Morning Highlights

Singapore Market opened weak, with STI down 6.94 points to 2786.53.

On the other hand, most of the Asian Stock Markets are higher with technology shares supporting the Seoul and Tokyo markets, though traders are cautious ahead of U.S. jobs data due later in the day.

Lookout for Economic News Release For Today:

  1. Europe 1Q GDP
  2. U.S. Change in May’s Non-Farm Payrolls figures
  3. U.S. May’s Unemployment Rate

Corporate Announcements:

  1. SGX announced an investment of $250 million in technology, comprising $70 million for a new securities trading engine and $180 million for infrastructure outsourcing services and data centers. The initiative will create the world’s fastest trading engine.

News Updates:

  1. Beijing will increase the city’s minimum wage by 20%, state media reported on Thursday, the latest sign of rising labour costs in the world’s third-largest economy.
  2. Chinese banks extended more than 600 billion yuan in new loans in May, down from April’s 774 billion yuan, Caing Magazine reported.
  3. U.S. non-farm productivity rose at a 2.8% annual rate, instead of the previously reported 3.6% pace.
  4. U.S. factory orders rise 1.2% in April.
  5. U.S. non-manufacturing sector grew in May for a fifth consecutive month and added workers for the first time since December 2007. The median forecast of 68 economists surveyed by Reuters was a reading of 55.5

Quick Picks: Here is a quick pick screen that we have designed to pick out potential stocks, both Bullish and Bearish. These are measured with emphasis on larger changes in price and volume.

Bullish Stocks (Singapore)

Symbol

Name

Entry

SL

TSL

TP

Remarks
2 GENS Genting Singapore 1.08 0.985 1.18
3 PARM Parkway Holdings 3.80 3.61 3.99

Stock Prices last updated at 17.05 (Singapore Time)

In Summary,

Index up 13.04 points to close at 2806.51, with 920.02 million traded.

Market has managed to clear resistance at 2800 and closed above 2800 in today’s session. Looks like selling pressure is significantly reduced for now. We are likely to face a choppy market in the coming week.

By week, market closed up 66.81 points, with 5.516 billion traded. We advise to stay on the sideline for the time being till a clearer trend is spotted. For the meantime, any drop for now should be temporary. After which, we would expect index to move higher.

Last but not least, look out for support at 2700 and also the low at 2648.15, which was created on 25th May.

Our Market Sentiment is shifted to neutral.

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