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Writer's pictureAda Tam Ying Ying

Market Update 2nd - 8th Aug 2022: Will China-Taiwan Tensions threaten the stock markets?

Investment tip takeaway 🦉 this week:

Let's continue to review the released data last week:


Singapore

SG's Manufacturing PMI Jul, Previous: 50.3... Actual: 50.1

-> The manufacturing sector is expanding, but slow

SG's Retail Sales (MoM) Jun, Previous: 1.8%... Actual: -1.4%

-> Indicator of consumer spending, dropped.


China

CNY's Trade Balance (USD) Jul, Previous: 97.94B... Actual: 101.26B

-> More goods and services were exported than imported (a trade surplus)


United Stated

***USD's Crude Oil Inventories, Previous: -4.523M... Actual: 4.467M

*USD's Trade Balance Jun, Previous: -84.90B... Actual: -79.60B

-> Fewer goods and services were exported than imported

USD's Nonfarm Payrolls Jul, Previous: 398K... Actual: 528K

-> The number of people employed increased.


Australia

AUD's RBA Interest Rate Decision, Previous: 1.35%... Actual: 1.85%


Hong Kong

HKD's GDP (QoQ) Q2, Previous: -2.9%... Actual: 0.9%

HKD's GDP (YoY) Q2, Previous: -3.9%... Actual: -1.4%


To Investors :

Last week data, the highlight is the US crude oil inventories suddenly jumped, and that's really help to suppress the energy price a bit, even reports showed the cause was due to dropping in exports, and refiners lowered their runs. But I expected the oil prices may make a come back in the mid of October... after all, the oil and gas related counter like Keppel and SembCorp had delivered a very robust earning reports for 1HFY2022... I expect the demand in energy and other commodities will continue to remain strong in 2023.


'China-Taiwan' + United States

US Politian, Nancy Pelosi, had made her visit to Taiwan last week and that seem have disturb the peace in the eastern part of the world in certain extent. Meanwhile, the immediate concern in the capital market is whether the tension between China and Taiwan could probably end up into another war after Russian & Ukraine, and that could frighten off fund managers to trim their positions smaller for easy liquidation. Moreover, today's investors also learnt to sell on result, and may not willing to wait for dividend to come in weeks during this time of uncertainties.


In August, just be cautious with the coming 2 weeks as the selling pressure may frighten off some investors, but to me such sell down will also suggest another aspects of the situation: if the companies' results are good in the first half of 2022, and all these live-fire drills from China and Taiwan didn't materialise into any form of battle eventually... then we can definitely treat the current moment as the buying opportunities to load up more for the later part of the month in August as well as September.


My tick...

In short, my stake remains unchanged on REIT, Property and Gold. And investors can consider chip-makers, transportation counters (like the long-beaten counters like Comfort Delgro) too for just these 2 months.


But short-term traders can chose to start active in buying into long positions only after entering the 2nd part of August.



🌀 Focal Point : Q2 Earning Announcements continue


📣 Unit State: Click Here for US Events Calendar for Aug 7, 2022 - Aug 13, 2022


📣 Singapore: Earnings Calendar - 8 Aug 2022 to 12 Aug 2022


Click above for 5th Aug 早晨上96.3好FM的股市近况


 

"You never know how strong you are, until BEING STRONG is your only choice"📌

 

Other Focus (Results and Highlights of Corporate Actions):

REIT Results:

ARA US Hospitality Trust

1HFY2022

Net property income (NPI) surged by 131.2% y-o-y to $21.1 million

DPS of 1.427 US cents (1.971 cents)

Daiwa House Logistics Trust (DHLT)

1HFY2022

Net property income (NPI) : 4.5% lower than forecasted at $30.0 million

DPU of 3.09 cents

Elite Commercial REIT

1HFY2022

Net property income (NPI) increased by 17.7% y-o-y to £18.1 million after property expenses

DPU of 2.56 pence

Frasers Logistics & Commercial Trust (FLCT)

3QFY2022

Reported a portfolio occupancy rate of 96.5%

-

Manulife US REIT

1HFY2022

Net property income was up 2.8% y-o-y to US$57.6 million

DPU pf of 2.61 US cents

Prime US REIT

1HFY2022

Net property income was US$50.8 million, up 9.7% y-o-y

DPU of 3.52 US cents


Other Results:

Audience Analytics

1HFY2022

Report earnings of $62,287, reversing from a loss of $452,496 recorded for 1HFY2021

-

China Aviation Oil

1HFY2022

Report lower earnings of US$19.61 million, down 19.24% y-o-y

-

Chip Eng Seng

1HFY2022

Reported improved earnings of $38.5 million

-

Credit Bureau Asia

1HFY2022

Reported earnings of $4 million

-

DBS

2QFY2022

Reported net profit of $1.82 billion

EPS : $2.80

interim dividend of 36 cents

Fraser & Neave

9MFY2022

Reported earnings down 18.3% y-o-y to $97.3 million

-

Hong Leong Finance

1HFY2022

Reported earnings of $45.1 million

interim dividend at 3.75 cents

Koh Brothers

1HFY2022

Report earnings of $5 million for 1HFY2022

-

Koh Brothers Eco Engineering

1HFY2022

Reported earnings of $1.2 million

-

Multi-Chem

1HFY2022

Reported earnings of $9.7 million

interim dividend of 6.60 cents per share

Nordic Group

1HFY2022

Reported earnings of $11.6 million, up 49% y-o-y

interim dividend of 1.162 cents per share

OIO Holdings

1HFY2022

Reported a loss of $638,632... heavier y-o-y loss

-

Pan United

1HFY2022

Reported earnings of $13.5 million, double that of the same period last year

interim dividend of 0.5 cent per share

Sembcorp

1HFY2022

Reported earnings of $490 million

interim dividend of 4.0 cents

StarHub

1HFY2022

Reported earnings fall 10.3% y-o-y to $60.9 mil

interim dividend of 2.5 cents per share

Singapore Land

1HFY2022

​At $238.9 million revaluation gain

-

Soup Holdings

1HFY2022

Rported earnings of $1.1 million

EPS increased by 550% y-o-y to 0.39 cents

Thakral Corporation

1HFY2022

Reported revenue of $56.5 million

interim dividend of 2 cents per share

Venture Corp

1HFY2022

Reported earnings of $174.3 million, up 24.1% y-o-y

interim dividend at 25 cents per share

Wilmar

1HFY2022

Reported record earnings of US$1.16 billion

an interim dividend of 6 cents, payable on Aug 24

Yangzijiang Shipbuilding

1HFY2022

Reported earnings of RMB1.37 billion for its 1HFY2022

-

Other news:

  • MAS prices Singapore’s $2.4 bil 50-year inaugural sovereign green bond

  • Alibaba sales beat estimates, defying economic turmoil

  • CSE Global order book hits $388.9 million with latest 2Q wins

  • Del Monte's US subsidiary acquires Kitchen Basics for US$99 mil



Coming Market Focus (Extract):


🔖 Bookmark our Economic Calendar bit.ly/3OeRbhY  for weekly updates of key macroeconomic events, earnings releases and corporate actions in the global and Singapore markets.

Sunday, August 7, 2022

CNY

Imports/Exports (YoY) Jul

Trade Balance (USD) Jul

Monday, August 8, 2022

SGD

Foreign Reserves USD (MoM) Jul

HKD

GDP (QoQ) (YoY) Q2

Tuesday, August 9, 2022

SGD

Singapore Holiday : National Day

USD

Nonfarm Productivity (QoQ) Q2

CNY

CPI (MoM) (YoY) Jul

Wednesday, August 10, 2022

USD

Core CPI / CPI (MoM) (YoY) Jul

Crude Oil Inventories

Crushing Crude Oil Inventories

Federal Budget Balance Jul

SGD

GDP (QoQ) (YoY) Q2

Thursday, August 11, 2022

USD

OPEC Monthly Report

Initial Jobless Claims

PPI (MoM) Jul

Friday, August 12, 2022

GBP

GDP (QoQ) Q2

Manufacturing Production (MoM) Jun

HKD

GDP (QoQ) Q2

USD

Export / Import Price Index (MoM) Jul

Sunday, August 14, 2022

JPY

GDP (QoQ) Q2

CNY

Industrial Production (YoY) Jul

p.s:

Next FOMC Meetings 2022; September. 20-21

 

Focus Point : Blockchain, NFTs and the Metaverse


Following test runs earlier this year in select markets, Instagram is expanding its NFT support to 100 additional countries across “Africa, Asia-Pacific, the Middle East, and the Americas,” according to a Thursday blog post.. Thanks to the image-sharing platform’s status as a Meta-owned entity, this move could bolster the tech giant’s hopes of broadening its authority in the NFT industry. (Source: nftnow.com)


 

CASH PLUS Promotion:

Low-commission trading account is available... and check out for Promotion Details

(Waived for US and HK Foreign Custody fee until 31 December 2022.)




 

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