SG Market (12 Jun 12)

SG Market: S’pore shares are set to fall as the enthusaim over the Spanish bailout fizzled out as qustions surround the actual terms of the bailout, whether they will actually be agreed upon and where the spource of funds will come from. The sell-off in US equities from the opening bell shows no desire to hold risk assets and the mood appears to be to sell into strength. Asia markets will likely play catch-up in early trade. For the STI, the 2740 level may offer initial support, followed by 2700. Among stocks likely in focus, GLP has signed a 20-year contract to lease 60,000 sqm of warehouse space to Beijing Aviation Ground Services for Rmb850m, its largest logistics lease ever in China. Mewah established an $800m medium-term note program while SGX extended CEO Bocker's term by another 2 1/2 years. Airline stocks may also come into focus after IATA cut its 2012 profit estimate for Asian airlines.