KUALA LUMPUR: Stock markets in Asia managed to snap their recent losses on June 24, as sentiment was underpinned by a more positive outlook from the OECD.
However, the markets could ease on June 25 after the Dow Jones Industrial Average fell for the fourth day on June 24 and other indexes ended well off the day's highs after the Federal Reserve reiterated concerns about the economic outlook at the end of its policy meeting.
According to Reuters, the Fed, as expected, left the benchmark fed funds rate at almost zero. The bond market sold off on disappointment that the Fed did not announce an acceleration or increase of its purchases of Treasury and mortgage-related debt.
Earlier, there was an upbeat report from the US as better orders for airplanes and machinery translated into a better-than-expected 1.8% increase in durable goods orders in May.
A narrower gauge of business investment marked its best increase in more than four years. It was the third increase in the past four months for durable-goods orders. Despite the recent increases, however, the level of new orders in May was down 5.1% from December. The 1.8% increase followed an identical gain in April.
At Bursa Malaysia, trading focus on June 25 would likely be oil and gas (O&) related companies, MK Land, Glomac, KNM and Hap Seng. Also on the radar screen could be AirAsia and MAHB.
Petronas will announce its results for the financial year ended March 31 and perhaps details could be obtained also about its strategy.
Earlier this month, Petronas and ExxonMobil have committed to spend minimum of US$2.1 billion (RM7.35 billion) to further develop seven oil fields offshore Peninsular Malaysia.
The commitment, which involves seven oil fields at Seligi, Guntong, Tapis, Semangkok, Irong Barat, Tabu and Palas, is expected to be a major boost for the local O&G companies and those involved in the supporting industries.
Glomac Bhd recorded a net profit of RM7.21 million in the fourth quarter ended April 30, 2009, a 66.5% increase from RM4.33 million posted for the same period last year.
The higher earnings were underpinned by recognition of revenue from the sale of Glomac Tower and the fair value gain for Wisma Glomac 3.
MK Land Holdings Bhd is venturing into India via a JV with India’s property developer Embassy Group for an integrated township development with a gross development value (GDV) of RM3 billion, on a 300-acre parcel of land in northern Bangalore.
MK Land sees the project as a stepping-stone for the group to expand to other parts of India.
KNM Group is expected to attract heavy trading interest as it expects its earnings for this year to be “comparable to last year”, underpinned by the recovery in oil prices and as it moves up the value chain.
AirAsia could also be in focus as the low-cost carrier said it has waived administration charges, totalling more than RM600 million over a 12-month period. The waiver is to boost travelling while the group expects to recoup it with more volume, sales of food and hotel bookings.
In Hap Seng Plantations, the Employees Provident Fund Board has emerged as a substantial shareholder in the company with 5.22% or 41.76 million shares as at June 16.
Meanwhile, the government has appointed a consultant to find the middle path on disputes between AirAsia and Malaysia Airports Holdings Bhd (MAHB).
Prime Minister Datuk Seri Najib Razak said that the disputes were being studied by the consultant and the findings would be used as the basis to resolve the differences between AirAsia and MAHB.
However, the markets could ease on June 25 after the Dow Jones Industrial Average fell for the fourth day on June 24 and other indexes ended well off the day's highs after the Federal Reserve reiterated concerns about the economic outlook at the end of its policy meeting.
According to Reuters, the Fed, as expected, left the benchmark fed funds rate at almost zero. The bond market sold off on disappointment that the Fed did not announce an acceleration or increase of its purchases of Treasury and mortgage-related debt.
Earlier, there was an upbeat report from the US as better orders for airplanes and machinery translated into a better-than-expected 1.8% increase in durable goods orders in May.
A narrower gauge of business investment marked its best increase in more than four years. It was the third increase in the past four months for durable-goods orders. Despite the recent increases, however, the level of new orders in May was down 5.1% from December. The 1.8% increase followed an identical gain in April.
At Bursa Malaysia, trading focus on June 25 would likely be oil and gas (O&) related companies, MK Land, Glomac, KNM and Hap Seng. Also on the radar screen could be AirAsia and MAHB.
Petronas will announce its results for the financial year ended March 31 and perhaps details could be obtained also about its strategy.
Earlier this month, Petronas and ExxonMobil have committed to spend minimum of US$2.1 billion (RM7.35 billion) to further develop seven oil fields offshore Peninsular Malaysia.
The commitment, which involves seven oil fields at Seligi, Guntong, Tapis, Semangkok, Irong Barat, Tabu and Palas, is expected to be a major boost for the local O&G companies and those involved in the supporting industries.
Glomac Bhd recorded a net profit of RM7.21 million in the fourth quarter ended April 30, 2009, a 66.5% increase from RM4.33 million posted for the same period last year.
The higher earnings were underpinned by recognition of revenue from the sale of Glomac Tower and the fair value gain for Wisma Glomac 3.
MK Land Holdings Bhd is venturing into India via a JV with India’s property developer Embassy Group for an integrated township development with a gross development value (GDV) of RM3 billion, on a 300-acre parcel of land in northern Bangalore.
MK Land sees the project as a stepping-stone for the group to expand to other parts of India.
KNM Group is expected to attract heavy trading interest as it expects its earnings for this year to be “comparable to last year”, underpinned by the recovery in oil prices and as it moves up the value chain.
AirAsia could also be in focus as the low-cost carrier said it has waived administration charges, totalling more than RM600 million over a 12-month period. The waiver is to boost travelling while the group expects to recoup it with more volume, sales of food and hotel bookings.
In Hap Seng Plantations, the Employees Provident Fund Board has emerged as a substantial shareholder in the company with 5.22% or 41.76 million shares as at June 16.
Meanwhile, the government has appointed a consultant to find the middle path on disputes between AirAsia and Malaysia Airports Holdings Bhd (MAHB).
Prime Minister Datuk Seri Najib Razak said that the disputes were being studied by the consultant and the findings would be used as the basis to resolve the differences between AirAsia and MAHB.