From a chart perspective, the STI could resume its short-term uptrend towards the upside resistance at 2,900, with underlying support remaining at 2,820.
Stocks to watch:
*SCI: Secured power purchase agreement with Myanma Electric Power Enterprise to supply 225 MW of power in Mandalay, Myanmar for 22 years. MKE's last rating was a Hold with TP of $2.35.
*Keppel Corp: MKE believes the recent rebound on pure oil price sentiment is unsustainable. Cites Transocean new build orders have been delayed and rig day rates unlikely to rise till 2019. As earnings downgrade cycle will likely continue, the house maintains its Sell rating with TP of $4.24.
*SIA: Signs codeshare agreement with Air China.
*Nam Cheong: Received notice of termination from Petra Offshore for the sale of a US$42m accommodation work barge awarded in Jun '14. MKE's last rating was a SELL with TP of $0.12.
*Tianjin Zhongxin: FY15 net profit rose 26% to Rmb449.5m, boosted mainly by disposal gains of Rmb74m. Revenue slipped 0.1% to Rmb7.08b on lower sales of western medicine, while gross margin narrowed to 29% (-1 ppt). NAV at Rmb5.10.
*Low Keng Huat: 4QFY16 net profit tumbled 58% y/y to $32.1m as revenue plunged 97% to $20.9m, largely due to the absence of significant development sales after the TOP of Parkland Residences and Paya Lebar Square, as well as reduced construction work. Bottom line was partially shored by a $7.3m disposal gain of a warehouse at Sungei Kadut Loop. Declared first and final DPS of 3¢ plus special DPS of 1¢ (FY14: 5¢). NAV/share at $0.85.
*Mapletree Greater China Commercial Trust: Insurance fund AIA emerged as a substantial shareholder following the purchase of 2.3m units at $0.963 apiece on 29 Mar, lifting its stake from 4.98% to 5.06%.
*Nera Telecoms: Won $13.8m worth of contracts to supply, install and maintain IP network equipment for a leading telco in Asia Pacific.
*Asiamedic: Disposing its entire 15.24% stake in loss-making cord blood and stem cell banking company Cryoviva Singapore for $50k. Upon completion, the disposal will net a gain of ~$48k.
*Karin Technology: Terminated the Apple authorised reseller agreement to sell Apple products effective Jun '16. The group has decided to focus on other areas and disclosed that a few new opportunities have emerged.
*United Food: Profit warning for FY15 following the temporary suspension of soybean processing business in Jul '15. Group expects a loss on sales of raw soybeans and made an impairment of soybean prepayment contracts and PPE.