SG Market (05 Jul 12)

SG Market: S’pore shares may snap its 6-session winning streak amid lack of cues from Wall Street and with European markets broadly down. Eyes will be on Europe once again, but this time it will be to see what further policy moves the ECB and Bank of England can cobble to tame the eurozone debt crisis. Light volumes should keep support and resistance points intact. The STI has exhibited a bearish star and with momentum indictors, namely RSI and Stochastics in overbought territory, the index may struggle to fill the upper end of the breakdown gap at 2988 created on 7 May. 2900 support may remain untroubled. Among stocks in focus: *SGX: Jun securities turnover dropped 25% yoy , 18% mom to $21.2bn or $1b average daily turnover value *OCBC is planning a $1b NCPS issue with coupon of 4% and callable after 5 ½ years. Minimum board lot size is $250k *Intraco: Oei Hong Leong sells entire stake of 21m shares or 21% stake @ $0.56 (vs last traded $0.61) to Tony Chew, citing poor liquidity and inability to gain control after Tat Hong Investments acquired a 29.9% stake. *Cambridge Industrial is acquiring a Teban Gardens property for $41m, which may involve equity fund-raising *Yangzijiang will receive Rmb720m compensation to relocate its Jiangsu yard NOL completed its organisational restructuring exercise, and confirmed it has laid off a few hundred staff globally, mostly in its liner shipping business, resulting in annual cost savings of US$70m.