LIMITED
2Q S$’000 15,224 13,617 11.8 3,595 6,387 -43.7
6 FRAGRANCE GROUP LIMITED
2Q S$’000 102,548 83,640 22.6 21,260 23,531 -9.7
7 SING INVESTMENTS & FINANCE LTD
2Q S$’000 8,277 9,004 -8.1 3,385 3,397 -0.4
8 COLEX HOLDINGS LIMITED
HY S$’000 21,859 20,002 9.3 980 1,286 - 23.8
9 UNITED OVERSEAS INSURANCE LTD
2Q S$’000 34,200 28,479 20.1 10,044 7,151 40.5
10 ROXY-PACIFIC HOLDINGS LIMITED
2Q S$’000 52,720 46,694 13 17,733 16,485 8
11 CHINA AVIATION OIL(S) CORP LTD
2Q US$'000 3,712,546 2,469,392 50.34 14,387 19,233 -25.20
12 UNITED FOOD HOLDINGS LIMITED
2Q RMB'000 1,267,973 1,387,258 - 8.60 -78,136 2,353 n.m.
13 HYFLUX LTD 2Q S$’000 190,427 111,081 71 17,513 14,526 21
14 BBR HOLDINGS (S) LTD
2Q S$’000 59,108 126,773 -53.4 2,917 4,634 -37.1
15 LIPPO MALLS INDO RETAIL TRUST
2Q S$’000 45,799 33,106 38.3 -3,579 -2,336 n.m
16 INNOVALUES LIMITED 2Q S$’000 23,740
21,884
8.5
2,272
118
1,825.4
17 SECOND CHANCE PROPERTIES LTD
4Q S$’000 48,600 49,066 -0.95 17,456 30,056 -41.92
18 DYNAMIC COLOURS LIMITED
HY US$'000 40,223 49,134 -18.1 1,515 934 62.2
Source: SGX Masnet
Morning Note 3 AUGUST 2012
4 of 16
Company Highlights
BBR Holdings (S) Ltd has won a S$153.1 million contract from Ascendas Land (Singapore) Pte Ltd to design and construct a mixed-use development at Fusionopolis Place in the Buona Vista area. (Closing Price: $0.215, -%) Cambridge Industrial Trust is pleased to announce that it has entered into a facility agreement with Standard Chartered Bank on 31 July 2012 under which Standard Chartered Bank will provide Facilities totalling S$40 million comprising of, a S$25 million revolving credit facility, a S$11 million revolving credit facility and a S$4 million revolving credit facility to CIT, on the terms and conditions set out in the facility agreement. (Closing Price: $0.590, -0.840%) CDW Holding Limited wishes to announce that its subsidiary, Crystal Display Components (Suzhou) Co., Ltd has entered into a conditional acquisition agreement with the management committee of the Mu Du Economic Development Zone wherein CD Suzhou has agreed to dispose of, and the Mu Du Authorities has agreed to acquire the land use rights to the property at No 201 Jinchang Road in Mu Du town of Suzhou, and all property, structures and facilities situated therein which belong to CD Suzhou. The consideration for the Proposed Disposal is RMB56,164,100, approx. S$10,980,200. (Closing Price: $0.088, -%) ComfortDelGro Corporation, through its 51%-owned subsidiary, ComfortDelGro Cabcharge, is acquiring one of the largest private regional bus companies that has services operating into Canberra. The proposed A$53 million acquisition of Deane's Bus Lines Pty Ltd and Transborder Express, both of which are part of Deane's Transit Group, will further increase ComfortDelGro Cabcharge's presence in the Australian land transport industry. CDC, which is a joint venture between ComfortDelGro and Cabcharge of Australia, also operates bus services in New South Wales and Victoria. Separately, ComfortDelGro also operates taxi services in Perth, Western Australia. (Closing Price: $1.690, +0.595%) DBS Group Holdings announced that Derrick Goh will be appointed as the new Head of POSB, effective 1 October 2012. Koh Kar Siong, the current Head of POSB, will succeed Pearlyn Phau as the Regional Head of DBS Treasures as Phau moves to become the Head of Consumer Banking in Hong Kong. The appointments underscore DBS' commitment to mobility and talent development as it further entrenches its leadership in the region. (Closing Price: $14.690, -0.810%) EMS Energy Limited is pleased to announce that its majority owned subsidiary, Oilfield Services & Supplies Pte Ltd has entered into a Sale and Purchase Agreement with Oilfield Services and Supplies Enterprise Pte Ltd to dispose its factory building and leasehold land located at 11 Joo Koon for S$4.5 million. The Disposal will result in a profit of S$0.5million for OSSPL, or S$0.3 million contribution to the Group as OSSPL is 60% owned by the Company. (Closing Price: $0.036, -%) Ezion Holdings Limited is pleased to announce that the Group has been awarded a third contract to provide full logistics and support services activities for the haulage of equipment and modules for the development of LNG facilities on Curtis Island, Queensland, Australia. This LNG facility which is the third of the eight proposed in Queensland, Australia, has an initial capacity of 9 million tonnes per annum and expected to increase production to 16 Mtpa. The Queensland government has estimated that 50 Mtpa of LNG could be produced from the Surat and Bowen Basins in Queensland that could be piped to the coast for export. The contract is the fourth major LNG related project that the Group has secured in Australia since 2009. The contract value of approximately US$71 million is in relation to the development of the first two LNG trains. There could potentially be up to 4 LNG trains to be developed for the project which will require similar types of logistics vessels. (Closing Price: $0.970, +2.646%) Linair Technologies Limited expects to record a consolidated net loss after tax for the first half year ended 30 June 2012 due principally to further provision for the impairment of the Plant, Property and Equipment in its Suzhou subsidiary. The need for further impairment is due to deteriorating operating conditions in China faced by its Suzhou subsidiary. (Closing Price: $0.038, -%) Lonza has entered a worldwide, non-exclusive licensing agreement with iPS Academia Japan, Inc. for its induced pluripotent stem cell patent portfolio. By entering this agreement, Lonza demonstrates its commitment to the field of regenerative medicine and reinforces its belief that iPSCs are a key platform technology for the cell therapy market. (Closing Price: $79.970, -%) Memtech International Limited would like to advise shareholders that the Group expects a loss for 2Q2012, mainly due to significantly lower demand for mobile phone keypads. (Closing Price: $0.071, -%) Oakwell Engineering Limited expects to report a net loss for 1H2012 due mainly to the Shipbuilding segment. The Shipbuilding segment is expected to post a net loss for 1H2012, as a result of delays in the delivery which led to higher-than-expected costs incurred for the Group’s first survey vessel project. (Closing Price: $0.050, -%) Yuexiu Property Company Limited acquired by way of an open tender through its 100%-owned subsidiary the Lin'an Phase III Land Parcels at an aggregate consideration of RMB253,560,000. The land parcels have a total permissible GFA of approximately 214,600 sq.m. (Closing Price: $0.260, -%) Source: SGX Masnet, The Business Times
Morning Note 3 AUGUST 2012
5 of 16
FSSTI 3,036.19 -0.49% 12,878.88 -0.71%
12.19 19,690.20 -0.66%
83.36 +0.36% 1,588.63 +0.06%
87.13 -2.00% 1.478 -0.05%Crude oil US Treasury 10yr Yield
HSIFSSTI (P/E)
Dollar Index Gold
DJI
Source: Bloomberg
2500
2700
2900
3100
3300
Aug-11
Sep-11
Oct-1
1
Nov-11
Dec-11
Jan-1
2
Feb
-12
Mar-1
2
Apr-1
2
May-1
2
Jun-1
2
Jul-1
2
10500
11000
11500
12000
12500
13000
13500
Aug-11
Sep-11
Oct-1
1
Nov-11
Dec-11
Jan-1
2
Feb
-12
Mar-1
2
Apr-1
2
May-1
2
Jun-1
2
Jul-1
2
15500
17500
19500
21500
23500
Aug-11
Sep-11
Oct-1
1
Nov-11
Dec-11
Jan-1
2
Feb
-12
Mar-1
2
Apr-1
2
May-1
2
Jun-1
2
Jul-1
2
6
7
8
9
10
11
12
13
Aug-11
Sep-11
Oct-1
1
Nov-11
Dec-11
Jan-1
2
Feb
-12
Mar-1
2
Apr-1
2
May-1
2
Jun-1
2
Jul-1
2
72
74
76
78
80
82
84
86
Aug-1
1
Sep-1
1
Oct-1
1
Nov-1
1
Dec-1
1
Jan-1
2
Feb
-12
Ma
r-12
Apr-1
2
Ma
y-12
Jun-1
2
Jul-1
2
1200
1350
1500
1650
1800
1950
Aug-11
Sep-11
Oct-1
1
Nov-11
Dec-11
Jan-1
2
Feb
-12
Mar-1
2
Apr-1
2
May-1
2
Jun-1
2
Jul-1
2
70
80
90
100
110
120
Aug
-11
Sep
-11
Oct-1
1
Nov-1
1
Dec-1
1
Jan-1
2
Feb-1
2
Mar-1
2
Apr-1
2
May-1
2
Jun-1
2
Jul-1
2
1.5
2
2.5
3
Aug-11
Sep-11
Oct-1
1
Nov-11
Dec-11
Jan-1
2
Feb
-12
Mar-1
2
Apr-1
2
May-1
2
Jun-1
2
Jul-1
2
Morning Note 3 AUGUST 2012
6 of 16
Phillip Securities Research - Singapore Stocks Coverage
Company Analyst RatingTarget Price
(S$)
Current
Price (S$)
Difference to
Target Price
(%)
DBS GROUP HOLDINGS LTD Ken Ang Accumulate M 14.900 14.690 1.4%
OVERSEA-CHINESE BANKING CORP Ken Ang Reduce D 8.200 9.440 -13.1%
UNITED OVERSEAS BANK LTD Ken Ang Reduce D 17.500 19.890 -12.0%
GENTING SINGAPORE PLC Magdalene Choong Buy U 1.750 1.295 35.1%
SINGAPORE EXCHANGE LTD Ken Ang Accumulate M 6.720 6.690 0.4%
COMFORTDELGRO CORP LTD Derrick Heng Buy M 1.650 1.690 -2.4%
SMRT CORP LTD Derrick Heng Sell M 1.350 1.625 -16.9%
NEPTUNE ORIENT LINES LTD Derrick Heng Neutral U 1.190 1.175 1.3%
SINGAPORE AIRLINES LTD Derrick Heng Buy U 13.300 10.860 22.5%
TIGER AIRWAYS HOLDINGS LTD Derrick Heng Reduce M 0.550 0.700 -21.4%
M1 LTD Ken Ang Reduce M 2.380 2.560 -7.0%
SINGAPORE TELECOM LTD Derrick Heng Neutral D 3.310 3.560 -7.0%
STARHUB LTD Derrick Heng Neutral M 2.940 3.860 -23.8%
SIA ENGINEERING CO LTD Derrick Heng Buy M 5.000 4.220 18.5%
SINGAPORE TECH ENGINEERING Derrick Heng Accumulate M 3.370 3.290 2.4%
SATS LTD Derrick Heng Neutral D 2.650 2.560 3.5%
COSCO CORP SINGAPORE LTD Phillip Research Team Reduce U 1.000 0.950 5.3%
SEMBCORP MARINE LTD Phillip Research Team Buy M 6.100 4.880 25.0%
SEMBCORP INDUSTRIES LTD Phillip Research Team Buy M 6.580 5.280 24.6%
KEPPEL CORP LTD Phillip Research Team Accumulate M 11.680 11.200 4.3%
GOLDEN AGRI-RESOURCES LTD Phillip Research Team Accumulate M 0.770 0.650 18.5%
WILMAR INTERNATIONAL LTD Phillip Research Team Buy U 4.370 3.240 34.9%
CHINA SUNSINE CHEMICAL HLDGS Lee Kok Joo Not Rated D - 0.260 -
FORELAND FABRICTECH HOLDINGS Lee Kok Joo Reduce D 0.080 0.051 56.9%
SINO GRANDNESS FOOD INDUSTRY Lee Kok Joo Accumulate M 0.490 0.470 4.3%
ZIWO HOLDINGS LTD Lee Kok Joo Sell M 0.095 0.088 8.0%
COMBINE WILL INTERNATIONAL H Chan Wai Chee Buy M 1.340 0.695 92.8%
HU AN CABLE HOLDINGS LTD Chan Wai Chee Buy U 0.275 0.136 102.2%
HENGYANG PETROCHEMICAL LOGIS Chan Wai Chee Buy I 0.610 0.225 171.1%
SUNPOWER GROUP LTD Chan Wai Chee Buy M 0.400 0.200 100.0%
STAMFORD LAND CORP LTD Chan Wai Chee Buy I 0.795 0.545 45.9%
CAPITAMALLS ASIA LTD Bryan Go Buy M 1.820 1.650 10.3%
HO BEE INVESTMENT LTD Bryan Go Neutral M 1.430 1.230 16.3%
KEPPEL LAND LTD Bryan Go Neutral M 3.300 3.430 -3.8%
OVERSEAS UNION ENTERPRISE Bryan Go Accumulate M 2.830 2.540 11.4%
SC GLOBAL DEVELOPMENTS LTD Bryan Go Neutral U 1.000 0.990 1.0%
CAPITALAND LTD Bryan Go Accumulate M 3.270 3.050 7.2%
CDL HOSPITALITY TRUSTS Travis Seah Accumulate D 2.000 1.995 0.3%
PARKWAYLIFE REAL ESTATE Travis Seah Accumulate M 1.975 1.995 -1.0%
SABANA SHARIAH COMP IND REIT Travis Seah Accumulate D 1.040 1.010 3.0%
US Stocks Coverage
Company Analyst RatingTarget Price
(US$)
Current
Price (US$)
Upside to
Target Price
(%)
BANK OF AMERICA CORP Magdalene Choong Neutral M - 7.180 -
CITIGROUP INC Magdalene Choong Neutral D - 26.180 -
LAS VEGAS SANDS CORP Magdalene Choong Neutral D 40.000 36.910 8.4%
WYNN RESORTS LTD Magdalene Choong Neutral D - 93.530 -
MGM RESORTS INTERNATIONAL Magdalene Choong Accumulate D 12.900 9.000 43.3%
Source: Phillip Securities Research Pte Ltd
Morning Note 3 AUGUST 2012
7 of 16
Director / Substantial Shareholders’ Transactions
Company Substantial Shareholder / Director From (%) To (%)
COMFORTDELGRO CORPORATION LIMITED BlackRock, Inc. 4.99 5.00
ACE ACHIEVE INFOCOM LIMITED FULL ACHIEVE INVESTMENTS LIMITED 22.14 22.32
GRAND BANKS YACHTS LIMITED Shinetown Limited 7.53 7.07
STATS CHIPPAC LTD Marathon Asset Management LLP 6.06 5.99
M DEVELOPMENT LTD. VALUE CAPITAL ASSET MANAGEMENT PTE LTD
6.98 4.58
Source: SGX Masnet
Morning Note 3 AUGUST 2012
8 of 16
FTSE ST Breakdown (% Change)
STI -0.49%
-0.96%
0.04%
0.09%
0.96%0.16%
-0.60%
-0.47%
-0.26%
-1.06%
-0.40%
1.63%
0.50%
ST China
ST Real Estate
ST Re Invest Trust
ST Oil & Gas
ST Basic Materials
ST Industrials
ST Consumer Goods
ST Consumer Service
ST Telecommunicate
ST Utilites
ST Financials
ST Technology-1.96%
ST Healthcare
Source: Bloomberg
FTSE ST Market Cap. Breakdown (% Change)
Top Gainers Last Chg
0.14%
-0.12% -0.28%
ST All Share
ST Fledgling
ST Small Cap
ST Mid Cap
STI
-0.49%
-0.40%
▲CerebosPac 6.530 1.150
▲JSH 500US$ 31.870 0.380
▲Isetan(S) 4.900 0.330
Top Losers Last Chg
▼PRU 500US$ 10.000 -1.500
▼HKLand US$ 6.170 -0.330
▼JMH 400US$ 51.600 -0.140
Top Volume Last Vol
▼CPH 0.012 89,222
▼TT Int 0.123 52,419
▲GoldenAgr 0.725 50,118
TURNOVER (SHARES) 1,067,043,750
TURNOVER (S$) 885,711,408
UP 156
DOWN 188
UNCHANGED 448
Source: Bloomberg
Source: SGX
Morning Note 3 AUGUST 2012
9 of 16
Source: Bloomberg
Major World Indices
JCI -0.90% 4,093.11
HSI -0.66% 19,690.20
KLCI 0.06% 1,633.45
NIKKEI 0.13% 8,653.18
KOSPI -0.56% 1,869.40
SET 0.15% 1,201.13
SHCOMP -0.57% 2,111.18
SENSEX -0.19% 17,224.36
ASX 0.16% 4,269.54
FTSE 100 -0.88% 5,662.30
DOW -0.71% 12,878.88
S&P 500 -0.74% 1,365.00
NASDAQ -0.36% 2,909.77
COLOMBO 0.31% 4,960.05
STI -0.49% 3,036.19
ETF % Change Change Last
DB X-TRACKERS FTSE VIETNAM +1.23 +0.28 22.98
DB X-TRACKERS MSCI INDONE -0.67 -0.10 14.75
DB X-TRACKERS MSCI JAPAN TRN +0.09 +0.03 34.59
DB X-TRACKERS MSCI TAIWAN -0.30 -0.05 16.47
DB X-TRACKERS S&P CNX NIFTY +0.79 +0.76 96.40
ISHARES MSCI INDIA INDEX ETF -0.73 -0.04 5.41
LYXOR ETF CHINA ENTERPRISE -1.41 -0.18 12.60
Source: Bloomberg
Morning Note 3 AUGUST 2012
10 of 16
Commodities % Chg Chg Last Price of S$1 Price of US$1
GOLD SPOT (US$/OZ) +0.06 +0.97 1,588.63 0.7652 1.0451
SILVER SPOT (US$/OZ) +0.10 +0.03 27.14 0.8054 1.0070
WTI Cushing Crude Oil Spot Price (US$/bbl) -2.00 -1.78 87.13 0.6578 1.2164
0.5157 1.5506
0.7998 1.0000
Commodities % Chg Chg Last 5.0940 6.3685
Malaysian Rubber Board Standard (MYR/kg) -0.69 -6.00 861.75 6.2026 7.7542
PALM OIL (MYR/Metric Tonne) +0.17 +5.00 2,920.50 62.5800 78.2500
907.2393 1132.2000
Index % Chg Chg Last 2.5038 3.1432
DOLLAR INDEX SPOT +0.36 +0.30 83.36 25.2940 31.6200
Source: Bloomberg
JAPANESE YEN
KOREAN WON
MALAYSIAN RINGGIT
THAI BAHT
US DOLLAR
CHINA RENMINBI
HONG KONG DOLLAR
CANADIAN DOLLAR
EURO
BRITISH POUND
Currencies
AUSTRALIAN DOLLAR
Commodities & Currencies
Maturity Today Yesterday Last Week Last Month
3 Months 0.07 0.07 0.08 0.04
6 Months 0.12 0.13 0.13 0.13
2 Years 0.22 0.22 0.23 0.30
3 Years 0.29 0.31 0.30 0.38
5 Years 0.61 0.63 0.58 0.69
10 Years 1.48 1.52 1.44 1.63
30 Years 2.55 2.60 2.50 2.74
Yield Spread (10 yrs - 3 mths)
Yield Spread (10 yrs - 2 yrs)
US Treasury Yields
1.41
1.26
Source: Data provided by ValuBond – http://w w w .valubond.com
EX Date Company Type Net Amount Currency Frequency Record Date Payout Date
8/3/2012 GLOBAL YELLOW PAGES LTD Final 0.0020 SGD Semi-Anl 8/7/2012 8/28/2012
8/3/2012 PAN HONG PROPERTY GROUP LTD Regular Cash 0.0100 SGD Annual 8/7/2012 8/30/2012
8/3/2012 KING WAN CORP LTD Final 0.0100 SGD Semi-Anl 8/7/2012 8/17/2012
8/3/2012 UNITED ENVIROTECH LTD Regular Cash 0.0030 SGD Annual 8/7/2012 8/17/2012
8/3/2012 METRO HOLDINGS LTD Special Cash 0.0400 SGD Annual 8/7/2012 N.A.
8/6/2012 SINGAPORE TELECOM LTD Final 0.0900 SGD Semi-Anl 8/8/2012 8/24/2012
8/6/2012 WILLAS-ARRAY ELECTRONICS Special Cash 0.0183 HKD Annual 8/8/2012 8/21/2012
8/6/2012 OLD CHANG KEE LTD Regular Cash 0.0100 SGD Annual 8/8/2012 N.A.
8/7/2012 HIAP SENG ENGINEERING LTD Final 0.0050 SGD Semi-Anl 8/10/2012 8/28/2012
8/7/2012 POWERMATIC DATA SYSTEMS LTD Regular Cash 0.0100 SGD Annual 8/10/2012 8/27/2012
8/7/2012 SHENG SIONG GROUP LTD Regular Cash 0.0100 SGD Irreg 8/10/2012 8/22/2012
8/8/2012 ERATAT LIFESTYLE LTD Regular Cash 0.0250 CNY Annual 8/13/2012 8/24/2012
8/8/2012 HIAP TONG CORP LTD Regular Cash 0.0050 SGD Irreg 8/13/2012 9/25/2012
8/8/2012 GP BATTERIES INTL LTD Final 0.0150 SGD Semi-Anl 8/13/2012 8/28/2012
Corporate Action: Dividend
Source: Bloomberg
Morning Note 3 AUGUST 2012
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Name Expected Report Date
SembCorp Industries Ltd 8/3/2012
Hyflux Ltd 8/3/2012
Intraco Ltd 8/3/2012
Sinw a Ltd 8/3/2012
Sing Investments & Finance Ltd 8/3/2012
CWT Ltd 8/3/2012
Overseas Union Enterprise Ltd 8/3/2012
Wee Hur Holdings Ltd 8/3/2012
Asia Enterprises Holding Ltd 8/3/2012
Jadason Enterprises Ltd 8/3/2012
Heeton Holdings Ltd 8/3/2012
DBS Group Holdings Ltd 8/3/2012
CCM Group Ltd 8/3/2012
Advanced Integrated Manufacturing Corp Ltd 8/3/2012
Inno-Pacif ic Holdings Ltd 8/3/2012
Top Global Ltd 8/3/2012
United Envirotech Ltd 8/3/2012
Challenger Technologies Ltd 8/3/2012
Transpac Industrial Holdings Ltd 8/3/2012
Kreuz Holdings Ltd 8/3/2012
Blumont Group Ltd 8/3/2012
CSC Holdings Ltd 8/3/2012
euNetw orks Group Ltd 8/3/2012
Eucon Holding Ltd 8/3/2012
Ntegrator International Ltd 8/3/2012
UMS Holdings Ltd 8/3/2012
China Haida Ltd 8/3/2012
Mencast Holdings Ltd 8/3/2012
BBR Holdings Ltd/Singapore 8/3/2012
Wee Hur Holdings Ltd 8/3/2012
Europtronic Group Ltd 8/3/2012
UPP Holdings Ltd 8/3/2012
Boardroom Ltd 8/3/2012
Rokko Holdings Ltd 8/3/2012
KSH Holdings Ltd 8/3/2012
Singapore Land Ltd 8/3/2012
CEI Contract Manufacturing Ltd 8/3/2012
LH Group Ltd 8/3/2012
United Industrial Corp Ltd 8/3/2012
Meiban Group Ltd 8/3/2012
Jiutian Chemical Group Ltd 8/3/2012
Huan Hsin Holdings Ltd 8/3/2012
SHC Capital Asia Ltd 8/3/2012
SBI Offshore Ltd 8/3/2012
Hanw ell Holdings Ltd 8/3/2012
Hock Lian Seng Holdings Ltd 8/3/2012
China Environment Ltd 8/3/2012
Food Junction Holdings Ltd 8/3/2012
Advanced Holdings Ltd 8/3/2012
Natural Cool Holdings Ltd 8/3/2012
ISDN Holdings Ltd 8/3/2012
Hock Lian Seng Holdings Ltd 8/3/2012
MFS Technology Ltd 8/3/2012
Creative Technology Ltd/Singapore 8/3/2012
QAF Ltd 8/6/2012
Nippecraft Ltd 8/6/2012
Maxi-Cash Financial Services Corp Ltd 8/6/2012
Rickmers Maritime 8/6/2012
Singapore Reinsurance Corp Ltd 8/7/2012
Challenger Technologies Ltd 8/7/2012
Earning Announcement – Singapore
Calendar
Morning Note 3 AUGUST 2012
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Date Statistic For Survey Prior Date Statistic For Survey Prior
8/3/2012 Change in Nonfarm Payrolls Jul 100K 80K 8/7/2012 Foreign Reserves Jul -- $243.38B
8/3/2012 Change in Private Payrolls Jul 110K 84K 8/8/2012 Automobile COE Open Bid Cat A 8-Aug -- 68656
8/3/2012 Change in Manufact. Payrolls Jul 10K 11K 8/8/2012 Automobile COE Open Bid Cat B 8-Aug -- 90501
8/3/2012 Unemployment Rate Jul 8.20% 8.20% 8/8/2012 Automobile COE Open Bid Cat E 8-Aug -- 92700
8/3/2012 Avg Hourly Earning MOM All Emp Jul 0.20% 0.30% 11-24 AUG GDP (annualized) (QoQ) 2Q F -- -1.10%
8/3/2012 Avg Hourly Earning YOY All Emp Jul 1.70% 2.00% 11-24 AUG GDP (YoY) 2Q F -- 1.90%
8/3/2012 Avg Weekly Hours All Employees Jul 34.5 34.5 8/15/2012 Retail Sales Ex Auto (YoY) Jun -- 0.70%
8/3/2012 Change in Household Employment Jul -- 128 8/15/2012 Retail Sales (YoY) Jun -- 0.50%
8/3/2012 Underemployment Rate (U6) Jul -- 14.90% 8/15/2012 Retail Sales (MoM) sa Jun -- -2.70%
8/3/2012 ISM Non-Manf. Composite Jul 52 52.1 8/17/2012 Electronic Exports (YoY) Jul -- 1.60%
8/7/2012 JOLTs Job Openings Jun -- 3642 8/17/2012 Non-oil Domestic Exports (YoY) Jul -- 6.80%
8/8/2012 Consumer Credit Jun $11.000 $17.117B 8/17/2012 Non-oil Domestic Exp SA (MoM) Jul -- 6.70%
8/8/2012 MBA Mortgage Applications 3-Aug -- 0.20% 8/23/2012 CPI (MOM) - NSA Jul -- 0.00%
8/8/2012 Nonfarm Productivity 2Q P 1.40% -0.90% 8/23/2012 CPI (YoY) Jul -- 5.30%
8/8/2012 Unit Labor Costs 2Q P 0.40% 1.30% 8/23/2012 Automobile COE Open Bid Cat A 23-Aug -- --
US Singapore
Economic Announcement
Source: Bloomberg Source: Bloomberg
Morning Note 3 AUGUST 2012
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Morning Note 3 AUGUST 2012
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Morning Note 3 AUGUST 2012
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Chan Wai Chee Lee Kok Joo, CFA Joshua Tan CEO, Research Head of Research Macro Strategist
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Morning Note 3 AUGUST 2012
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