Written by Ellina Badri
Friday, 04 September 2009 05:56
KUALA LUMPUR: After snapping three days of losses, the local stock market could extend its gains following the firmer close on Wall Street, but investors should also expect profit taking on selected counters including Genting.
On Wall Street, stocks snapped a four-day losing streak, after stronger-than-expected retail sales data eased concerns about the economy before today's important jobs data.
The broad Standard & Poor's 500 Index crossed the psychologically important level of 1,000. It was up 8.49 points, or 0.85%, at 1,003.24. The S&P is up about 48% from its 12-year closing low on March 9.
The Dow Jones industrial average was up 63.94 points, or 0.69%, at 9,344.61. The Nasdaq Composite Index was up 16.13 points, or 0.82%, at 1,983.20.
The US Labor Department is due to release its non-farm payrolls figures on Friday morning, which should shed light on the outlook for the economic recovery.
Stocks to watch on Bursa Malaysia include Genting, Gamuda, Bina Puri and Multi Sports.
In Genting, it could see some profit taking. The share price rallied in tandem with Genting Singapore plc on speculation the S$6.6 billion (RM16.2 billion) resort casino in Singapore will open ahead of schedule. It is due to open only in 2010.
In GAMUDA BHD [], Platinum Investment Management Ltd took profit on the infrastructure-based company. It disposed of 6.29 million shares on Aug 27, reducing its stake to 153.5 million shares or 7.62%.
Bina Puri secured a RM36.76 million contract for a substructure project in Sabah. The project brings its current order book to RM2.32 billion. It has secured up to RM1.15 billion worth of new projects this year.
KUB MALAYSIA BHD [] secured a RM23.15 million contract from TELEKOM MALAYSIA BHD []. The contract is for the supply and delivery of home networking devices.
Chinese shoemaker Multi Sports Holdings Ltd saw a substantial shareholder, the Quek family, selling a 2.83% stake, comprising 10.2 million shares, on Aug 28. This has reduced its interest in the company to 8.56%.
Before Aug 28, it held a 11.4% stake in the company. It had on Aug 24, disposed of a 3.6% interest.