US markets gained despite higher initial jobless claims (actual 385k, consensus 353k) that together with the weaker-than-expected ADP employment change released earlier in the week suggests a tamer March jobs number scheduled for release later tonight. The focus last night and in Asia this morning turned to commitments by the Japan and European central banks to continue stimulus efforts. The BoJ strengthened a stimulus program that will result in USD73bil bonds purchase a month. At the same time, ECB President signaled the bank will keep monetary policy loose for an extended period and that further easing is possible if economic conditions deteriorate.

Our economist is quick to point out that central bank injections in reserves aren't being put into the economy. In Japan, Europe or the US, they remain inside the central banks in the form of reserves. Since 2006 for example, the BoJ has expanded the monetary base by JPY35til out of whichJPY28tril of that has remained at the central bank.

We have assigned a higher valuation on Pan-United Corporation as the port business (CXP port) is undervalued. The port is currently valued based on 7x FY13F PE, below China listed ports of 12.2x. We are revaluing CXP to be in line with China-listed ports. Its ready mixed concrete segment is also a beneficiary of the increasing infrastructure spending and buoyant construction activities in Singapore. Reiterate BUY on Pan United with a higher TP of S$1.16 (Prev S$ 1.08) based on 12x forward earnings of CXP.

Yoma has joined FMI to form a consortium with Digicel and Quantum Strategic to bid for one of the two mobile phone licences expected to be awarded by the government of Myanmar later this year. The consortium has already submitted pre-qualification bid in the first stage of the licence bidding process. This development is non-core at the moment but it is a substantial and attractive business which would fit nicely into Yoma's long term plan to be a conglomerate. No change to target price of S$0.80 and forecast as we do not foresee near term contributions.

Amara Holdings is expanding its chain of hotels to Myanmar with a proposed joint venture to develop and operate a business hotel in the Dagon Township of Yangon. It has inked a memorandum of understanding (MOU) with Myanmar's Youth Force Hotel and Youth Force Construction to develop hotels and engage in other real estate projects. The parties plan to establish a joint venture to collaborate on the development and operation of the hotel as its first project. The proposed total investment is estimated to be about US$50m.

SingTel is partnering the Al Noor Group to distribute satellite-based technology and services in Myanmar. Under the pact, Singapore-based Al Noor, one of the largest importers of mobile phones in Myanmar, will help SingTel sell satellite phones, broadband internet and broadcasting services in Myanmar. SingTel is also currently vying for a telecommunications license in Myanmar, which began a process this year to issue two permits as part of its efforts to liberalize the tightly controlled sector.

Hyflux has signed two MOUs in China to explore collaborations with the prefectural governments of Chuxiong and Qujing in Yunnan province to develop water and environmental projects in industrial park and local townships. The projects include the development of water recycling, wastewater treatment plants and potable water treatment plants as well as related infrastructure projects. The total investment value for the projects in Qujing and Chuxiong is estimated to be about RMB 1.2b (c.S$240m) and < RMB 2b (c.S$400m) respectively. These contracts, if secured, would top up Hyflux's depleting EPC orderbook, currently standing at less than S$1b. We have assumed Hyflux to secure S$500m new win this year. No change to Hold recommendation and TP of S$1.43.

ST Engineeringannounced that its electronics arm, ST Electronics has secured about S$151m worth of contracts for rail electronics, satellite communications (satcom) and smart utility projects in the first quarter of 2013 (1Q 2013).

City Developmentsis said to have put all its 60 strata office units at Sunshine Plaza in the Middle Road area on the market. BT understands City Dev is looking to sell the units on an individual basis at above $1,900 psf. The units are currently leased and based on a price of $1,900 psf. Ranging from 484 sq ft to 1,345 sq ft, the units are located on the second to sixth levels, and on the eighth to 12 levels. CDL had earlier sold the entire seventh floor.

Park Hotel Clarke Quay is expected to be transacted imminently and talk in the market is that the price is around $300m. Industry watchers say the buyer is a real estate investment trust, with Ascendas Hospitality Trust (A-HTrust) tipped as a prime candidate. Assuming Park Hotel Clarke Quay changes hands at $300m, that would work out to around $900,000 per key. The 336-room property, which opened its doors in 2009, is owned by Park Hotel Group, controlled by the Law family of Hong Kong.

Asia-Pacific carriers recorded 4.5% growth in international passenger demand in February compared to the previous year, according to the International Air Transport Association (Iata). Continuing improvements in China's economy, and the growth in intra- Asian trade were the two main factors that strengthened the passenger business of the region's airlines. On the global stage, international passenger demand rose 3.7% in February from a year ago.

Source: DBSV