ASEAN Trading was mixed yesterday as the markets waited to see the start of earnings season in the USA, it will be a volatile week this week and buying on dips only should be the rule, there are a lot earnings and the market will get a few shocks in the next 14 days, both on the upside and downside.
Buying on bad news selling on good news could be very profitable over the 14 day season, it is also a good time to look for quality stocks in ASEAN.
Indonesia shares closed higher by 14.895 points (0. 50 percent) to a level of 2,958.791 on Monday.
As many as 94,100 transactions were booked on Monday at a volume of 4.595 billion copies of share worth 3.180 trillion rupiah (about 352 million U.S. dollars)
Indonesia’s capital markets are enjoying a bumper year as investors move in to make the most of its burgeoning economy and relatively strong outlook. Companies and the government are taking advantage of the upswing to launch initial public offerings and bond issues.
Shares on the Indonesia Stock Exchange (NYSEARCA:IDX) — the Bursa Efek Indonesia — have risen substantially this year, with the benchmark Jakarta Composite Index posting a 15 percent rise and hitting a six-week high on June 16, making the IDX the best-performing bourse in South-east Asia in 2010.
Foreign investors have been particularly enthusiastic, with net buying totaling US$545 million, according to international press reports.
Indonesia’s economy could expand close to 6 percent this year, after it grew faster in the second quarter due to stronger exports, Finance Minister Agus Martowardojo said.
“In the first half we had 5.8 percent growth year-on-year,” the minister said Thursday after attending a meeting at the State Palace. “In the second half we could grow by 6 percent, so the full-year growth would be 5.9 percent.”
The full-year projection was higher than the government’s initial estimate of 5.8 percent. The central bank expects the economy might expand 6 percent this year
Foreign investors were net buyers of THB263 million ($ 8.12 million) worth of Thai stocks Monday out of a total THB22.05 billion traded, the Stock Exchange of Thailand said.
The Stock Exchange of Thailand (SET) composite index on Monday lost 0.99 point or 0.12 per cent to close at 819.61 points. The market value was 22.04 billion baht, with 5.36 billion shares traded.
Thai Prime Minister Abhisit Vejjajiva on Friday that the government’s measures to stimulate economy could result in 6% + growth in the country’ s Gross Domestic Product (NYSEMKT:GDP) this year.
“If we consider figures of economic indicators over the 1st 3 or 4 months of the year, the GDP growth could expand as high as 7%,” the Bangkok Post online quoted Abhisit as saying.
After the recent political unrest, relevant state agencies had adjusted their growth projection for Y 2010 to 5%, but the growth target stands at 6% and it could be achieved, the Prime Minister said. He remarked that if political unrest recurs, the economic growth rate would be less than 6%.
Figures are in millions of baht (THB):Bought % Sold % Net
Institutional 1,568 7 1,960 9 -392
Proprietary 1,839 8 2,113 10 -275
Foreign 3,288 15 3,025 14 263
Retail 15,355 70 14,951 67 404
In the month to date, foreigners have been net sellers of THB394.1 million of Thai shares.
In the year to date, foreigners have been net sellers of THB17.72 billion of Thai shares.
Note: Foreign activity represents transactions by both institutions and individuals, local retail activity is by Thai nationals only, and institutional activity is by domestic institutions, SET member-brokers and sub-brokers.
Top five most active values were as follows;
TMB closed at 1.76 baht, up by 0.06 baht or 3.53 per cent.
TRUBB closed at 8.90 baht, up by 2.05 baht or 29.93 per cent.
TCAP closed at 31.00 baht, up by 1.00 baht or 3.33 per cent.
CPF closed at 21.20 baht, down by 0.30 baht or 1.40 per cent.
SCB closed at 82.75 baht, down by 0.50 baht or 0.60 per cent.
Singapore Telecommunications on Friday increased its stake marginally in Bharti Airtel to 32.04 per cent by purchasing around 15 lakh shares in an open market deal for about $12.45 million or Rs 42.27 crore.
South East Asia's largest telecoms company SingTel's wholly-owned subsidiary Viridian Ltd purchased 1.58 million shares of Bharti Airtel for an aggregate cash consideration of Rs 42.27 crore (Rs 422.78 million) or $12.45 million, the company said in a filing to a Singapore stock exchange.
The shares prices in Singapore rose 8.15 points or 0.28 percent on Monday with the benchmark Straits Times Index (NYSE:STI) closing at 2,925.32 points.
The overall volume stood at 1.02 billion shares worth 1.1 billion Singapore dollars (about 0.79 billion U.S. dollars).
The Philippine market closed 0.36 percent higher on Monday.
The bellwether Philippine Stock Exchange index gained 12.40 points to 3,406.96, while the broader all-share index increased by 0.29 percent or 6.18 points to 2,154.05.
Trading volume reached 957.7 million shares worth 2.82 billion pesos (61.03 million U.S. dollars). A total of 49 stocks closed higher, 35 declined while 71 stocks did not move.
Vietnam's stock market index, VN-Index, closed at 499. 93 points on Monday, up 0.47 points, or 0.09 percent, against the previous trading day.
A total of 36.91 million shares worth 1.01 trillion Vietnamese dong (VND) (52.95 million U.S. dollars) changed hands at the Ho Chi Minh City Stock Exchange. Prices of 122 stocks went up, 63 dropped while 65 remained unchanged.
Shayne Heffernan www.livetradingnews.com
Disclosure: Long THD, TTF, IDX, EIDO