Monday, November 29, 2010

HDBSVR: Local equities to put up defensive performance

KUALA LUMPUR: Hwang DBS Vickers Research said even though Wall Street lost further ground last Friday, Nov 26, stocks on Bursa Malaysia would probably put up a defensive performance ahead.

On Wall Street, key US equity bellwethers were down between 0.3% and 0.9% during the half-day trading session.

It said the defensive performance was based on news that a bailout package for financially troubled Ireland has been approved already.

'On the chart, the immediate support and resistance levels for the benchmark FBM KLCI are set at 1,465 and 1,495, respectively.

'In terms of individual corporate developments, we may see price actions in counters like: (a) Kulim, QSR and KFC as a media report said there could be a counter bid to take control of the group, which then raises the possibility that the latest offer price of RM6.70 per QSR share might be increased; and (b) Berjaya Corporation following a proposal for its stockbroking unit to enter into a strategic partnership with Singapore-based Kim Eng,' it said.


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