1. Jardine C&C +2.850
2. CityDev +0.370
3. DBS +0.340
4. SIA +0.330
5. UOB +0.320
The only loser component stock was :-
1. ST Engg -0.010
US markets recovered from earlier mixed opening to close at least +1% after EU Summit outcome, economic data and better than expected corporate earnings. Asian bourses also advanced after outcome of EU Summit. Nikkei closed +2.04%, SSE +0.34% and HSI +3.26%. STI in line with regional bourses and playing catch up on yesterday holiday closed +2.80% moving above 2,800 level in a daily volume of more than 2 billion. 29 of the 30 index stocks registered gain.
Outcome of the EU Summit did not disappoint investors and pretty in line with what investors were looking for. Details of :-
1. 50% haircut for Greece debt
2. recapitalize of banks with a 9% capital reserve requirement by June 2012
3. enlarged of the EFSF rescue funds to 1 trillion euro.
Another bonus was France President will be approaching China to help in the EU bailout funds. Those news satisfied investors nevertheless. Though, some steps were taken to tackle the EU debt crisis, the problem is still not totally solved. However, do keep the possibility that global stock markets have bottomed some 3 weeks ago.
In the Market Analysis dated 15th Oct 2011 I have highlighted the possibility of market hit the bottom then and that still remain and should not rule out of it despite so far no analysts has came out to claim so. Market rallied today with contribution from short-covering, bargain hunting and possibility of funds inflow. Do monitor closely for possibility of funds inflow and if so, that would possible fuel a sharp rebound like the scenario of March 2009.
