FCPO Daily: ended up off from 10 % limit up

Market ended up off from 10% limit up level. A white candle printed had helped to neutralise a little the market downside momentum. Looks may continue its consolidation phase after the strong sell down. Currently, we look for the immediate upside resistance at 1586-1593 followed by 1635-1639 (gap left over since 21st Oct, 2008). While, immediate support is at 1491-1441 (gap left over today).

Trader's Comment: CPO futures extended its gain as crude oil surged further at Asian trading time

CPO futures extended its gain as crude oil surged further at Asian trading time. Benchmark Jan09 initially open RM85 higher at 1520, as overnight crude oil rallied after US dollar weakened following interest rate cut by Federal Reserve. CPO prices then fell to the intra day low of 1491, failed in its attempt to close yesterday’s left over gap. News that crude oil extended its rally in Asian time zone and hit $70 a barrel had also help lifted the bullish sentiment in local commodities market. Benchmark Jan09 continue to rise further until it hit the price of daily 10% limit at 1578, before it settled at 1560, up RM 125. Beside the crude oil factor, market is still awaiting end month export figures by private cargo surveyor which is scheduled to release tomorrow and heard that market talk of end month export figure is roughly at 1.3 million, up about 8% compare the same period of last month. Daily volume remains steady, with 15,951 contracts changed hands.

Breaking News-RTRS-Malaysia to spend $57mln as palm replanting incentive

-RTRS-MALAYSIAN PM ABDULLAH SAYS TO SPEND 200 MLN RGT AS INCENTIVE FOR REPLANTING OIL PALM
-RTRS-MALAYSIAN PM - TO START USING BIODIESEL FOR GOVT VEHICLES FROM FEB 2009
-RTRS-MALAYSIAN PM SAYS PALM OIL OUTPUT TO FALL BY 700,000 TONNES A YR DURING REPLANTING
-RTRS-MALAYSIAN PM SAYS PLANS TO TURN 500,000 TONNES OF PALM OIL A YEAR INTO BIODIESEL BY EARLY 2010

FKLI Daily: bear taking a breathe

Bear took a breathe due to technically oversold. A long white candle printed had slow down a little the market downside movement. Nevertheless, overall technical picture remained bearish. As for now, we look for the resistance at 871.5-883 and support is pegged at 816.5-803.5.

KLSE Daily: covered full gap with double digit up

Market fully covered the upside gap left over since 24th Oct, 2008 at 850-853 with double digit good ending. Market may continue its consolidation phase after the strong sell down as overall technical landscape is remained in bearish atmosphere. For now, we look for the resistance and support at 880-890 and 821 level respectively.

FCPO Hourly: A big gap up

A big gap up after the opening bell saw prices steady at 1500 mark. Looks may look for a range to trade in near term. For upside, immediate resistance is at 1556-1591. For downside, support is at 1509-1435 (morning gap left over).

FKLI Hourly: technical rebound

FKLI in rebounding mode after the recent sell down. We now look for the upside resistance at 859.5 followed by 871.5. For downside, support at 830.5-827 followed by 816.5.

KLSE Hourly: covering upside gap

Market intend to cover its upside gap left over since 24th Oct, 2008 at 850-853. While, immediate support is at 821.

Breaking News-RTRS-US Fed launches four new currency swap lines

WASHINGTON, Oct 29 (Reuters) - The Federal Reserve on Wednesday extended U.S. dollar liquidity aid beyond traditional markets, opening four new $30 billion currency swap lines with Brazil, Mexico, South Korea and Singapore.

Breaking News-RTRS-TAKE A LOOK-Fed cuts benchmark rate 1/2 point to 1 pct

The U.S. Federal Reserve on Wednesday cut its benchmark federal funds rate
by 50 basis points to 1 percent to prevent a widening credit crisis from
tipping the United States into a deep and prolonged recession.

Breaking News-RTRS-EU biofuel data change angers environmentalists

By Pete Harrison
BRUSSELS, Oct 29 (Reuters) - European biofuels could receive a boost from a change in the way the European Union calculates their impact on the environment, a document shows, angering environmentalists who think they do more harm than good.
The European Council document seen by Reuters on Wednesday also annoyed European biodiesel producers who see a bias towards bioethanol.

Trader's Comment:

DJI-NEW YORK, Oct 29 (Reuters) - U.S. stocks fell on Wednesday as a big rally faltered in the last minutes of trading on worry about the weakening corporate profit picture after a news report raised questions about General Electric's earnings outlook.

In a move that has been the trademark of the market's volatility ever since Lehman Brothers' bankruptcy filing in mid-September, the Dow plunged more than 300 points in the last 12 minutes, dashing prospects for the first back-to-back gains in a month.

Aside from the GE news, reported by Dow Jones with less than 15 minutes left in the session, traders said hedge funds and mutual funds were dumping stocks to raise cash to repay clients and lenders, while other investors were eager to lock in some profit from Tuesday's huge rally.

The Dow Jones industrial average <.DJI> fell 74.16 points, or 0.82 percent, to close at 8,990.96. The Standard & Poor's 500 Index <.SPX> declined 10.42 points, or 1.11 percent, to 930.09. But the Nasdaq Composite Index <.IXIC> rose 7.74 points, or 0.47 percent, to 1,657.21.

NYMEX-NEW YORK, Oct 29 (Reuters) - U.S. crude oil futures rose further in post-settlement trading on Wednesday as the U.S. dollar extended losses against the euro after U.S. stocks rallied after the Federal Reserve cut interest rates.

In late trading on the New York Mercantile Exchange, December crude hit a session high of $69.24. It earlier settled up $4.77, or 7.6 percent. at $67.50 a barrel, after trading from $63.65 to $68.91.

Prices have bounced from Monday's $61.30 intraday low, which was the weakest since $60.68 was struck on May 9, 2007.

CBOT-SOYBEANS - November up 58-1/2 cents at $9.37-1/4 per bushel; January up 59 cents at $9.47.

Led by crude oil and weak dollar with additional support from stabilizing stock markets. Bullish moves in soy options add strength, with firms selling puts and buying calls. Weak dollar also supportive as market awaited expected interest rate cut by the U.S. Fed.

CBOT-SOYOIL - December up 2.45 cents at 34.33 cents per lb. Front months rose the 2.5-cent limit earlier on soaring crude oil and higher soybeans.

FCPO-JAKARTA, Oct 29 (Reuters) - Malaysian palm futures finished lower on Wednesday amid worries that buyers will seek palm oil from rival Indonesia after Jakarta scrapped a tax on palm oil exports, traders said.

The benchmark January contract on the Bursa Malaysia Derivatives Exchange finished 24 ringgit lower, or 1.64 percent, at 1,435 ringgit ($401) a tonne.
The January contract hit a low of 1,331 ringgit per tonne on Tuesday, the weakest since mid-August 2005.

REGIONAL EQUITIES-SINGAPORE, Oct 29 (Reuters) - Singapore stocks rose 0.3 percent on Wednesday, but stayed close to a 4-½ year low as investor fears the worsening financial crisis will cut company profits capped gains in blue chips such as SingTel.

The benchmark Straits Times Index <.FTSTI> closed up 4.71 points at 1,671.20 points, after touching its lowest since July 2003 on Tuesday. Elsewhere, Indonesian stocks <.JKSE> added 0.2 percent, and Philippine shares <.PSI> climbed 4.5 percent. Malaysian shares <.KLSE> fell 0.4 percent, and Thai stocks
<.SETI> dropped 3.5 percent.

DJI Daily: big rally faltered in the last minutes

DJI losing ground as big rally faltered in the last minutes. Market hits the resistance at 9284-9300 but unable to hold. Looks may consolidate and look for a range to trade in near term. We now look for the support at 8143-8187. For upside, resistance is at 9430-9448.