SGX
Phillip Capital Market Reports:
Phillip Daily Morning Note :
US Market (By Phillip Global Markets Night Desk)
OCBC
DBS
Your daily newsletter
Fed left rate unchanged at 5.25%-5.5%, signals 3 cuts next year
Apple shares closed at an all time high of $197.96 as Fed signals rate cut .
Japan financial group’s SBI Holdings Inc. fell as much as 5%,the most since 2022, on stock manipulation accusations
Technology and REITs
All eyes on rate cut beneficiaries
The fed pivots to rate cuts as higher for longer expectations eases
Officials forecast indicate no further hikes and 75 bps in cuts next year vs 50bps previously
Rotation to S-REITS, developers, and Technology could be rewarding
What are our top picks in technology and REITs?
Singapore Property & REITs
A Santa’s rally?
FED latest meetings have now shifted to rate cuts in 2024 as “higher for longer” expectations are dialled down
Positives coming from FED cutting rates prior to hitting inflation target of 2.0% and the US economy entering into a “soft landing”; with rate cuts till 2026 bringing interest rates to a more conducive 2.0%-2.25%
Investors in the side-lines or awaiting further “confirmation” need not wait further and add into S-REITs and Developers
Do S-REITs and developers have more room to run?
Singapore Office
Time to shine once more
Singapore office remains the “star” amid uncertainties
Likelihood of asset value write-offs appears unfounded with most S-REITs expected to deliver positive surprises and demonstrate resilient portfolio valuations
Office S-REITs are trading at compelling valuations at -1 SD of mean P/B; position for reversal in interest rate cycle
What stocks do we prefer?
Starhub Ltd (STH SP)
Divests D’Crypt to focus on Cybersecurity
StarHub (STH) sells cryptographic company D’Crypt to ST Engineering Info-Security Pte Ltd (STE) for an initial consideration of S$67.5m and an aggregate consideration of S$87.4m
STH’s Ensign, the cybersecurity unit is growing rapidly and is more valuable; the sale of D’Crypt should allow STH to optimize resources on growing its cybersecurity business.
What is our recommendation and TP?
Singapore Equity Picks: Read more
Hong Kong Equity Picks: Read more
UOB
UOBKH: Country Dailies: Thursday, December 14, 2023
Click on the link for Greater China Daily.
Click on the link for Indonesia Daily.
Click on the link for Malaysia Daily.
Click on the link for Singapore Daily.
Click on the link for Thailand Daily.
========================================
UOBKH: Retail Market Monitor: Thursday, December 14, 2023
KGI
CIMB
▍ What's on the Table...
MAL: CGS-CIMB Daybreak - 14 December 2023
MAL: Westports Holdings (REDUCE▼, tp:MYR3.11▼) - Without clarity on tariff hikes, risks increase - 13/12
Westports signed a new concession agreement on 8 Dec 2023 that extended its port operatorship to 2070F, in exchange for a commitment to build W2. Downgrade from Hold to Reduce, as we do not yet have any clarity on the timing and quantum of tariff hikes that are needed to pay for the heavy capex. We also expect equity dilution prior to any benefits from W2. We reduce our DCF-based TP to RM3.11 (Ke: 10%), rolling forward to end-CY24F.
MAL: Agribusiness (UNDERWEIGHT) - Higher restocking expected ahead of CNY - 13/12
Malaysian palm oil stocks rose 6% yoy and fell by 1% mom to 2.42m tonnes in Nov 2023. We anticipate lower stocks in Dec 2023F due to a decrease in CPO output given the rainy season and higher exports ahead of Chinese New Year. We project Malaysian CPO price to trade in the range of RM3,700-4,000/MT in Dec 2023F.
▍ News of the Day....
Trendspotter – MY- Daythree Digital (0281) (Technical Buy, 0.42): Pushing on higher
• Dewan Negara passes finance bill to implement Budget 2024’s tax measures
• Gov. establishes committee to review Petroleum (Income Tax) Act 1967
• SP Setia partners with Mitsui Fudosan for 2.67 acre development worth RM1.4bn
• UMW Holdings’ automotive sales rose 8% yoy to 42,315 units
• Sime Darby completes acquisition of 61.2% stake in UMW Holdings for RM3.6bn
Lim&Tan
MORNING UPDATE 14 DEC 2023: FINANCIAL MARKETS, MAPLETREE LOGISTICS TRUST, DEL MONTE, BCA RESEARCH / BLOOMBERG MACRO FINANCIAL NEWS
MayBank
Commenti