FKLI Daily: Likely to challenge 1200 mark

Market is surging non-stop with another new high for the year. Market looks likely to challenge 1200 mark in near term. While, downside support is pegged at 1165-1150.

FCPO Daily: Sideways to bias upside potential

Immediate daily technical outlook improved following prices violated 2135 level.Thus, market may extend its sideways bias to upside potential in near term. Currently, we are looking for the upside resistance at 2162 followed by 2184. To the downside, support is pegged at 2100 followed by 2080-2060.

Trader's Comment: Palm oil futures edged lower despite good export numbers.

Palm oil futures edged lower despite good export numbers. Sentiment was uncertain today as the results of the export data released by both private cargo surveyors were within market expectation and now players were waiting for other new clues. Both ITS & SGS had posted an increase of 9.9% and 10.3% respectively on the 1-25 July export data. Benchmark Oct09 had been hovering in a tight range of 2085-2101 through out most of the sessions. It surged to intra day high of 2116 in the second session but later retreated back into the earlier range due to lack of follow through buying activities. It finally settled RM24 lower at 2098. Daily volume reduced significantly with merely 9,944 contracts changed hands.

Trader's Highlight

DJI-NEW YORK, July 27 (Reuters) - U.S. stocks rose slightly on Monday in a late rally as investors rotated into financial shares, which had lagged in the recent two-week run-up.

The Dow Jones U.S. home construction index <.DJUSHB> shot up 4.3 percent after data showed U.S. new home sales posted their biggest monthly gain in eight years in June, suggesting the housing market may be starting to recover from its worst slump since the Great Depression of the 1930s.

The Dow Jones industrial average <.DJI> rose 15.27 points, or 0.17 percent, to close at 9,108.51. The Standard & Poor's 500 Index <.SPX> gained 2.92 points, or 0.30 percent, to 982.18. The Nasdaq Composite Index <.IXIC> added 1.93 points, or 0.10 percent, to end at 1,967.89.

NYMEX-NEW YORK, July 27 (Reuters) - U.S. crude oil futures ended higher on Monday as robust home sales spurred fresh hopes for improved oil demand, and that outweighed earnings uncertainties that kept Wall Street see-sawing all day.

The U.S. dollar fell to more than a seven-week low against the euro and global equities were stronger, both contributing support to oil futures.

The forecast in a Reuters poll of analysts ahead of weekly inventory data due in the next two days showed expectations for a small drawdown in crude and gasoline stocks and an increase in distillates supplies, which include heating oil and diesel fuel.

On the New York Mercantile Exchange, September crude settled up 33 cents, or 0.48 percent, at $68.38 a barrel, the highest settlement since July 1's $69.31. It traded from $67.60 to $68.99, the highest since July 2's intraday high of $69.74.

CBOT-SOYBEANS - August up 1/4 cent per bushel at $10.21-1/4. New-crop November closed down 8-1/2 at $9.06-1/2.

Tight U.S. soy stocks and short-covering underpinned spot August. New-crop months pressured by good U.S. crop weather as August nears. Next month is the key yield determining growth phase for soybeans as the crop sets and fills pods in August.

China will hold second soybean auction July 29.

CBOT-SOYOIL - August down 0.29 cent at 33.60 cents per lb. Following weakness in Asian veg oil markets and mostly lower soybean futures.

FCPO-JAKARTA, July 27 (Reuters) - Malaysian crude palm oil futures ended lower on Monday, pressured by concerns that a seasonal rise in production could outpace increased demand linked to upcoming Asian festivals and due to a stronger ringgit currency.

The benchmark October contract on the Bursa Malaysia's Derivatives Exchange ended down 24 ringgit, or 1.13 percent, to 2,098 ringgit a tonne. Overall volume was 9,944 lots of 25 tonnes each.

REGIONAL EQUITIES-BANGKOK, July 27 (Reuters) - Southeast Asian stock markets rose on Monday, with Singapore climbing to a 10-month high and Indonesia surging to near a one-year high, with big-caps such as DBS and Telkom Indonesia leading the way.

Singapore's index <.FTSTI> rose 1.7 percent, with lender DBS Group adding 3.2 percent, while Indonesia's index <.JKSE> gained 1.1 percent, with telecommunications firm Telekomunikasi Indonesia adding 2.9 percent.

Malaysia's index <.KLSE> eked out a small gain of 0.05 percent, led by a 6.6 percent rise in PPB Group and a 3.2 percent gain in Genting while palm plantation firm IOI Corp was 1.7 percent lower. The Vietnamese index <.VNI> added 3.3 percent while the Philippine index <.PSI> was up 2.1 percent

DJI Daily: 9000 mark defended

Market looks defended well at 9000 mark and looks may continue to move sideways to higher in near term. Upside resistance is stood at 9600-9700. While, immediate downside support is pegged at 8800.

KLSE Daily: in Consolidation phase

Market is entering to a consolidation phase after the recent sharp rebound. Resistance and support are stood at 1165-1160 and 1145-1140 level respectively.

FKLI Daily: Holding well

Market was holding well its upward momentum. As for now, immediate upside resistance its at 1166 followed by 1200. While, downside support is pegged at 1150-1145.

FCPO Daily: Directionless

Market remains directionless as prices moving in tight range. As for now, we are looking for the upside resistance at 2135 followed by 2160-2180. To the downside, support is pegged at 2060-2050 followed by 2020-2000.

Trader's Highlight

DJI-NEW YORK, July 24 (Reuters) - The Nasdaq fell on Friday, halting a 12-day run-up, following Microsoft Corp's disappointing quarterly results, but gains in pharmaceutical and energy shares lifted the Dow and the S&P 500 to fresh
8-month closing highs.

The Dow Jones industrial average <.DJI> rose 23.95 points, or 0.26 percent, to 9,093.24. The Standard & Poor's 500 Index <.SPX> advanced 2.97 points, or 0.30 percent, to 979.26. But the Nasdaq Composite Index <.IXIC> shed 7.64 points, or 0.39
percent, to 1,965.96.

NYMEX-NEW YORK, July 24 (Reuters) - U.S. crude oil futures ended higher on Friday, settling above $68 a barrel after seesawing as optimism about economic recovery, supportive refined products futures and a weaker dollar lifted crude oil.

On the New York Mercantile Exchange, September crude rose 89 cents, or 1.33 percent, to settle at at $68.05 a barrel, trading from $66.46 to $68.18. The settlement was the highest since crude futures closed at $69.31 on July 1.

CBOT-SOYBEANS - August down 2-1/2 cents at $10.21 a bushel. Tight stocks of soy support spot August contract but deferred months months down on talk USDA, in its August crop report, may trim its estimate for U.S. 2009 corn acres but increase its forecast for soy seedings. Profit taking also pressures market.

Trade expecting USDA to release a steady crop rating for soybeans late on Monday.

CBOT-SOYOIL - August down 0.78 cent at 33.89 cents per lb. Following soybeans lower.

FCPO-KUALA LUMPUR, July 24 (Reuters) - Malaysian crude palm oil rose 1.1 percent on Friday as investors took long positions ahead of better export data next week, signalling that festival demand is gaining momentum.

Open interest rose to 81,000 lots from 73,000 lots at the start of the week as traders re-entered the market on expectations that July 1-25 Malaysian palm oil exports could hit 1.2 million tonnes, up 22 percent from the same period a month ago.

The benchmark October contract on Bursa Malaysia's Derivatives Exchange settled up 22 ringgit to 2,122 ringgit ($601) per tonne. Overall volume stood at 11,905 lots of 25 tonnes each.

REGIONAL EQUITIES-BANGKOK, July 24 (Reuters) - Most Southeast Asian stock markets ended the week on a high note, with Indonesia scaling a one-year high and Singapore climbing to its highest in 10 months thanks to buying of resource and banking shares.

Singapore's index <.FTSTI> rose nearly 2 percent on Friday to its highest since Sept. 22, led by Singapore Exchange , which jumped 4.5 percent to a 14-month high, and commodity-related Noble Group , which surged 7.9 percent.

Malaysia's index <.KLSE> edged up 0.3 percent, building on a two-session gain of 1.53 percent, with lender Malayan Banking and Genting each rising 1.6 percent.

Bucking the trend, IOI Corp fell 2.4 percent after the country's second-largest palm oil producer said it was planning a rights issue to raise up to 1.22 billion ringgit ($339 million).

Trader's Comment: Late short-covering activities led CPO futures to end higher.

Late short-covering activities led CPO futures to end higher. Market was under selling pressure through out most of the session which tracking weaker eCBOT and Dalian palm & soy oil futures. Benchmark Oct09 prices slid to hit 2063 in the afternoon session and hovering between 2070-2080 level. Bargain hunting buying coupled with pre-weekend covering activities emerged in late trading sent prices in recovery mood and rebounding to 2134 before it settled RM22 higher at 2122. Talks that 1-25July export at 1.12-1.15 million tones which is higher compare to 1.01 million tones (ITS) & 983k tones (SGS) 1-25 June08. This also provided some support.

DJI Weekly: build up base

Immediate technical outlook strengthened further following a significant breakout from 9000 mark. However, market need to build up a base in order for a sustainable upward move. Thus, market may move in sideways bias to upside potential in near term. As for now, we are looking for the upside resistance at 9600-9800. While, downside support is pegged at 8100-8000.

KLSE Weekly: Bull run likely to continue

Market tested the resistance at 1160 and likely to continue rally in near term as overall technical landscape remains bullish. Immediate upside resistance is looking at 1165 followed by 1190-1200. Downside support is pegged at 1100-1095.

FKLI Weekly: May want to challenge 1200.

Up-trend remains intact and looks bull may want to challenge the upside resistance at 1200 mark. While, downside support is pegged at 1090.

FCPO Weekly: Market momentum remains weak

Market momentum remains weak despite prices rebounded from the weekly low to close at 2100 mark. Thus, technical correction may extend in near term. As for now, we are now looking for the immediate downside support at 2063 followed by 1964. To the upside, immediate resistance is at 2200 followed by 2295-2300.

Breaking News-RTRS-UPDATE 1-China's soybean auction gets no bids in early sales

BEIJING, July 23 (Reuters) - China's state reserve auction of soybeans failed to attract bids in two regions on Thursday, industry website www.grainmarket.com.cn said, as the buyers deemed the government-set prices too high.

Trader's Highlight

DJI-NEW YORK, July 23 (Reuters) - U.S. stocks surged on Thursday, driving the Dow industrials above the key 9,000 mark for the first time since January, as strong corporate profits and rebounding home sales spurred optimism about the economy.

The market extended opening gains after data showed U.S. existing home sales rose in June -- the first time since 2004 that this measure has risen three months in a row. The Dow Jones U.S. home construction index <.DJUSHB> jumped 4.9 percent.

The Dow Jones industrial average <.DJI> jumped 188.03 points, or 2.12 percent, to end at 9,069.29 -- its highest close since November 2008. It was the Dow's first close above 9,000 since January 2009.

NYMEX-NEW YORK, July 23 (Reuters) - U.S. crude oil futures ended sharply higher on Thursday as a Wall Street rally and strong RBOB gasoline futures helped lift crude above $67 a barrel.

A strengthening contango, where prices for crude in future months exceed the front-month price, added to support for oil along, with expectations for reduced crude exports from OPEC.

On the New York Mercantile Exchange, September crude rose $1.76, or 2.69 percent, to settle at $67.16 a barrel, trading from $64.40 to $67.49. The intraday high failed to reach technical resistance charted at $67.65.

CBOT-SOYBEANS - August up 5 cents at $10.23-1/2 a bushel Support from tight soy supplies, news China not able to sell soy from state reserves and continued solid export sales of U.S. soybeans. Gains in crude oil also support prices.

Census pegs June U.S. soy crush 140.2 million bushels, above an average of analysts' estimates for 138.5 million.


CBOT-SOYOIL - August up 0.15 cent at 34.67 cents per lb.

Suported by gains in soybeans. But small number for soyoil in USDA's weekly export sales report and a big number for U.S. soyoil ending stocks for June in the Census Bureau's June crush report limited gains.

Census pegs June U.S. soyoil ending stocks 3.403 billion lbs, above an average of analysts' estimates for 3.354 billion.

FCPO-KUALA LUMPUR, July 23 (Reuters) - Malaysian crude palm oil ended up 0.8 percent on Thursday, halting two straight days of losses, as traders bet on better festival demand in the coming weeks and sentiment improved on higher external markets.

The benchmark October contract on Bursa Malaysia's Derivatives Exchange rose 17 ringgit to 2,100 ringgit ($593.5) per tonne. Overall volume was 12,464 lots of 25 tonnes each.

REGIONAL EQUITIES-BANGKOK, July 23 (Reuters) - Most Southeast Asian stock markets rose on Thursday, with Singapore, Thailand and Indonesia recouping recent losses and Malaysia rising for a second day, with banking, property and resource shares among advancers.

Singapore's index <.FTSTI> rose 1.4 percent, with Singapore Exchange surging 4.9 percent following the appointment of a new chief executive.Singapore's index <.FTSTI> rose 1.4 percent, with Singapore
Exchange surging 4.9 percent following the appointment
of a new chief executive.

The Vietnamese index <.VNI> jumped 3.5 percent on Thursday while Malaysia's index <.KLSE> was up 0.3 percent, adding to a 1.23 percent rise on Wednesday, led by a 3.3 percent gain in Genting and 1.3 percent rise in Sime Darby .

DJI Daily: More room to upside potential

A significant breakout at the key 9000 mark had provided us a more clearer direction to the upside. Thus, we are now looking for the upside resistance at 9600-9800. While, downside support is pegged at 8800.

KLSE Daily: Peakless

Chart wise remains bullish and no sign of weakening. Thus, market may extend its upside gain in near term. Immediate resistance is now looking at 1160-1165 followed by 1180-1190. While, immediate downside support is pegged at 1140-1130.

FKLI Daily: Eyeing 1200 mark

Market rally likely to continue in near term and looks may want to challenge 1200 mark in near term. To the downside, support is pegged at 1140-1130.

FCPO Daily: searching for direction

Market is still searching for direction and moving in range trading. As for now, we are looking for the immediate downside support at 2078. To the upside, immediate resistance is at 2135 followed by 2160-2180.