1. JMH 400US$ +0.720
2. JSH 500US$ +0.460
3. DBS +0.230
4. KepCorp +0.220
5. Jardine C&C +0.140
5. SembCorp +0.140
The 2 loser component stocks were :-
1. SIA -0.050
2. GoldenAgr -0.010
US markets rebounded yesterday after 5 days of selling down with at least +0.7% closing mainly driven by the better than expected earning by Alcoa. Asian bourses also rebounded after past days of selling down. Nikkei closed +0.70%, SSE +1.82% ahead of tomorrow release of 1Q12 GDP which many expected to be good and HSI +0.93%. STI in line with regional bourses closed +1.08% in heavy volume and 26 of the 30 index stocks registered positive closing.
It is too early to conclude the rebound will last as investors still cautious ahead of corporate earnings. STI having high volume in both up and down days which cannot confirm the selling down is over. Investors need to monitor for price movement and volume of individual stocks to conclude whether the selling for that stock has dried up. Technically speaking, for an oversold stock if the price action still directionless and volume is shrinking, chances are the stock is building a bottom for it. Whereas for an overbought stock, should the price movement unable to break the previous resistance and coupling with lower volume as compared with previous, there is a good chance that the stock is undergoing distribution and not advisable to buy into.
STI has yet to react to any blue chips earning ( the first being SPH tomorrow ) hence it is too early to affirm the direction of the market. Tomorrow Singapore Government will also release its 1Q12 GDP and should be closely watch.
