Wilmar

Wilmar: China’s top economic planner has ordered suppliers of packaged cooking oil not to raise prices before the Golden Week holidays stretching over Oct 1-7. Govt officials commented that they will review prices after the holidays and consider releasing some stockpiles then to help reduce rising suppliers’ costs. Wilmar has a ~50% share of China's cooking oil market. The temp price caps could lead to a margin squeeze for Wilmar in the 4Q. Support for the stock is at $6.22.