SG Market (04 Jul 12)

SG Market: S’pore shares may extend its winning streak for a 6th straight session, tracking gains in regional markets already trading, although volume might be a tad light with the Independence Day holiday in the US. Markets have successfully maintained support for risk asset buying whilst transitioning from optimism over the EU Summit to hopes of central bank stimulatory intervention. For now, it is all about the positioning leading into the ECB and BOE meetings on Thur followed closely by the non-farm payrolls on Fri. The STI may attempt to close the gaping gap at between 2950 and 2988. Among stocks likely in focus, 2 major ARA Asset Management shareholders (CEO and Cheung Kong) are seeking to sell 9.9% stake or 76m shares in a block deal at $1.42 or 2.7% discount. Yangzijiang has also secured US$150m credit facilities but requires owner to pledge 372.8m shares as collateral. Hu An Cable bagged a Rmb101.3m contract from Hubei Province Electric Power, while C&G Env was selected as preferred bidder for the Guiyan waste-to-energy project.