Macquarie is pleased to list the following new warrants this morning

1) OPEC emergency meeting
On Sunday, Iranian Oil Minister Rostam Qassemi called on the members of the Organisation of Petroleum Exporting Countries (OPEC) to convene an emergency meeting. He said that the current price of crude oil is "illogical" and urged for a stronger enforcement of OPEC members' production target of 30mn barrels per day (some members are over-producing). Both Algerian and Venezuelan ministers have also expressed their support on calling the meeting.

2) Norwegian strike
Norwegian trade unions are currently in loggerheads with their employers over pension and retirement rights. Reuters reported that the labour action could have cut daily Norwegian oil production by 13% or 250,000 barrels a day. Yesterday, the union decided to delay their escalation to a complete shutdown until Friday. So far, the government has yet to directly intervene on the matter, hoping that a compromise could be found soon.

3) Loss of Iranian oil
Iran is the second largest oil producer in OPEC after Saudi Arabia, with a daily production of around 3.3mn barrels a day. However, its nuclear ambitions triggered a sanction on its oil exports since 1st July. This is said to be the biggest supply disruption within OPEC since the Libyan crisis last year. In retaliation, the Iranians test fired missiles on Tuesday and drafted a bill that would close the Straits of Hormuz, a key shipping route. A fifth of the world's crude oil supply passes through the strategic waterway.

List of recent Keppel orders in the past 3 months
28 Jun – US$70mn on a semi-sub upgrade and a new floating dock construction
1 Jun – US$560mn on a repeat order of an ultra harsh environment jackup rig
12 Apr – US$4,120mn on 5 semi-sub drilling rigs for Sete Brasil
4 Apr – S$170mn on 2 FPSO upgrading projects
2 Apr – US$205mn on a repeat order of a jackup rig.

Singapore Market Wrap

Fifth day of gains

Yesterday was another good day for Asia, HSI led the vanguard with a 1.5% increase day-on-day (dod) and the STI moved up steadily with hardly any retracements intraday. Investors' sentiments were fuelled on optimism that central banks in Europe and China may step in to stimulate economic growth.

STI closed 2,945.33 , up 1.2% dod.

Call STI 2950MBeCW120831 (QE8W) exercise level 2,950.*
Put STI 2850MBePW120831 (QE9W) exercise level 2,850.*

Banks benefit from good housing estimates
The finance sector was one of STI's best performers with the banks adding gains collectively. This comes as no surprise as URA recently released estimates for residential property, showing home prices have risen faster this quarter. As a result, there is a ‘spill-over' effect as investors expect that mortgage loans will increase, thus contributing to the banks' net interest income.

DBS closed at $14.15, up 1.1% dod.
UOB closed at $19.16, up 2.0% dod.
OCBC closed at $8.95, up 0.9% dod.

Call warrant DBS MB eCW120904 (QC6W) exercise price $14.00.*
Call warrant DBS MB eCW121101 (QZ1W) exercise price $15.00.*
Put warrant DBS MB ePW121001 (QO9W) exercise price $13.00.*

Call warrant UOB MB eCW121002 (QY1W) exercise price $19.30.*
Put warrant UOB MB ePW121001 (QR3W) exercise price $16.40.*

Call warrant OCBC Bk MBeCW121101 (QY0W) exercise price $9.20.*
Put warrant OCBC Bk MBePW121105 (QZ3W) exercise price $8.40.*

STX OSV, a laggard
Despite the Singapore market having a strong day, STX OSV closed unchanged. Recently, SGX announced that the company secured contracts for constructing two platform supply vessels for island offshore and the total value of the contracts amounts to approximately NOK 500 mil.

STX OSV closed at $1.56, unchanged dod.

Call warrant STXOSV MB eCW121203 (QR8W) exercise price $1.50.*
Call warrant STXOSV MB eCW120801 (P2VW) exercise price $1.80.*

Overnight Market Wrap

Joint effort by central banks?

Last night, both the US and Europe ended in the black with S&P finishing up 0.6% to close at 1374.02. Europe rallied on expectations that ECB will cut rates this week while investors in the US are anticipating the Fed to step in to help boost economic growth. Poor ISM data initially sent markets into jitters but yesterday's report on rise of factory orders eased concerns. Factory orders increased 0.7% month-on-month (mom), beating consensus of 0.1%.

Commodities rallied alongside with equities with oil jumping 4.7%. Treasuries fell behind, with 10 year treasury yields rising to 1.63%.

Overnight Markets

Indices	Last	Change
STI	2945.33	1.2%
HSI	19735.53	1.5%
DJIA	12943.82	0.6%
S&P 500	1374.02	0.6%
Nasdaq	2976.08	0.8%
China A50	7814.85	0.2%

Corporate News

Corporate Announcements

Results announcements:
Wed 11 Jul: Ezra 3Q12
Thu 19 Jul: Keppel Corp 2Q12
Fri 27 Jul: SGX 4Q12
Fri 27 Jul: DBS 2Q12
Fri 27 Jul: Sakari 2Q12
Fri 27 Jul: Biosensors 1Q13
Wed 1 Aug: Cosco Corp 2Q12
Thu 2 Aug: SembCorp Marine 2Q12