SG Market (12 Jul 12)

SG Market: S’pore shares may stall, tracking generally flat regional markets, after Fed minutes disappointed QE3 hopefuls. While a handful of Fed members acknowledge the need for QE, the timing or breaking point for when this will happen is still unclear. Meanwhile, investors are likely to seek out safe-haven assets as yield compression continues with interested centred on yield plays. The STI is likely to remain mired in the 2950-3000 congestion range. Among stocks likely in focus, Keppel's Brazil unit landed a US$200m FPSO contract. SGX has signed a trading link with LSE to allow their largest and most actively traded stocks to be cross-traded and some SGX blue chips may get a boost from a proposed tie-up. Orchard Parade shareholders approved its plans to divest 3 properties via listing a hospitality Reit. Midas bags Rmb139.3m contracts.