Uncertainty and Volatile Market: Any Oppotunity?

Strategic for May-July 2010:

1. Defensive and low gearing companies.
2. Potentially giving out dividend.
3. Potentially announce bonus issue.

Counter to watch:
KSL : start to accumulate below RM1.40. Strong retained earning sufficient to issue any bonus.
Based on track record, in May is the announcement period for dividend ( appro. 8 sen for
this year)
CoColand: Price well maintain at RM1.40. Healthy balance sheet.
Golden Agri : Financial result just released and show robust performance. (TP SGD 0.68 )

Crude Palm Oil

CPO production unexpectedly drop 5.84% and inventory level drop 2%.
The recent CPO price hold well at 2480-2525 level become the immediate support level. With the first 5 days export figure show +21.8% (by ITS), I think CPO will trending upward again.

Buy Golden Agri -SGD0.55.

Crude Palm Oil

1. Inventory figure will be released next Monday (10/5/10)- expect to increase due to increase in output and dropping in export.
2. Scenario will be not encouraging with recent credit tightening policy by Chinese Government.
3. For this month, CPO price may test RM2378 level.