SG Market (13 Sept 12)

SG Market: S’pore shares may hold onto gains following market relief that the German Constitutional Court's decision to allow ESM to proceed. Attention is now focused on the FOMC roll of the dice later tonight with risk assets drawing the most interest. But with the market banking on QE3, if none is announced, those caught long positions will be caught with pants down. Support for the STI remains at 3000 level with topside resistance at 3040. Among stocks in focus, F&N is halted after ThaiBev and TCC Assets made a mandatory general offer at $8.88/share for all of F&N, complicating Heineken's bid for F&N's APB holdings. Olam plans to expand Indian sugar-refining capacity, while Oei Hong Leong increased his stake in Raffles Education. Tat Hong may also be looking for raise funds to expand its business.