Forex Market Update

The ICE U.S. Dollar Index finished the week lower Friday, after weaker-than-expected fourth-quarter gross domestic product data weighed on the greenback.

The index, a measure of the dollar’s strength against a trade-weighted basket of six rival currencies, finished the week at 94.87, down 0.1% from last Friday’s close

The dollar rose USDRUB, +0.88%  to a record high of 72.51 rubles in early trade, before recovering to 69.65 rubles to the dollar. 

The loonie CADUSD, -0.86%  traded at 78.56 cents, just above a six-year low reached earlier in the session, compared with 79.30 cents Thursday.

The buck recently USDJPY, -0.64%  changed hands at ¥117.46 compared with ¥118.29 late Thursday in New York.

Naural Gas Market Update

March natural gas NGH15, -1.62%  shed 3 cents to settle at $2.69 per million British thermal units.

Heating oil for February HOG5, +6.08%  settled up by 7 cents at $1.69 a gallon, while gasoline RBG5, +6.85% for the same month also jumped by 7 cents to $1.42 a gallon.

Oil Market Update

Oil prices soared Friday, achieving their biggest daily percentage gain in two and a half years, yet still wrapped up January with a big loss.

Analysts said factors behind oil’s jump on Friday included news of a huge drop in U.S. rig counts as producers respond to oversupply, as well as short covering on the last day of the month.

Light, sweet crude for March delivery CLH5, +7.37%  on the New York Mercantile Exchange, also known as West Texas Intermediate, settled up by $3.71, or 8.3%, at $48.24 a barrel. It was the largest one-day percentage advance since June 2012, coming just one day after the contract traded below the $44-a-barrel level for the first time in nearly six years.

SGX Singapore News Update

Singapore Exchange (SGX) has developed a disclosure guide for companies in complying with key aspects of governance and for investors in assessing information provided by companies.

Developed in a question-and-answer format, the guide makes clearer to companies specific principles and guidelines identified as express disclosure requirements in the Code of Corporate Governance 2012.

Under SGX’s comply-or-explain approach to the Code, listed companies are expected to comply with the Code or explain in their annual reports any deviation from the Code.  Listed companies are encouraged to enclose the new disclosure guide as part of their annual reports.

Investors can use these disclosure guides to review and compare companies’ governance practices, and better assess the companies they invest in.  A sample of the disclosure guide is attached.

Recent surveys have indicated that while compliance with the Code among SGX-listed companies is generally good, disclosures relating to remuneration, risk governance, board diversity and sustainability were not comprehensive.  Using the disclosure guide as a basis for comparison, investors and interested stakeholders can judge whether a company has provided adequate disclosures and meaningful explanations for any deviations from the Code.

Gold Market Update

Gold rebounded Friday in response to a report showing weaker-than-expected U.S. economic growth, closing out January 8% higher, its best monthly percentage gain since January 2012.

Gold futures for February delivery GCG5, +2.26%  rallied $23.90, or 1.9%, to settle at $1,278.50 an ounce. March silver futures SIH5, +2.87%  gained 43 cents, or 2.6%, to $17.21 an ounce.

SGX Singapore Closing Market Update

SINGAPORE shares ended lower on Friday with the Straits Times Index slipping 27.85 points to 3,391.2.

Some 1.52 billion shares, valued at S$1.76 billion were traded. 

Gainers numbered 212 while losers numbered 231.

KLSE Stock Signal Update

Today KLSE Stock Recommendation 30-Jan-2015


✔We Hit First Target ✔


■■ BUY TEXCEHM RESOURCES ABOVE 1.350 TARGET 1.390 1.450 SL 1.290

SGX Comex Recommendations

INTERNATIONAL COMMODITY NEWS :
Gold prices rebounded slightly in Asia Friday on physical demand prospects ahead of the Chinese New Year holidays in February with the dollar also slightly weaker.On the Comex division of the New York Mercantile Exchange, gold futures for April delivery rose 0.15% to $1,259.20 a troy ounce in early Asia, while silver for March delivery traded at 17.000 a troy ounce, up 0.34%. The upbeat data added to optimism over the strength of the economy and supported expectations that the Federal Reserve will begin to raise rates sooner than previously thought. The U.S. central bank upgraded its assessment of the economy and the labor market on Wednesday, leaving it on track to raise rates in the second half of this year.

TRADING STRATEGY :
BUY GOLD ABOVE 1267 TARGET 1272 1278 SL 1261
SELL GOLD BELOW 1251.5 TARGET 1246.5 1240.5 SL 1257.5

SGX IForex Recommendations

TRADING TIPS :

GBP/USD at 1.5150 after the Nationwide Building Society reported that U.K. house price inflation rose 0.3% this month, in line with expectations, after a 0.2% uptick in December.Year-on-year, U.K. house prices rose 6.8% in January, exceeding expectations for an increase of 6.6%, after a 7.2% gain the previous month.In the U.S., the Fed said on Wednesday that it would keep rates on hold at least until June and reiterated its pledge to be patient on raising interest rates, while acknowledging the solid economic recovery and strong growth in the labor market. The central bank also said it expected inflation to keep declining in the short term and added that it would take “financial and international developments” into account before deciding when to hike borrowing costs.

INTRADAY OUTLOOK

Support: 1.5078

Resistance: 1.5162

RECOMMENDATION:

1. Buy GBP/USD Above 1.5165-TG: 1.5185/1.5205 SL 1.5135

2. Sell GBP/USD Below 1.5075-TG: 1.5055/1.5025 SL 1.5105

INTRADAY OUTLOOK

Immediate Support: 1.1261

Immediate Resistance: 1.1372

RECOMMENDATION:

1. Buy EUR/USD Above -1.1375 TG: 1.1395/1.1425 SL 1.1335

2. Sell EUR/USD Below -1.1258 TG:1.1228/1.1198 SL 1.1288 

SGX Stock Recommendations

MARKET UPDATES :

• SINGAPORE shares ended lower on Thursday with the Straits Times Index slipping 0.1 point to 3,419.05.Some 1.25 billion shares, valued at S$1.19 billion were traded. Gainers numbered 196 while losers numbered 265.

• DBS is expected to benefit the most among its Singapore banking peers from a lift in short-term funding rates, Nomura said in a report on Thursday. This comes with the surprise move by Singapore’s central bank on Wednesday to ease the appreciation of the Singapore dollar.”One of the by-products of this exchange rate policy is the increase in interest rates,” said Nomura. “This benefits the Singapore banks, in particular DBS, because its assets get reprised faster and in a bigger magnitude than liabilities. “DBS has the lion’s share of Singapore-dollar deposits, of around 25 per cent. Banks make money by pricing their loans higher to reflect higher rates.

• Singapore’s dollar tumbled after the Asian nation unexpectedly eased monetary policy, highlighting the divergence among central-bank strategies before a Federal Reserve meeting that concludes on Wednesday in Washington. Measures of volatility have jumped in currency markets this year as central banks from Canada to Switzerland roiled markets with surprise policy moves. The Monetary Authority of Singapore said it will seek slower appreciation against a basket of currencies, sending the local dollar to the lowest since 2010.

• KEPPEL Corporation, via its financial advisers DBS Bank and Credit Suisse (Singapore), on Thursday announced that    BlackRock Inc, an associate of Keppel Corp, now holds some 48.05 million shares in Keppel Land (KepLand). This represents about 3.1 per cent of the total issued shares in KepLand, a percentage shareholding computed based on a total of 1.5 billion issued shares as at Jan 23, said Keppel Corp.BlackRock is an associate of Keppel Corp by virtue of the fact that it holds 5 per cent or more of Keppel Corp shares. As such, BlackRock is required to disclose its dealings in shares during the offer period.

Natural Gas Market Update

March natural gas NGH15, -0.74%  fell 12.3 cents, or 4.3%, to $2.719 per million British thermal units.

In other energy markets, heating oil for February HOG5, +0.25%  fell 1.34 cents, or 0.8%, to $1.6184 a gallon, while gasoline RBG5, +0.60%  for the same month rose 0.87 cents, or 0.7%, to $1.3537 a gallon.

Oil Market Update

Oil futures ended with small gains Thursday, but only after the U.S. benchmark sank below the $44-a-barrel level for the first time in nearly six years in a trading environment shadowed by a rapidly growing glut of crude.

Light, sweet crude for March delivery CLH5, +0.29%  on the New York Mercantile Exchange rose 8 cents, or 0.2%, to close at $44.53 a barrel. It was a choppy trading session, with the contract earlier dipping as low as $43.58, its lowest level since March 2009. The price action follows a 3.9% slide from Wednesday, which was triggered by bearish inventory data.

ICE Brent crude, the global oil benchmark, gained ground, with the March contract LCOH5, -0.14%  rising 66 cents, or 1.4%, to settle at $49.13 a barrel.

Platinum Market Update

In other metals, platinum for April delivery PLJ5, +0.68%  tumbled $41.20, or 3.3%, to $1,217.30 an ounce, while palladium for March delivery PAH5, +0.86%  lost $24.70 to $771.60 an ounce. 

High-grade copper for March delivery HGH5, -0.43%  fell 3 cents, or 1.1%, to $2.45 a pound.

Gold Market Update

Gold posted its biggest daily percentage drop in 13 months on Thursday as U.S. jobless claims fell sharply, bolstering the Federal Reserve’s commitment to tightening monetary policy later in the year.

Gold for February delivery GCG5, +0.49% skidded $31.30, or 2.4%, to settle at $1,254.60 an ounce, while March silver futures SIH5, +0.94% shed $1.32, or 7.3%, to $16.77 an ounce.

Current Market Update

Tokyo (Nikkei Average NIK, +0.75% ) up 0.7% 
Hong Kong (Hang Seng Index HSI, -0.11% ) down 0.1% 
Shanghai (Shanghai Composite Index SHCOMP, -0.97% ) down 1% (at break) 
Sydney (S&P/ASX 200 XJO, +0.83% ) up 0.9%
Seoul (Kospi SEU, +0.05% ) flat
Mumbai (Sensex 1, -0.34% ) up 0.2% 
Taipei (Taiex Y9999, -0.30% ) down 0.1%

SGX Singapore Closing Market Update

SINGAPORE shares ended lower on Thursday with the Straits Times Index slipping 0.1 point to 3,419.05.

Some 1.25 billion shares, valued at S$1.19 billion were traded. 

Gainers numbered 196 while losers numbered 265.

SGX IForex Recommendations

TRADING TIPS :

GBP/USD hit 1.5198 during European morning trade, the session high; the pair subsequently consolidated at 1.5194.Investors were looking ahead to the outcome of Wednesday’s Fed meeting, with the bank expected to stick to its pledge to be patient on tightening monetary policy.Markets shrugged off data on Tuesday showing that U.K. gross domestic product expanded by 0.5% in the final three months of 2014, below forecasts for growth of 0.6%.Year-over-year, U.K. economic growth grew 2.7% in the three months ending December, missing expectations for a gain of 2.8%.A separate report showed that U.K. mortgage approvals dropped to a 20-month low of 35,700 last month from November’s total of 36,700.

INTRADAY OUTLOOK

Support: 1.5136

Resistance: 1.5241

RECOMMENDATION:

1. Buy GBP/USD Above 1.5243-TG: 1.5263/1.5293 SL 1.5213

2. Sell GBP/USD Below 1.5133-TG: 1.5113/1.5083 SL 1.5163

INTRADAY OUTLOOK

Immediate Support: 1.1325

Immediate Resistance: 1.1421

RECOMMENDATION:

1. Buy EUR/USD Above -1.1423 TG: 1.1443/1.1473 SL 1.1393

2. Sell EUR/USD Below -1.1323 TG:1.1303/1.1273 SL 1.1353

SGX Comex Recommendations

INTERNATIONAL COMMODITY NEWS :
Gold prices fell in Asia on Thursday after trhe Federal Reserve signaled it remained on track to raise interest rates this year, though the timing remains uncertain.On the Comex division of the New York Mercantile Exchange, gold futures for April delivery fell 0.11% to trade at $1,285.80 a troy ounce in Asia, while silver futures eased 0.56% to $17.987 a troy ounce.Gold edged lower in quiet trade on Wednesday as the Federal Reserve said the U.S. economy was expanding “at a solid pace” as it largely looked through weakness overseas in a signal that it remains on track to raise interest rates later this year.The U.S. central bank repeated it would be “patient” in deciding when to raise benchmark borrowing costs from zero, where they have been stuck since late-2008.

TRADING STRATEGY :
BUY GOLD ABOVE 1286 TARGET 1291 1297 SL 1280
SELL GOLD BELOW 1271 TARGET 1266 1260 SL 1277

SGX Singapore News Update

Japan Exchange Group (JPX) and Singapore Exchange (SGX) are pleased to launch the JPX-SGX Co-Location Direct service which will commence in April 2015. This follows the Letter of Intent (LOI) signed between JPX and SGX in December 2014.

The JPX-SGX Co-Location Direct service will offer straight-through international network connectivity between JPX and SGX co-location data centres.  Global customers will be able to enjoy greater cost efficiencies and low latency market access to both trading venues via this service, with KVH and NTT Communications as the appointed carriers. Global investors can also continue to manage their risks efficiently and tap on new opportunities by taking advantage of the mutually listed derivatives products and services offered by JPX and SGX.

Japan Exchange Group CEO Atsushi Saito said “We are very pleased that the LOI that we signed last December towards a cooperative relationship with SGX has quickly borne fruit. Among the different areas of cooperation agreed to in that document, we are particularly pleased with the creation of this new infrastructure service, which will provide the foundation for a bridge between the two exchanges going forward. We hope it will serve to boost both markets by enhancing the convenience of trading participants and expanding trading opportunities. JPX will continue to take innovative steps such as this in further developing Asian capital markets in the future.”

SGX CEO Magnus Böcker said “We are pleased with the development of the recent collaboration with JPX.  SGX and JPX have been fostering a meaningful and steadfast partnership since 2000.  We will continue to work closely with our partner to enhance the infrastructure and to support our customers in their business expansion in mutual markets and beyond.”

SGX Stock Recommendations

MARKET UPDATES :

• SINGAPORE shares end higher on Wednesday.The Straits Times Index gained 6.95 points to 3,419.15.Some 1.38 billion shares, valued at S$1.23 bllion were traded. Gainers numbered 233 while losers numbered 177.

• Singapore Exchange Ltd is seeing early signs of an improvement in trading volume following a number of measures taken to boost liquidity, the company’s chief executive officer told Reuters.”The first three weeks of this year are coming up much stronger than the same three weeks a year ago,” Magnus Bocker said in an interview. SGX has launched a series of initiatives over the past year to improve liquidity such as providing incentives for brokers to act as market makers and cutting the minimum number of shares that need to be purchased in a single trade from 1000 units to 100.

• OLAM International will redeem US$750 million bonds due 2018 on Feb 27, it said on Wednesday.This will be done    at 103.375 per cent of the principal amounts of the bonds, together with unpaid accrued interest.The agri-commodities firm, which is in the midst of revamping its capital structure, earlier in January issued US$50 million in senior notes due 2020 to an institutional investor at a fixed coupon rate of 4 per cent. This was part of the US$5 billion Euro medium term note programme it established on July 6, 2012, and updated on July 14, 2014.

• The Monetary Authority of Singapore (MAS) on Wednesday made a surprise cut to the slope of its Singapore dollar  nominal effective exchange rate (S$NEER) as inflation pressure eases.The central bank will continue with the policy of a modest and gradual appreciation of the S$NEER policy band but the slope of the policy band will be cut.

S&P Market News Update

U.S. stocks ended Wednesday’s choppy trading session sharply lower after the Federal Reserve’s policy-making committee reiterated it plans to remain patient and watch the data as it decides when to raise interest rates.

The S&P 500 SPX, -1.35% closed 27.39 points, or 1.4%, lower at 2,002.23, with all 10 main sectors finishing in the red. The energy sector fell 3.9%, as oil fell to lowest levels since March 2009.

Forex Market Update

The dollar inched higher against the euro and pound Wednesday afternoon after the Federal Reserve’s policy statement included no clear guidance about its rate-hike plans.

The dollar USDJPY, +0.31%  was at ¥117.43, compared with ¥117.80 Tuesday. The euro EURUSD, -0.14%  traded at $1.1289, compared with $1.1362 Tuesday. The pound USDGBP, +0.01%  traded at $1.5169, compared with $1.5185.

The Russian ruble RUBUSD, -0.38%  declined to 67.84 rubles per dollar, compared to 67.75 Tuesday.

After the news, the Singapore dollar USDSGD, +0.07%   fell 1.4% to 1.36 per U.S. dollar, its lowest level in more than four years. It traded at 1.34 to the dollar Tuesday.

Gasoline Market Update

Elsewhere in energy trading, gasoline for February delivery RBG5, +0.67%  turned lower, off half a penny, or 0.4%, to finish at $1.3450 a gallon on Nymex. February heating oil HOG5, -0.10%  fell 3 cents, or 1.9%, to end at $1.6318 a gallon on Nymex.

February natural gas NGG15, -3.66%  retreated 11.5 cents, or 3.9%, to end at $2.8660 per million British thermal units. That was natural gas’s largest one-day drop in a week.

Oil Market Update

Oil futures fell Wednesday after a larger-than-expected increase in U.S. crude supplies, which kept inventories at their highest level in 80 years.

Light, sweet crude for March delivery CLH5, -0.04%  dropped $1.78, or 3.9%, to $44.45 a barrel on the New York Mercantile Exchange. That was crude’s lowest settlement since March 11, 2009.

Brent crude for delivery the same month LCOH5, +0.27%  fell $1.13, or 2.3%, to $48.47 a barrel on the ICE Futures Exchange. That was Brent’s largest one-day percentage decline in a more than week.

Platinum Market Update

In other metals, platinum for April delivery PLJ5, -0.10%  dropped $5.80 cents to $1,258.50 an ounce, while palladium for March delivery PAH5, -0.39%  gained $15.55 to $796.30 an ounce.

High-grade copper for March delivery HGH5, -0.85%  climbed 2 cents to $2.48 a pound.

Gold Market Update

Gold prices fell on Wednesday as the U.S. central bank reiterated its commitment to raising interest rates some time in the latter part of the year.

Gold for February delivery GCG5, -0.28% dropped $5.80, or 0.5%, to settle $1,285.90 an ounce but the precious metal pared some of its earlier losses after the Federal Reserve’s policy statement. March silver futures SIH5, -1.01% recovered to close flat at $18.09 an ounce.

Current Market Update

Tokyo (Nikkei Average NIK, -0.40% ) down 0.3% 
Hong Kong (Hang Seng Index HSI, -1.18% ) down 1.2% 
Shanghai (Shanghai Composite Index SHCOMP, -1.15% ) down 1.2% (at break)
Sydney (S&P/ASX 200 XJO, +0.28% ) up 0.2% 
Seoul (Kospi SEU, -0.21% ) down 0.3% \
Mumbai (Sensex 1, -0.37% ) down 0.1% 
Taipei (Taiex Y9999, -0.81% ) down 1.1%

Asian Market Update

Asian stock markets fell across the board on Thursday largely on the back of declines in the US triggered by concerns over a strengthening dollar and falling oil prices.

The Federal Reserve, meanwhile, failed to buoy markets when it repeated its pledge to remain "patient" regarding the US's first interest rate increase since 2006, signalling a June move remains in play.

Tokyo shares dropped 0.54 per cent, Hong Kong fell 0.60 per cent, and Shanghai lost 1.00 per cent. Seoul declined 0.31 per cent, but Sydney was largely flat.

SGX Singapore Opening Market Update

SINGAPORE share prices opened lower on Thursday with the Straits Times Index down 15.50 points to 3,403.65.

Volume was 65.6 million shares worth S$105.1 million.

Losers outnumbered gainers 93 to 53.

SGX Singapore Closing Market Update

SINGAPORE shares end higher on Wednesday.

The Straits Times Index gained 6.95 points to 3,419.15.

Some 1.38 billion shares, valued at S$1.23 bllion were traded. 

Gainers numbered 233 while losers numbered 177.

SGX IForex Recommendations

TRADING TIPS :

GBP/USD pulled away from 1.5117, the session high, to hold steady at 1.5075 during European morning trade.In a report, the Office for National Statistics said U.K. gross domestic product expanded by 0.5% in the final three months of 2014, below forecasts for growth of 0.6%. The U.K.’s economy grew by 0.7% in the previous quarter.Year-over-year, U.K. economic growth grew 2.7% in the three months ending December, missing expectations for a gain of 2.8%. The U.K. economy expanded at an annualized rate of 2.6% in the third quarter of 2014.A separate report showed that U.K. mortgage approvals decreased to a 20-month low of 35,700 last month from November’s total of 36,700. Analysts had expected the number of new mortgages approved to decline to 36,600 in December.

INTRADAY OUTLOOK

Support: 1.5058

Resistance: 1.5131

RECOMMENDATION:

1. Buy GBP/USD Above 1.5133-TG: 1.5153/1.5183 SL 1.5103

2. Sell GBP/USD Below 1.5055-TG: 1.5035/1.5005 SL 1.5085

INTRADAY OUTLOOK

Immediate Support: 1.1215

Immediate Resistance: 1.1293

RECOMMENDATION:

1. Buy EUR/USD Above -1.1295 TG: 1.1315/1.1345 SL 1.1265

2. Sell EUR/USD Below -1.1213 TG:1.1193/1.1163 SL 1.1243

SGX Comex Recommendations

INTERNATIONAL COMMODITY NEWS :
Gold prices eased on Wednesday with investors looking ahead to comments from the Federal Reserve on the prospects for a rate hike this year.On the Comex division of the New York Mercantile Exchange, gold futures for April delivery eased 0.05% to trade at $1,292.30 a troy ounce.Overnight, gold erased losses to hit the highest levels of the session on Tuesday, after data showed that U.S. durable goods orders fell unexpectedly in December, fuelling concerns over the strength of the economy. In a report, the U.S. Commerce Department said that total durable goods orders, which include transportation items, fell by 3.4% last month, compared to expectations for a gain of 0.5%.Core durable goods orders, excluding volatile transportation items, declined by 0.8% in December, disappointing forecasts for a 0.6% gain.

TRADING STRATEGY :
BUY GOLD ABOVE 1298 TARGET 1303 1309 SL 1292
SELL GOLD BELOW 1283 TARGET 1278 1272 SL 1289

SGX Stock Recommendations

MARKET UPDATES :

• KEPPEL Corp shares opened to a relatively muted market reaction on Monday, while Keppel Land’s shares surged,  after the conglomerate unveiled a bid to take its real estate subsidiary private.Keppel Corp edged up six cents, or 0.7 per cent, to end the day at S$8.16 even as analysts applied bigger conglomerate discounts to their target prices.Keppel Land shares shot up 90 cents, or 25 per cent, to S$4.55 to hit a four-year high, as more investment analysts recommended minority shareholders to accept the offer for its generous price. Both the stocks were trading cum dividend.

• OUECT’s FY14 DPU was in line, at 100% of our full-year forecast, and 4.4% ahead of its forecast in prospectus. The better performance was primarily due to better-than-expected occupancy and rental reversions, as well as lower utilities costs. We believe there is more room for OUEB to grow in FY15, as the expiring leases have an average rent of S$9-10psf/month as compared to the committed rent of S$11.22-15.50psf/month for FY14 and average Grade A office rent of S$11.20psf/month.

• Tigerair’s consolidation and capacity rationalization is helping to lift its passenger load factors (+6ppts y/y to 82%), average fares (+16% y/y to S$114.9) and yields (+5% y/y to 7.22cents). Management expects the y/y improvement in passenger yields to continue as it continues to fine-tune its network and operations but it will also depend on market competition which remains fairly intense. No new aircraft scheduled for delivery in the coming year. However, Tigerair plans to bring back some of its A319 aircraft (which are currently idling) to replace the A320 aircraft that will be leased out.

• Ascendas India Trust – Catching the Indian tailwind-:In INR terms, 3Q15 revenues grew 6% y-o-y to INR 1.5bn. The stronger performance was due to contribution from the Aviator, which became operational in Jan’14 supported by higher revenus from Chennai. Net property income fell marginally to INR 0.9bn due to one-offs, but on a normalised basis should have increased by c.5% y-o-y instead. Distributable income grew by 2% to INR 566m but boosted by the appreciating INR, in SGD terms grew by a higher 6% to S$11.9m.

•  Singapore continues its transition from what is effectively an emerging market economy (growth driven by increases in labor, 25% of GDP within manufacturing) to a developed market focused on productivity growth. A structural transformation-driven end to the 13-year bull market in the local currency will make unhedged Singapore holdings less attractive for yield investors. This drives a weak view for domestic consumption, but is also driving the already improving export numbers. This divergence will continue, therefore we focus our investment risk on rate sensitives and external demand sectors.

• KRISFLYER members will be able to redeem their miles for vouchers for travel on budget carriers Scoot and Tigerair from April.In addition, KrisFlyer members will be able to use their miles to pay for selected products on the two low-cost carriers. KrisFlyer is Singapore Airlines’ (SIA) frequent flyer programme.By the end of this year, Scoot and Tigerair plan to offer KrisFlyer members the option of earning KrisFlyer miles on Scoot and Tigerair.Scoot is wholly owned by SIA, which also has a 56 per cent stake in Tiger Airways.

Forex Market Update

The U.S. dollar weakened against its main rivals Tuesday after the Commerce Department said durable-goods orders were surprisingly weak in December.

The euro EURUSD, -0.36% climbed to $1.1351, from $1.1239 late Monday.

The dollar traded at USDJPY, +0.23%  to ¥117.81, compared with ¥118.48 late Monday in New York.

The franc fell to its lowest level since the SNB ditched the trading cap. The euro EURCHF, -0.07% traded as high as 1.0381 francs, from 1.0150 earlier in European trading. The shared currency was worth 1.0258 francs in recent trade. The dollar USDCHF, +0.28%  rose to 0.9042 francs, up from 0.9030 late Monday.

In other currencies, the pound GBPUSD, -0.24%  rose to $1.5192 after the durable-goods orders data.

The ICE U.S. Dollar Index, DXY, +0.24%   a measure of the dollar’s value against a basket of six trade-weighted currencies, was down 0.76% to 94.0860.

Gasoline Market Update

Elsewhere in energy trading, gasoline for February RBG5, +0.64% rose 3 cents, or 2.5%, to $1.3501 a gallon on Nymex, while February heating oil HOG5, -0.90% gained 2 cents, or 1.4%, to $1.6628 a gallon on Nymex.

February natural gas NGG15, -1.95%  advanced 10 cents, or 3.5%, to $2.9810 per million British thermal units. The contract, which is set to expire on Wednesday, slumped 3.5% on Monday.

Oil Market Update

Crude-oil futures rose more than 2% on Tuesday, as some optimism about curtailing output seemed to permeate markets and ahead of a fresh weekly report on stockpiles.

Light, sweet crude futures for delivery in March CLH5, -1.32%  rose $1.08, or 2.4%, to settle at $46.23 a barrel on the New York Mercantile Exchange.

Brent crude for March delivery LCOH5, -1.03% added $1.44, or 3%, to $49.60 a barrel on London’s ICE Futures Exchange. Futures earlier hit an intraday low at $47.67 a barrel, and traded as high as $49.99 a barrel.

Platinum Market Update

In other metals, platinum for April delivery PLJ5, -0.10%  climbed $9.30, or 0.7%, to $1,264.30 an ounce, while palladium for March delivery PAH5, -0.35%  fell $1.10, or 0.1%, to $780.75 an ounce.

High-grade copper for March delivery HGH5, +0.45%  fell 8 cents to $2.46 a pound.

Gold Market Update

Gold futures added to modest gains Tuesday, after a sharp, unexpected fall in U.S. durable-goods orders hit stocks and triggered demand for havens.

Gold for February delivery GCG5, -0.12% rose $12.30, or 1%, to $1,291.70 an ounce, while March silver futures SIH5, -0.55% gained 10 cents to $18.08 an ounce.

Asian Market Update

Asian equity markets sank on Wednesday following a heavy sell-off in New York, where a string of poor earnings reports stoked concerns about the US economy and put pressure on the dollar.

Traders are also keeping an eye on Europe as Greece's new anti-austerity government prepares to face off with its international creditors over its bailout.

Tokyo fell 0.20 per cent, Sydney lost 0.27 per cent, Hong Kong was 0.16 per cent lower, Shanghai sank 1.30 per cent and Seoul gave up 0.18 per cent.

Global investors - already nervous owing to political uncertainty in Greece, plunging oil prices and weak world economic growth - ran for cover in US trade Tuesday in response to negative reports from some of the world's biggest firms.

SGX Singapore Opening Market Update

SINGAPORE share prices opened lower on Wednesday with the Straits Times Index down 4.87 points to 3,407.33.

Volume was 106.4 million shares worth S$121.7 million.

Losers outnumbered gainers 86 to 47

SGX Singapore Closing Market Update

SINGAPORE shares end higher on Tuesday.

The Straits Times Index gained 13.68 points to 3,412.2.

Some 1.85 billion shares, valued at S$1.49 bllion were traded. 

Gainers numbered 267 while losers numbered 187.

IForex Signal Update

#Forex Recommendation of 27 JAN. 2015

✔ We Hit The First Target ✔

■■ Buy EUR/USD Above -1.1222 TG: 1.1242/1.1272 SL 1.1192

#EUR/USD HITS 1ST TARGET PLEASE BOOK PARTIAL PROFIT

SGX IForex Recommendations

TRADING TIPS :

GBP/USD hit 1.5043 during European mornning trade, the pair’s highest since January 22; the pair subsequently consolidated at 1.5011, adding 0.13% Cable was likely to find support at 1.4947, the low of January 22 and an 18- month low and resistance at 1.5212, the high of January 22.Market sentiment was hit as Syriza’s victory sparked concerns over Greece’s future in the euro zone. The pound edged up against the U.S. dollar on Monday, but remained within close distance of recent 18-month lows as market sentiment weakened broadly following Greek anti-austerity Syriza party’s election win on Sunday. The pound shrugged off data on Friday showing that U.K. retail sales rose 0.4% in December, beating expectations for a 0.6% decline, after a 1.6% increase the previous month.

INTRADAY OUTLOOK

Support: 1.4941

Resistance: 1.5002

RECOMMENDATION:

1. Buy GBP/USD Above 1.5006-TG: 1.5026/1.5056 SL 1.4976

2. Sell GBP/USD Below 1.4937-TG: 1.4917/1.4887 SL 1.4967

INTRADAY OUTLOOK

Immediate Support: 1.1147

Immediate Resistance: 1.1218

RECOMMENDATION:

1. Buy EUR/USD Above -1.1222 TG: 1.1242/1.1272 SL 1.1192

2. Sell EUR/USD Below -1.1146 TG:1.1126/1.1096 SL 1.1176

SGX Stock Recommendations

MARKET UPDATES :

• OUECT’s FY14 DPU was in line, at 100% of our full-year forecast, and 4.4% ahead of its forecast in prospectus. The better performance was primarily due to better-than-expected occupancy and rental reversions, as well as lower utilities costs. We believe there is more room for OUEB to grow in FY15, as the expiring leases have an average rent of S$9-10psf/month as compared to the committed rent of S$11.22- 15.50psf/month for FY14 and average Grade A office rent of S$11.20psf/month.

• STI now trades close to its 13.7x (average) 12- mth forward PE level. Our year-end objective remains at 3600, pegged to 13.3x (-0.25SD) FY16E PE. Given that the index currently trades above our year-end PE valuation peg of 13.3x forward PE, we take the view that any further immediate upside is limited to 3450. Meanwhile, the ‘rising gap’ on STI’s daily chart last week places near-term support at 3380-3390.

• TEEI is an established integrated engineering, real estate and infrastructure group with operations spanning across Singapore, Thailand, Malaysia, Hong Kong and New Zealand. To unlock value for shareholders, TEEI has been spinning-off assets and listing them on an exchange. The company had completed the listing of its real estate subsidiary Tee Land on the SGX in Jun 13 and is currently working towards listing its 50%-owned associated company CMC Communications Sdn Bhd on the Catalist Board of SGX. CMC Communications is engaged in infrastructure engineering of the telecommunications industry including, outdoor and in-building construction, programme management and design engineering, IT services and outsourcing, and broadband wireless solutions within the cellular space.

• Tigerair – Key takeaways from management briefing-:Overall market demand is improving, driven by the recovery of traffic in key markets (e.g Bangkok flights were hurt by the political unrest, Philippines flights were hurt by typhoons, HK/China flights were hurt by falling Chinese tourist arrivals).Tigerair’s consolidation and capacity rationalization is helping to lift its passenger load factors (+6ppts y/y to 82%), average fares (+16% y/y to S$114.9) and yields (+5% y/y to 7.22cents). Management expects the y/y improvement in passenger yields  to continue as it continues to fine-tune its network and operations but it will also depend on market competition which remains fairly intense. No new aircraft scheduled for delivery in the coming year. However, Tigerair plans to bring back some of its A319 aircraft (which are currently idling) to replace the A320 aircraft that will be leased out.

• THE number of job vacancies in Singapore rose in the year to September 2014, with the shortfall greatest in the services industry.Job vacancies rose to 67,400, up 8.9 per cent from a year ago, as the labour market remained tight, said the Ministry of Manpower on Tuesday.Every one in four vacancies was for service and sales workers such as shop sales assistants, security guards and waiters, while associate professionals and technicians accounted for almost one in five jobs that was not filled.Within the services industry, the expansion of childcare and pre-schools, healthcare and tertiary institutes fuelled demand for workers in community, social and personal services. New shopping malls that opened also boosted hiring in wholesale and retail trade, accommodation and food services and administrative and support services.

SGX Comex Recommendations

INTERNATIONAL COMMODITY NEWS :
Gold prices traded mosstly flat on Tuesday in early Asia as immediate concerns about Greece’s exit from the euro zone waned and investors looked ahead to the Federal Reserve and U.S. data this week.On the Comex division of the New York Mercantile Exchange, gold futures for April delivery rose 0.01% to trade at $1,281.90 a troy ounce. Overnight, gold fell more than 1% on Monday, as appetite for safe-haven assets weakened after jitters over the Greek election diminished. Greek leftist party Syriza formed a coalition government with the right-wing Independent Greeks party on Monday. Syriza won 149 seats in Greece’s 300-seat parliament, while the Independent Greeks took 13 seats, giving them a comfortable governing majority.

TRADING STRATEGY :
BUY GOLD ABOVE 1282.50 TARGET 1287.50 1293.50 SL 1276.50
SELL GOLD BELOW 1271.50 TARGET 1266.50 1260.50 SL 1277.50

Forex Market Update

The euro traded higher against its main rivals Monday as the initial shock from Syriza’s electoral victory in Greece faded, and a gauge of German business activity proved more upbeat than expected.

The euro EURUSD, +0.04%  was worth $1.1267 in recent trade, compared with $1.1208 late Friday in New York. 

The euro EURGBP, -0.08%   similarly recovered from a six-year low of £0.7405 to trade at £0.7479 Monday, which was about even with its Friday afternoon level. It EURJPY, -0.06%  traded at ¥133.47 Monday morning, after falling to a low of ¥130.15. It traded at ¥132.14 Friday.

The dollar EURJPY, -0.05%  was at ¥118.38, from ¥117.81 late Friday in New York as investors positioned for a bump in the dollar’s value after the Federal Reserve’s policy statement, which is expected Wednesday after the close of the FOMC’s two-day policy meeting.

The broader ICE dollar index DXY, -0.05% was flat at 94.7720.

The pound GBPUSD, +0.15% climbed to $1.5079, from $1.4992 late Friday, as investors anticipated a strong reading on British gross domestic product Tuesday morning.

Natural Gas Market Update

Elsewhere in energy trading, natural gas for February delivery NGG15, +1.46%  fell 10.5 cents, or 3.5%, to $2.881 per million British thermal units. See: What blizzard? Natural gas futures shrug off weather.

The contract had rallied 5.3% on Friday, driven higher amid a massive cold spell across much of eastern North America.

Nymex gasoline for February RBG5, +0.02%  fell 3.12 cents, or 2.3%, to $1.3167 a gallon, while February heating oil HOG5, +0.12%  lost 0.69 cents, or 0.4%, to $1,6398 a gallon.

Oil Market Update

New York-traded oil futures ended lower Monday after shifting between gains and losses in the wake of an election win by Greek anti austerity party Syriza.

Light, sweet crude for March delivery CLH5, +0.24%  fell 44 cents, or 1%, to close at $45.15 a barrel on the New York Mercantile Exchange.

Brent crude also declined, with the March contract LCOH5, +0.35% declining 63 cents, or 1.3%, to $48.16 a barrel on London’s ICE Futures Exchange.

Platinum Market Update

In other metals, platinum for April delivery PLJ5, -0.10%  lost $13.70 to $1,255 an ounce, while palladium for March delivery PAH5, -0.57%  gave up $7.75 to $781.85 an ounce.

High-grade copper for March delivery HGH5, -0.45%  rose 4 cents to $2.54 a pound.

Gold Market Update

Gold futures declined on Monday as traders took profits after radical leftist party Syriza won the Greek election over the weekend, adding a dash of uncertainty to markets.

Gold for February delivery GCG5, -0.17% retreated $13.20, or 0.1%, to settle at $1,279.40 an ounce, while March silver futures SIH5, -0.74% shed 6 cents to $18.30 an ounce.