Money Talk

Invest Malaysia 2009 starts next week on 30th June, Tuesday until 1 July Wednesday.

PM DS Najib Tun Razak to deliver First Keynotes on Invest Malaysia 2009 Event

Thursday, June 25, 2009

Now Is ‘Dangerous Time’ to Avoid Stocks, CLSA’s Napier Says

June 25 (Bloomberg) — Stock investors can look forward to another few years of gains as central banks engineer a return to inflation, providing a tailwind for global markets, according to CLSA Ltd. strategist Russell Napier.

An acceleration in inflation from zero to 4 percent is historically associated with gains in stocks as the benefits of rising prices accrue to profits instead of labor earnings or debt holders, said Napier, the author of “Anatomy of the Bear,” a study of bear markets.

The best bets for investors remain Asian equity markets, which are likely to be driven by domestic demand-related growth and will be less affected by problems in Western countries, said Napier, Institutional Investor’s top-ranked Asia strategist from 1997-1999.

The 10-year price-to-earnings ratio of the S&P 500, another long-run indicator of stock values, was 15 percent above its average, according to Smithers and data compiled by Yale University’s Robert Shiller.
Napier counters that central banks have the ability to manufacture inflation, citing a Milton Friedman comment that “inflation is always and everywhere a monetary phenomenon.”

The U.S. M2 money supply, the broadest indicator currently tallied by the government, has climbed 1.9 percent in 2009 from the year after logging a 9.6 percent increase in 2008.

“Because they’re printing so much money and because they’ve seized control of the commercial banking system I think we’re likely to get strong money growth,” Napier said. “It wouldn’t surprise me at all if the main inflation we get is in asset prices.”

The Origin of Life !

“OnG” LAI aka “WANG MARI” theme play to continue unabated…….

"OnG" LAI aka "WANG MARI" MAGIC coming

 

This sector all the rage now, Big drilling platform indock

Oil Vessel

Oil rig pipes

      Frontken’s expertise ?

Government "Oil Pumps" Fiscal Stimulus

 Details here : o-g-_-the-evergreen-sector_-murphy-oil-makes-two-new-discoveries-off-sabah1

 Equities Market Worldwide Direction  : solid-ground-2 

 On Dialog, exciting it says, go here for details : dialog-group-2 

 

               The One with the unpolished “SHINE”  ?

      The “PEARL” - A “GEM”, hidden & unnoticed until……                      

This unpolished “GEM” is an “ISKANDAR” and “O&G” counter too ! ( Sssshhhhhhh, quietly ). Go here to uncover it :  ( http://www.frontken.com ) and explore from there, especially the news section. 

The “DAY” when it was published in the “STAR” newspaper that the First Lady blew “Hot”,  is the day the Counter with the last “Alphabet” among PM linked Counters comes into “PLAY” ! 

Hot it is, just too “HOT”, the temperature, BURSA MALAYSIA, ANGER !  “El Nino”  (a theme to play the Plantation Sector !) is going to be around soon and so too is H1N1 (Another theme to play the sticky thingy !). 

It’s seems now “Players” are spoilt for choice as too many in the offing and most have their hands, pockets and mouths “FULL” too !

^_^  !   ^_-  !   ^_-  !

Have a good and productive day ahead, will you , dude ?   

For your enjoyment : http://www.youtube.com/watch?v=HTPMkVHUsNU

ENJOY ! 

So, it must be the “DURIAN SEASON”,  honky tonk !   Or is it !

No dude !  It’s not,  it’s BURSA MALAYSIA that’s getting “HOT” !

http://www.asiachart.com/kl.html 

( Note the accuracy as predicted by the chart ! )

 

BURSA STOCKS IN FOR A “GOOD ROASTING” TIME

KLCI TO REACH 1,150 POINTS ?

From the weather forecast of hot spell that runs till September this year and with such a slew of exciting news streaming in continuously from PM DS Najib Tun Razak’s fruitful visit to China, barely have we enough time to filter, digest and identify those stocks related to the signing of the many MOUs with the Chinese counterparts let alone scrutinizing them for value investing ahead when another bigger theme news on the signing of yet another MOU but now with the JOHOR STATE GOVENMENT relating to OIL & GAS THEME (“BIG TIME EPCC”) at the EASTERN ZONE OF ISKANDAR DEVELOPMENT REGION ! This MOU is important to the Johor State Government as it will determine the Southern State’s long term sustainability of economic growth and development the years ahead at a more comfortable level than now ! The   estimated revenue from these proposed new Exploration Oil & Gas Wells is substantial. Surveys and tests conducted earlier confirmed the Quality of Crudes and the estimated Quantity available was huge (rumored to last for many years ahead) !  So do expect the State of Johor to be the center of attraction from now on and Iskandar should be buzzling with development activities none stop !

BULLS ON THE RAMPAGE !

Singapore’s Senior Minister Mentor Mr. Lee Kuan Yew (LKY) starts official duties by visiting Malaysia with his entourage on 8^th June, 2009 onwards !  Reason of visit is to gauge and survey the areas for possible investment opportunities before making a decision, said to be “ICONIC” investment to the fore based on the concept of “WIN-WIN” or complementary bilateral benefits as opposed to the concept of “Beggar thy Neighbour” (Statement made popular by one of Malaysia’s former surviving PM) !    ^_^ !    ^_^  !!

Let’s guess here : Mr. LKY’s visit is timely as it coincides with the Birthday celebration of  the King of Malaysia.

                           Do you think that Mr.Lee will be bestowed an honorary title which in my humble opinion

                           should only be seen as befitting at this juncture prior to any discussion on bilateral issues plaguing

                           and hampering the growth of both the countries ! Datukships ? Tan Sri ? Tun ? or Honorary

                           Doctorate (like the one conferred on Malaysian PM DS Najib in China) ?    ^_^   !     ^_^   !!  

                           For details, go here : ( singapore-lky-to-visit-malaysia4 )

Latest ! Singapore’s MM Mr LKY was awarded…., go here to view : mm-lee-given-global-aviation-leadership-award  ( at least an Award alright !   ^_^  !   ^_-  !   ^_-  !  )

Iskandar theme play counters are : UEMLAND, TEBRAU, DBHD, MULPHA, RANHILL, MRCB, MMC, ZELAN, etc, etc !

KERBAU RACING IN SARAWAK, EAST MALAYSIA

H1N1 Theme Play :

1) Rubber Gloves Counters : Hartalega, Topglove, Supermac, Latexx, etc.  

2) Health-Care Counter : KPJ

WATER & WASTE-WATER Theme Play :

Puncak, Jaks,Salcon, Picorp, etc.

OIL & GAS Theme Play :

Dialog, Petra, Scomi, Alam, Tgoff, Ramunia, UMW, etc.

Dialog Group Bhd to sign MoU with Johor state government on deepwater petroleum terminal at the Malaysian Petroleum Club, 42th Floor, Petronas Twin Tower 2, KLCC at 12.15pm

(Note: Dialog will be in a different league of Oil Players after this !)    ^_^   !

*Latest on MOU signed !  To view, go here : dialog-group-berhad MOU signed with Government of Johor (Read in between the lines !)  ^_-  !    -_^  !   ^_^   ^_^   ^_^  !!!

** Announcement to the press, Bernama :  dialog-to-build-us1-bln-port-facility ( Points to ponder : (1) SPV, which or “NEWCO”  ? (2) Where’s the OIL going to come from ? )    ^_^   !    ^_-   !   ^_-   ! !

*** Analysts are a confusing lot , don’t they ? Now read this here : ( mixed-calls-on-dialog-after-landing-johor-petroleum-terminal-jv )

Other Theme Play :

SIME, etc,etc.

Note : For reading pleasure only !    ^_^  !

Thus far, the Oil and Gas Sector has been all the rage in Bursa Malaysia having out staged the rest of the Sectors and at the rate the price of Crude Oil has been rising, do expect more play on the O&G Sector down the road. Bursa Malaysia has been robust since the taking of office by our Sixth Prime Minister cum Finance Minister, Datuk Seri Najib Tun Razak with the implementation of the Two (2) Fiscal Stimulus to Pump-Prime Malaysia out of serious recession ahead.

As acknowledged by our Prime cum Finance Minister that Malaysia’s economy is already in a technical recession after 2 subsequent quarters of negative growth (-ve GDP) and with the latest forecast of negative growth that may run deep into next year, it will certainly take some beating for our economy not to be in recession at least till the 3^rd quarter of next year ! Should this be the case, then the more measures must be taken by the Government as well as the Private Sectors to continue in the efforts to rescuing the economy ! Expect continuing pump-prime activities to flow unabated until such time global recession receded. So pump-priming in such context is deemed a necessary and essential activity akin to an “evergreen” theme play itself ! 

The Center Piece of play has been initiated all along by the Government’s Stimulus Packages on GLCs and some resilient Counters. Cyclical Sectorial Play on BlueChips rotated to the lower liners and penny stocks and play over and over again to promote robust trading activities and opportunities in the Bond and Equity Markets both on the nationally and international arena. This has been the trend so far and is always easily predicted. What netted the Equity Market Investors and Traders or in other word, Market Players better and more profits is “Theme Play” called “Catalysts” which I have highlighted in my earlier posts in this website and how to position our funds for big gains !

Center Piece of Play “was” and “is” still on the “Iskandar Development Region” theme play with has at many instances being upstaged by the “Oil and Gas” theme play !

So what’s in a name in BURSA MALAYSIA next ?

How about Counters in “OIL & GAS” in the “ISKANDAR DEVELOPMENT REGION” Double Up Theme Play ?

Now, I want to draw your attention to these two (2) pieces of news below and see if we could make and unravel something out of it to work our funds on. These two (2) pieces of news represent the “BIG PICTURE” which I have illustrated in my previous articles in this website using Sun Tze’s “ Art of War”

in Management Strategy and we called it to be employed as “POSITIONING”

to maximize our “profits” or “returns” or “risk rewards” ! O.K. see below :

1^st Article :

2^nd Article :

My Comment from own research (I may be wrong and you should do your own research) :

1)   Data from Preliminary Tests conducted on Oil Exploration over past few years have shown good Quality as well as Quantity Oil (Crude). Deposits may last a longer time and this is big big revenue and the rate at which the price of Crude is rising, what do you think ?  

2)   The “Nipple” or “Center of “Oil Deposits” sits just close to the back of

RAMUNIA’S Fabrication Yard near to the disputed Island with Singapore which is won by Singapore at the International Court  !

3)    Why the “SECRET” has been kept so long as was told by my source is that the State Government wanted it to be their own. Was also informed that Petronas Carigali was once interested but State Government wanted to call it their own. Maybe the latest proposed 3^rd Bridge may intrude the area and  that could be the reason why the hurry to rope in “DIALOG” to take the lead in the setup of a ”BIG   EXPLORATION” team for “BIG TIME” !.

Enough said for now and which listed Companies do you think will be roped in to join the “TEAM” ?  

RANHILL ? TGOFFS ? MMC JV ARAB CONGOMERATE “NEWCO” in backdoor listing through RAMUNIA ? SIME ENGRG which has proposed to buy over RAMUNIA’s Business and Fabrication Yards to also benefit by building all the necessary and Essential Rigs required for the Exploration ?

“ZELAN” to Construct the Refinery & Storage Project after “DIALOG” was asked to take Lead ? Go here to view :  http://www.zelan.com/photogallery.php?PageId=OQ==

First Benefector is too obvious : “DIALOG” which is going to take the lead in such a Consortium and is going to sign MOU with Johor State Government on this coming Monday !  Go here to view : http://www.dialogasia.com/default.asp

PM returning on Friday Night and may witness signing ceremony ? (It was strongly rumoured up in KL that 1st Lady have been collecting a certain counter heavily the past three weeks already !)

^_^ !   Adios !   Amigo !  Goodnite and have a productive day ahead !

     .  

 Note : The above information are just for reference only and should not be construed as any form of solicitation.

            You buy at your own “RISKS” ! 

Malaysia !

With our PM’s coming visit to China from June 2-5 on the invitation of Premier Wen, players should look into stocks that have presence in China. Malaysian PM and his entourage which consists of some Cabinet Ministers and Company Owners/Directors are expected to sign numerous MOUs of Trades and Investment.

Which Companies Stock will benefit from our PM’s visit ? Sino Huaan ? Parkson ? Sime ? LBS ? Many more ? Do your Homeworks and put your $$ in !

Take profits when target reached !

=====================================================

The People's Republic of China

More than 200 Malaysian businessmen are expected to attend a Malaysia-China Business Forum at the China World Hotel in downtown Beijing on Thursday.

They have come prepared with a lot of brochures and special newspaper supplements on Najib’s official visit and write-ups on their companies.

More than a dozen Memoranda of Understanding are expected to be signed on Thursday between Malaysian and Chinese businessmen.

Bilateral trade between Malaysia and China reached US$39.06 billion in 2008, an increase of 10.3 percent compared with 2007.

China’s emergence as an economic powerhouse has been acknowledged by Najib in his article in the China Daily today when he said that China was today the second largest economy in the world in purchasing power parity (PPP) terms and the third largest, after the US and Japan, in nominal GDP terms.

“It is home to the world’s largest foreign reserves and is an increasingly important and influential player on the world stage,” Najib said.

For instance, Shanghai, the venue of the World Expo next year, has even been touted as the next Detroit as more car companies set up their bases in the bustling business city.

Tan Kai Hee, managing director of Hai-O Enterprise Bhd, said Malaysian businessmen are giving their fullest support to Najib’s official visit.

“This is very important to us as the forum is likely to open more doors for us. First and foremost, we would have to give our support to our prime minister who has come to provide us with encouragement,” said Tan, whose company imports sizeable quantities of raw materials for its herbal products.

Another Malaysian businessman who is here for the forum is INS Bioscience Bhd chief executive officer Datuk Yeat Sew Chuong.

His company is also looking at increased co-operation with China through its joint venture in Dalian, which would increase production of its herbal drinks beginning next month.

Yeat, who is also Chairman of the Malaysia-China SME Council, said there has been an increase in the demand of such drinks and the joint venture would need to have another production line.

He also said that a proposed joint venture with Chinese investors on an insulin plant projet could also materialise once negotiations were completed.

– BERNAMA

My comment :

Is it about time for Hai Wai “Hua Qiao” or Oversea’s Chinese Counters to “SHINE” ?

It seems to me that the PumpPriming activities has so far kept the “BURSA FLAMES” burning from the Day the Stimulus Packages are announced by the Sixth Malaysian PM and is now increasing in intensity to more of sorching if you may feel now which also means that the BULL is on its way to turning into “GOLD !!

Najib linked Counters like GKent & Johan may be worth a flutter nextweek ?

http://moneytalk.10diamond.com/wp-content/uploads/2009/06/kl-n-beijing-friendship-based-on-trust.doc    

prime-minister-datuk-seri-najib-tun-razak-believes-china-will-be-at-the-forefront-of-the-economic-crisis-revival1  -  (New ! Updated on 04/06/09 at 11.00 pm)

Malaysia's PM landed on Chinese Soil to reinforce friendship started by his late father 35 years ago to create more value-added substance to the already strong Sino-Malaysia ties for the good of Asean Economies !