For the STI, an initial dip that probed the 3200 immediate support earlier this week resulted in a minor 30pt rebound but that has since been given back. With US hitting its debt ceiling by 17 Oct, the postponement of QE tapering to a later date and a likely lack lustre 3Q results season, it is possible for STI's current consolidation off the 3200 level to dip lower to 3175 but not exceeding 3140 where better support emerges.

We are initiating coverage on Soilbuild Business Space REIT(SB REIT) with a BUY call and target price of S$0.87. SB REIT offers exposure into a modern portfolio of business park/industrial properties in Singapore with a valuation of S$935m. Compared to existing industrial S-REITs, its portfolio is the youngest, with an average age of 3.1 years (by GFA), backed by long land lease tenure of c.51 years. SB REIT will derive 42-43% of its net property income from master leases, with tenures ranging from 5-15 years, and this will offer strong income visibility to the REIT. At a FYP13F-15Fyield of 7.7%-8.6%, SB REIT offers one of the highest yields amongst the S-REIT space, which is attractive.

Yangzijiang Shipbuilding has launched its first ever 10,000 TEU containership from its Jiangsu New Yangzi Shipbuilding. This is also the first ever Chinese yard to have secured orders for the 10,000 TEU containerships. As at current date, the Group has 11 of such vessels on the order book and also there are options for 14 more. This reiterates the Group's ability to scale up the value chain with securing orders and building higher capacity eco-friendly vessels.

OUE is considering yet another real estate investment trust (Reit). The company is "exploring the establishment" of a commercial Reit to be listed on the main board. OUE said that the proposed Reit's initial portfolio is expected to include OUE Bayfront - its 18-storey flagship office building at Collyer Quay - along with the building's ancillary properties comprising a tower building used for a food and beverage outlet and a link bridge with retail shops. Other commercial properties owned by Lippo China Resources Limited (LCR) are also being considered for acquisition by the proposed Reit.

Rowsley announced that the proposed acquisition of RSP Architects Planners & Engineers and the proposed land acquisition were completed. A total of 3.26bn consideration shares issued at an issue price of S$0.150 per share will be listed on 27 September but will be placed under a separate temporary stock counter (Counter Name: Rowsley A, Stock Code: T4A) until the Books Closure Date (3 October 2013) as they are not entitled to the warrants under the proposed bonus issue. 

Internet Technology Group is proposing a voluntary delisting from SGX. The exit offer price for each share is S$0.127 in cash, representing approximately a 24.5% premium over last traded price. The rationale for the delisting include: 1) Access to Capital Markets No Longer Required; 2) Eliminate costs; 3) Management Flexibility and 4) Low Trading Liquidity.

OKH Global is placing up to 60m new shares at a placement price of S$0.68 per share. The placement price represents a discount of approximately 8.36% to the last weighted average price. The estimated net proceeds of about S$39.5m will be used mainly to fund potential acquisitions, investments and business expansion plans in connection with the Group's business.

The global investor confidence index (ICI) fell to 101.4 points this month, down 3.5 points from last month's revised reading of 104.9, the latest findings by State Street Global Exchange have revealed. The decline was mostly driven by sentiment in North America, where the figure fell 7.6 points to 104.5 from August's revised reading of 112.1. European confidence rose 4.7 points to 101.7, while Asian confidence rose 2.1 points to 95.3 for the month.

Casino entry levy purchases and the amount of levies collected have been dropping annually, due to the casino novelty factor wearing off and the impact of social safeguards including exclusion orders, and more recently, casino visit limits to curb problem gambling. The Casino Regulatory Authority disclosed that Singaporeans and permanent residents forked out $174m in casino entry levies in 2012. That's down from $195m in 2011 and $216m in 2010.

In property news, Serangoon Plaza in Little India has been put up for collective sale at an indicative price range of between $360m and $368m. The indicative price range translates to between $1,751 psf ppr and $1,790 psf ppr. Over in Clementi, Cityvibe mall has been put on the market with an asking price above $130m.

US markets fell as investors once again weighed on whether a looming government shutdown will hamper economic growth. The Senate will likely vote on a stopgap spending bill only this weekend that leaves the house just 1 full working day to act before the Federal government's spending authority ends on Oct 1st. The 10-yr treasury yield dipped to 2.61%.

Source: DBSV