Warrants Highlight

Golden Agri Charging Ahead with CPO Prices

Golden Agri hovered around the $0.80 level yesterday before closing 1 tick lower at $0.795. The stock is now at its 52-week high after rising 13.5% from its March lows. Over the same period, warrant PB2W rose 94.4% from $0.018 to $0.035.

Palm oil prices surged
Last Friday, the US Department of Agriculture report showed that soybeans planned acreage was less than expected, prompting a rally in grains and soybean prices. Malaysian palm oil June delivery contract rose to RM3,533 on Monday, the highest in more than a year, despite an Intertek report indicating that Malaysia's palm oil export rose 4.8% in March compared to February.

2012 growth strategy
Golden Agri's management projected its FY2012 capex to be approximately at US$500mn. It listed the following growth strategies in their latest annual report:
- Expanding palm oil plantations by 30,000 hectares
- Building milling capacity in line with the growth in fruits production
- Constructing additional downstream processing capacity in strategic locations
- Extending distribution coverage and global market reach as well as logistic facilities to enhance integrated operations.

Singapore Market Wrap

Ain't no monkey - S'pore shrugs off HK rally

Despite the strong rally in Hong Kong's Hang Seng Index ahead of its long weekend, Singapore shares stayed muted, closing little changed at 3,014.98.

June Call STI 3000MBeCW120629 (P8BW) exercise level 3,000.*
June Put STI 2900MBePW120629 (P8CW) exercise level 2,900.*
Longer dated Call STI 3100MBeCW130131@ (PA7W) exercise level 3,100.*
Longer dated Put STI 2800MBePW130131@ (PA8W) exercise level 2,800.*

DBS to make Asia's biggest banking deal
Resuming trading after Monday's trading halt, DBS stole headlines everywhere with its offer to buy PT Bank Danamon Indonesia for approximately US$7.2bn - Southeast Asia's biggest banking deal.

DBS said it will pay Temasek Holdings, its biggest shareholder, 45.2 trillion rupiah (US$4.9bn) in new shares for its 67 percent stake in Danamon and buy the remaining stock from others at 7,000 rupiah-a-share for 21.2 trillion rupiah in cash.

While PT Bank Danamon surged to its most in 13 years, DBS Group fell 2.8% yesterday on the news to $13.79.

Call DBS MB eCW120702 (P0VW) exercise price $13.90.*
Call DBS MB eCW130102 (O9KW) exercise price $14.00.*
Put DBS MB ePW120718 (P2NW) exercise price $12.80.*

 
Overnight Market Wrap 

Down on Fed Minutes

There were no signs of another round of stimulus from yesterday's FOMC March 13 meeting minutes. The lack of urgency to print money dampened investor sentiments. The S&P500 fell 0.4% from its highest close since 2008 to 1,413.38.

Spanish unemployment rate rose for the 8th consecutive month to a new record high. The country's economy is expected to contract by 1.7% this year after the collapse of its property bubble. The Euro retreated sharply to $1.3230.

Overnight Markets

Indices	Last	Change
STI	3014.98	-0.0%
HSI	20790.98	1.3%
DJIA	13199.55	-0.5%
Nasdaq	3113.57	-0.2%

Corporate News

Corporate Announcements

Results Announcement
Tue 17 Apr: SGX 3Q12

Ex-Dividend Date
Wed 25 Apr: Keppel Corp ($0.26), SembMarine ($0.20)
Wed 26 Apr: STX OSV ($0.10)
Fri 27 Apr: OCBC ($0.15)
Mon 30 Apr: Cosco ($0.03)
Fri 4 May: Wilmar ($0.031)
Mon 7 May: UOB ($0.40), CapitaLand ($0.08)
Wed 9 May: DBS ($0.28)