FKLI Daily: disappointed 'bull' rebound

Disappointed bull rebound as the rebound was really short lived. We continue to look for the upside resistance at 871.5-883. While, support pegged at 803.5.

KLSE Daily: remains cloudy mood

Market atmosphere remained cloudy following market failed to sustain after covered partial of the upside gap. Looks may entering a consolidation zone in near term. We now continue to look at 800 mark support. For upside, resistance is at 850-853 (gap left over since 24th Oct, 2008).

FCPO Daily: consolidation

Market stuck in range trading looks may extend its consolidation mode in near term. We now look for the support and resistance at 1331 and 1459-1475 level respectively.

Trader's Comment: The “Bull’s party” of CPO was spoiled

The “Bull’s party” of CPO was spoiled by disappointing closed of overnight CBOT and zero export duty by Indonesia government. Benchmark Jan09 open RM31 lower at 1428, tracking lower soybean prices and disappointing closed of soy oil which only up marginal compared to more than 150pts up during Asian time zone yesterday. News that Indonesian government’s decision to scrap the export duty to zero added onto the selling pressure. Benchmark Jan09 prices has slide to hit intra day low and ends at 1399 by midday. Prices were hovering mostly between 1395-1430 before late covering activities emerge and sent prices to settle at RM24 lower at 1435.

Breaking News-RTRS-INDONESIA PALM OIL ZERO EXPORT TAX MAY BE EFFECTIVE UNTIL YEAR END-GOVT OFFICIAL

JAKARTA, Oct 29 (Reuters) - The Indonesian government's decision to remove the tax on palm oil exports may stay in place until the end of this year, a government official said on Wednesday.

Breaking News-RTRS-INDONESIA TO IMPOSE ZERO PCT EXPORT TAX ON CRUDE PALM OIL - FIN MIN

JAKARTA, Oct 28 (Reuters) - Indonesia's finance minister said on Tuesday that the export tax on crude palm oil had been cut to zero percent, as part of a package of measures intended to shore up confidence in the financial markets.

Breaking News-RTRS-UPDATE 3-BOJ considering rate cut - source

TOKYO, Oct 29 (Reuters) - The Bank of Japan will consider cutting interest rates at a policy meeting later this week, but the bank will watch market conditions before making a final decision, a source informed on the matter said on Wednesday.
A reduction in interest rates is seen coming up on the table when the BOJ's policy board meets on Friday.

Trader's Highlight

DJI-NEW YORK, Oct 28 (Reuters) - Wall Street marked its second-best day ever on Tuesday as investors, convinced that central banks worldwide will cut rates even more, scooped up stocks that had been driven down to their lowest prices in more than five years.

A big catalyst for the late-day surge was a huge drop in the Japanese yen after a news report that the Bank of Japan may cut interest rates later this week.

The Federal Reserve is expected to cut its benchmark fed funds rate by at least 50 basis points on Wednesday when it concludes a two-day meeting that began this afternoon.

The Dow Jones industrial average <.DJI> jumped 889.35 points, or 10.88 percent, to 9,065.12. The Standard & Poor's 500 Index <.SPX> surged 91.59 points, or 10.79 percent, to 940.51. The Nasdaq Composite Index <.IXIC> ran up 143.57 points, or 9.53 percent, to 1,649.47.

NYMEX-NEW YORK, Oct 28 (Reuters) - U.S. crude futures ended lower on Tuesday as plunging consumer confidence outweighed a rebounding stock market and OPEC officials talked of more action to stem oil's steep price slide.

On the New York Mercantile Exchange, December crude settled down 49 cents, or 0.78 percent, at $62.73 a barrel, trading from $61.61 to $65.20. Monday's $61.30 intraday low was the weakest since $60.68 was struck on May 9, 2007.

CBOT-SOYBEANS - November down 14-1/4 cents at $8.78-3/4 per bushel; January down 9-1/2 cents at $8.88.

Pressured by profit taking after initial rally on USDA's corrected October crop report that showed lowered acreage and ending stocks. Talk of farmer selling also weighed.

USDA corrected the October crop report. Soy harvested acreage for 2008 lowered to 74.4 million from previous 75.5 million, crop production lowered to 2.938 billion from previous 2.983 billion and ending stocks for 2008/09 lowered to 205
million bushels from 220 million.

SOYOIL - December up 0.16 cent at 31.88 cents per lb. Fund buying provided support.

FCPO-JAKARTA, Oct 28 (Reuters) - Malaysian palm futures recouped losses to finish 5 percent higher on Tuesday, after hitting a fresh three-year low earlier, supported by a rebound in crude oil price, traders said.

The rally in Asian equity markets and soybean oil prices also helped boost sentiment, they said.

Palm prices could extend their rebound on Wednesday if Wall Street finishes higher on Tuesday, a key factor that will set the tone for trading in Asian markets, said a trader at a Kuala Lumpur-based brokerage firm.

The benchmark January contract on the Bursa Malaysia Derivatives Exchange rose 69 ringgit, or 4.96 percent, to 1,459 ringgit ($377) per tonne, coming off a low of 1,331 ringgit, the weakest since mid-August 2005.

Other traded months rose between 4 ringgit and 61 ringgit. The overall volume stood at 17,189 lots of 25 tonnes each.

DJI Daily: best day ever

DJI soar with its best day ever. Support at 7882 remained firm. For upside, resistance is at 9284-9300.