Warrants Highlight

Get Ready for US Earnings Season Tomorrow

Singapore Market Wrap

STI corrects almost one percent ahead of long weekend

While the previous quarter finished on a high, the first week of the second quarter saw a less enthusiastic start. Volumes averaged 220mn per day, a 24% fall from the previous week while the benchmark index STI corrected 0.8% week-on-week (wow) to 2,986.20.

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 - top headline and index laggard
Last week's top index laggard as well as news headline was DBS Group. DBS announced a US$7.2bn proposal to buy PT Bank Danamon Indonesia, which if successful, will be Southeast Asia's biggest banking deal.

The deal will involve DBS paying Temasek Holdings, its biggest shareholder, 45.2 trillion rupiah (US$4.9bn) in new shares for its 67 percent stake in Danamon while the remaining stock will be bought 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 last Friday, DBS tumbled 5.9% wow to $13.34, its lowest closing price since January 26 this year.

Call DBS MB eCW120802 (P1CW) exercise price $12.70.*
Call DBS MB eCW120702 (P0VW) exercise price $13.90.*
Put DBS MB ePW120718 (P2NW) exercise price $12.80.*

Keppel Corp - contract win helped stock finish positive
Looking at outperformers for the week, Keppel Corp moved up 0.4% wow to close above $11 again, after news that its AM FELS unit secured a US$205 million contract to build a jack-up rig for Mexico's Perforadora Central SA de CV. Its counterpart SembMarine had closed down 0.6% wow at $5.25 despite announcing the win of two contracts worth a total US$786.5mn.

Call KepCorp MBeCW120702 (P0WW) exercise price $10.50.*
Call KepCorp MBeCW120801 (P1HW) exercise price $11.50.*

Call SembMar MBeCW120905 (P1FW) exercise price $5.20.*
Call SembMar MBeCW121001 (P8OW) exercise price $5.80.*

Overnight Market Wrap

Disappointing Non-farm Payrolls

S&P500 was almost unchanged on Thursday before the long weekend. However, Friday's disappointing non-farm payroll figures triggered a sharp fall in the S&P futures. The futures fell 1.1% to 1,374.90 on Friday night.

US added 120,000 jobs in March, compared to Bloomberg analysts' median forecast of +205,000. Retail sector employment fell by 34,000 despite improving consumer spending numbers. Unemployment rate fell from 8.3% to 8.2% as more workers left the labour force.

Overnight Markets

Indices	Last	Change
STI	2986.20	0.0%
HSI	20593.00	-0.9%
DJIA	13060.14	-0.1%
Nasdaq	3080.50	-

Corporate NewsCorporate 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), Golden Agri ($0.0184)
Fri 4 May: Wilmar ($0.031)
Mon 7 May: UOB ($0.40), CapitaLand ($0.08)
Wed 9 May: DBS ($0.28)