Friday 3 April 2009.

DAILY MARKET REPORT.

Thursday Markets Closing Prices.


KLCI 905.07 up 20.89.
DJIA 7,978.08 up 216.48 or 2.79%.
Crude Oil US$52.64.
June FCPO RM2,159.
Ringgit 3.5960.


LOCAL NEWS.

Najib swearing in ceremony as a new Prime Minister of Malaysia today.

Analysis - The positive developments with smooth transition of power especially if BN can win the 3 by election on April 7 certainly will a go a long way in improving investor sentiment and could be a catalyst for a sustain stock market rally.

Court of Appeal has ruled the Islamic banks Bai Bithamin Ajil (BBA) as valid.

Foreign shareholdings in Malaysian listed companies dropped below 20%.

Boustead Holdings Bhd, RM3.42, to dispose RM600 million worth of assets in Malaysia and Indonesia.

Stock Recommendation - BUY Boustead Hldgs Bhd on very low valuation as CPO price recover. Fair value of RM6.15 at 10X forecast FY 2009 earnings per share of 61 sen on a net profit of RM400 million.


WORLD NEWS.

Wall Street climbs on economy, change in accounting rule for banks and G20.

ECB cut the main rate by 25 basis points to 1.25%.

The US Financial Accounting Standard Board (FACB) voted to relax accounting rules governing mark to market valuation expected to give boost to banks balance sheet with less writedowns and boost earnings by 20% or more. The relaxation will only defer the problem and artificially inflate bank balance sheet.

G20 will channel US$750 billion to IMF, US$100 billion to World Bank and US$250 billion in trade finance.

US initial jobless claims rose by 12,000 to 669,000.

US February factory order rose.


For further inquiry please call:-
Kamel Bin Mohd Yusoh.
Institutional Dealer.
Kenanga Investment Bank Bhd.
013-6306544 or 03-21634549/50.
April 3, 2009.