Tuesday, April 12, 2011

HDBSVR sees a chance for KLCI to rebound

KUALA LUMPUR: Hwang DBS Vickers Research (HDBSVR) said there is still a chance for the Malaysian stock market to stage a rebound on Tuesday, April 12 following the unexpected drop on Monday.

The benchmark index may challenge the support-turned-resistance level of 1,550 ahead while 1,530 is now seen as its immediate support level to cushion any further market weaknesses.

HDBSVR said in particular, investors will be hoping to get a lift from the key takeaways from the Invest Malaysia conference to be held on Tuesday-Wednesday.

'Of much interest will be the Prime Minister's speech this morning with expectations of major announcements to be made on policy changes and additional high-impact projects as well as new mega listings,' it said

HDBSVR Among the stocks likely to be in the limelight include Pos Malaysia as the government may name the successful bidder for Khazanah's 32% stake in the company, with DRB-Hicom, Nationwide Express and Amanah REIT-Malaysia Pacific Corp joint venture seen as the front-runners.

Separately, Jerneh Asia shares could attract buying interest after a media report speculated that the company is expected to announce a capital repayment of RM2 per share by early next week.

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