Malaysia's ringgit had its biggest two-day advance since May as speculation the US will hold back from a military attack against Syria fueled demand for emerging-market assets.
The MSCI Asia Pacific index of stocks climbed for a ninth day, the longest rally this year. Russia's bid to get Syria to surrender its chemical weapons is a "potentially positive development" that could avert a US strike, President Barack Obama said in an interview with NBC News yesterday. The ringgit dropped 6.7 per cent this year and Malayan Banking Bhd forecast in a report yesterday the weakness will boost the nation's exports, which rebounded in July after a five-month contraction.
"A lot of currencies that have been under pressure are seeing some of the selling abating," said Nick Verdi, a foreign-exchange strategist at Barclays Plc in Singapore. "There's more positive risk appetite generally."
The ringgit strengthened 0.4 per cent to 3.277 per dollar as of 4.19pm in Kuala Lumpur, according to data compiled by Bloomberg. It climbed 1.5 per cent in two days. One-month implied volatility, a measure of expected moves in the exchange rate used to price options, fell 30 basis points to 9.6 per cent.
A government report tomorrow may show factory output rose 4.9 per cent in July from a year earlier, after climbing 3.3 per cent in June, according to the median estimate of economists surveyed by Bloomberg.
The "immediate" export outlook for August is "positive" amid a competitiveness boost from the weaker ringgit and improving commodity prices, according to the Maybank report, whose authors included Suhaimi Ilias, the Kuala Lumpur-based chief economist. The lender expects economic growth to quicken to 4.8 per cent in the second half from 4.2 per cent in the first six months.
Government bonds advanced. The yield on the 3.26 per cent notes due March 2018 dropped one basis point, or 0.01 percentage point, to 3.59 per cent, according to data compiled by Bloomberg.
All Southeast Asian stock markets traded firmer on Tuesday, with several near their three-week highs as the global economic outlook looked better after China's upbeat exports data and receding fears of a US military strike on Syria.
Expectations that the US central bank would delay or be less aggressive in tapering its monthly bond purchases after disappointing US job data also helped boost sentiment.
Jakarta's Composite Index, which lost 2.9 per cent last week, was up 1.8 per cent as of 0622 GMT at its highest since August 19. It rose nearly three per cent in the previous session.
Banks led the gains with Bank Mandiri Persero Tbk PT rising 8.6 per cent and Bank Rakyat Indonesia Persero Tbk PT up 5.6 per cent.
Indonesian stocks were expected to continue their gains on Tuesday, said Edwin Sebayang, head of research at Jakarta-based MNC Securities.
"But investors should remain disciplined and vigilant," he said, referring to the risks of foreign inflows into stocks, fall in the rupiah, a possible tapering of the US stimulus programme and a military attack on Syria.
Positive sentiment for the rupiah after data on Friday showed gains in foreign exchange reserves was also helping stocks, analysts said.
The Philippines' main stock index was up 1.8 per cent at a two-week high, while the Thai stock index rose 1.1 per cent to 1,399.41, its highest level since August 19, led by gains in banking shares.
Foreign buying in Thai stocks boosted sentiment, while receding fears of a US military strike on Syria also helped, said Teerada Charnyingyong, a senior strategist at Bangkok-based broker Phillip Securities.
"Foreigners have been buying and we see the resistance level between 1,410 and 1,420," she said referring to the index.
Singapore's Straits Times index was up 0.4 per cent to a near three week high, while stock indices in Malaysia gained 0.9 per cent to a three-week high.
Vietnam's main stock index was up 0.6 per cent at mid-day as investors snapped up cheap blue-chip equities following a slump in the index's biggest firms in the previous session.-
Hi all, I am new and come in everyday to see your comment.I have a chance to sell it at 1.1X but i didnt. End up sold at 1.01 at the cost of 0.99. =.= I believe ppl who know technical analysis can earn money from this counter. for few times. hehe. learning to combine technical and fundamental together now.
tigerroar I've already fastened my seat belt at 5.51am.... n waiting for tiger.....roaring sound to takeoff at 9.00am to the sky.....with Bro Sang Jero & Steve Jub.....go...go...go..
Hold on to your stocks....The towkay and his gang is piling up the shares from open market and keep as their treasury shares as per the AGM resolution recently...At the same time Felda also increase their stake.......This strategy will reduce supply in the market and the share price will move up steadily....From my observation since last week Pantech shares is less volatile and the price move up slowly but surely.....RHB and Kenanga TP will come to a reality....Very positive...The warrant is also doing well....
Towkay pulling back shares from open market and keep as treasury shares...implementing AGM resolution....moving north....Anybody interested in Pantech Shares must book seller...
55880955.....Thank you bro....you are very helpful....The Cartel must be intact...To see Pantech fly like a rocket....we must ensure that it break 1.08-1.10.....REAL MONEY comming...cheers
KUALA LUMPUR: Petroliam Nasional Bhd (Petronas) confirmed on Tuesday it would withdraw from its flagship Petrocarabobo crude oil project in Venezuela.
"Petronas confirms that its subsidiary, PC Venezuela Ltd, has decided to withdraw its 11 percent participation in the Carabobo project and has communicated to this effect on 27 August 2013 to the Venezuelan authorities," Petronas said in a statement.
The withdrawal was part of the company's strategic review of its global assets and would not further delay a planned $19 billion refinery project in southern Malaysia, two Petronas sources told Reuters. - Reuters
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
Steve Jub
4,203 posts
Posted by Steve Jub > 2013-09-10 17:06 | Report Abuse
oh okay, anyway we will still give the bidder some color to see (cantonese direct translate) hehe