SG Market (18 Dec 12)

SG Market: S’pore shares are likely to mark time despite the rebound on Wall Street following signs of progress in the US budget talks as technical landscape for the STI is heavily overbought after a relentless 6-week rally. Resistance for the benchmark index is seen at 3227 with supports at 3140 and 3110. F&N remains in play on expectations of a bidding war with the Thai consortium reportedly approaching some fund managers with a $9.60 offer. Cosco Corp may see buying interest after bagging a US$370m FPSO contract from an European client. Property developers CapitaLand, City Dev may face some profit-taking after latest URA data showed private residential sales hit a 2012 low.