Friday, October 31, 2008

FCPO Weekly: Downtrend remains intact


Market momentum remained weak. We look for the immediate support at 1331-1329 follow by 1252-1233. While, immediate upside resistance is at 1650-1666 followed by 1690-1693.

FKLI Weekly: Bear take a short break


Market rebounded to end good for the week close. However, bear looks like just taking a short break and may awake anytime as downtrend remained intact. As for now, we continue to look for the support at 795-800 mark. For upside, immediate resistance is at 870-872.

KLSE Weekly: Good ending for the week


Good ending for the week with a long white candle printed. Nevertheless, the overall technical landscape remained clouded in bearish atmosphere. As for now, we pegged the immediate support at 790-800 mark. For upside, immediate resistance is at 885-890.

Breaking News-RTRS-INDONESIA SAYS RAISES MINIMUM REFERENCE PRICE FOR PALM OIL EXPORT TAX TO $700/TONNE FROM $550

JAKARTA, Oct 31 (Reuters) - Indonesia has raised the minimum reference price for palm oil export tax to $700 a tonne from $550, a trade ministry official said on Friday.

Breaking News-RTRS-US soy oil stocks 2.471 bln lbs in Sept - Census

WASHINGTON, Oct 30 (Reuters) - U.S. soybean oil stocks
totaled 2.471 billion lbs in September, compared to 2.551
billion lbs in August, the U.S. Census Bureau said on
Thursday.

RTRS-UPDATE 1-Iceland bank crisis could cost 85 pct of GDP

REYKJAVIK, Oct 30 (Reuters) - Iceland's Prime Minister Geir Haarde said on Thursday the total cost of the country's banking crisis could amount to 1.1 trillion Icelandic crowns ($9.40 billion), or 85 percent of 2007 gross domestic product.

Breaking News-RTRS-US advance Q3'08 GDP reading comes in at -0.3%

The US advance Q3'08 GDP reading comes in at -0.3% vs the +2.8% increase
seen in the Q2, slightly above market expectations for -0.5%. GDP deflator
comes in at +4.1% vs. 1.3% for Q2. Consumer spending dropped to -3.1% vs. +1.2%
for Q2 and durables dropped to-14.1% vs. -2.8% for Q2.Q3 GDP decline is the
largest since Q3'00(-1.4%). Core PCE rises to +2.9 vs. 2.2%, above expected.
PCE Price index rise of 5.4% for Q3 is the largest since Q1 1990 (+6.0%). Q3
disposable income drops to -8.7%, the biggest decline since quarterly record
started in 1947.

Trader's Highlight

DJI-NEW YORK, Oct 30 (Reuters) - Stocks rallied around the world on Thursday on optimism that interest rate cuts by the U.S. Federal Reserve and other central banks will ease a looming global recession, even as oil prices fell on concerns about slowing demand.

U.S. gross domestic product shrank at a 0.3 percent annual rate in the third quarter as the sharpest pullback by consumers since 1980 overwhelmed the benefit from ramped-up government spending, the U.S. Commerce Department reported.
In Europe, German unemployment fell more sharply than expected in October, pushing the jobless rate down to a new 16-year low of 7.5 percent.

The Dow Jones industrial average <.DJI> closed up 19164 points, or 2.13 percent, at 9,182.60. The Standard & Poor's 500 Index <.SPX> was up 23.80 points, or 2.56 percent, at 953.89. The Nasdaq Composite Index <.IXIC> was up 41.31 points, or 2.49 percent, at 1,698.52.

NYMEX-NEW YORK, Oct 30 (Reuters) - U.S. crude futures ended lower on Thursday as weak third-quarter economic data rekindled demand worries.

On the New York Mercantile Exchange, December crude settled down $1.54, or 2.28 percent, at $65.96 a barrel, trading from $64.04 to $70.60.

CBOT-SOYBEANS - November off 3-1/4 cents at $9.34 per bushel; January off 4 cents at $9.43.

Pressure from firm dollar and drop in crude oil. Market underpinned by large export sales, talk of fund buying and bullish moves in options, including call buying.

CBOT-SOYOIL
- December up 0.15 cent at 34.48 cents per lb. Following soybeans, with added pressure from crude oil.

U.S. Census Bureau reported U.S. Sept soyoil stocks at 2.471 billion lbs, compared to preliminary estimate for 2.527 billion.

FCPO
-JAKARTA, Oct 30 (Reuters) - Malaysian palm futures closed higher on Thursday after crude oil hit $70 a barrel in Asian trade, traders said.

The market also rallied ahead of a government announcement on replanting plans, aimed at helping to boost the palm oil price.

The benchmark January contract on the Bursa Malaysia Derivatives Exchange rose 125 ringgit, or 8.71 percent, to 1,560 ringgit ($441) a tonne. Contracts for other traded months rose between 65 ringgit and 142 ringgit, with overall volume of 15,951 lots of 25 tonnes each.

REGIONAL EQUITIES
-SINGAPORE, Oct 30 (Reuters) - Singapore stocks led the surge in Southeast Asian equity markets on Thursday, with financials in the spotlight, as investors cheered the Federal Reserve's rate cut and a slew of government efforts to boost bank liquidity.

The benchmark Straits Times Index <.FTSTI> closed 7.8 percent higher. Elsewhere, Thai shares <.SETI> climbed 6.3 percent, Indonesian stocks <.JKSE> gained 5.4 percent, and Philippine's benchmark index <.PSI> added 4.7 percent.

DJI Daily: in range bound mode


DJI traded in range trading and consolidate phase looks may extend in near term.We continue to look for the support at 8143-8187. For upside, resistance is at 9430-9448.