Malaysia & Global Ecomony Insight - Week 30th March 2008

1. Global Economic/Monetary/Financial Trend:-
   
   1. Market Volatility And Credit Crunch … As A Long-Overdue Normalization Of Investor Assessments Of Risk … Helps Clear Up Alan Greenspan "Conundrum" … But There Are Risks Involved …
      
   2. Will There Be More Fed Funds Rate Hike In Coming Months?
      
   3. The Past, Present And Future Of The US Dollar
      
   4. Stagflation In US? … What Does Stagflation Mean For The People In Malaysia?
      
   5. Despite Pessimistic Global Economic Outlook For 2008, One Can Find Some Reasons To Be Cheerful (Or, At Least, Less Pessimistic)
      
2. Geopolitical Trend:-
   
   1. The Emergence Of A More Dangerous Nuclear Age And Its Implications;
      
3. Global Industry Trend:-
   
   1. The Past, Present And The Future Of The Coal, Gas And Oil Industry;
      
   2. Betting On Clean Energy (Wind, Solar, Biofuels);
      
   3. Global Property Sector Outlook 2007 1.0
      
   4. Water's Time Has Come!
      
4. Asia Economic/Monetary/Financial Trend: -
   
   1. Concerns About US Recession And Subsequent Derailment Of Global Economy Prove Warranted Only If Three Major And Distinct Circuit Breakers Fail To Operate;
      
   2. Four Stages Of Impact From The Global Credit Crunch;
      
   3. The Current Scene (Aug 2007) Is Starting To Look A Lot Like 1997 & 1998, BUT IN REVERSE
      
   4. Asia's Huge Foreign Reserves: -
      
      1. Finding New Sources Of Investment And Its Implications For Global Financial Markets And Assets;
         
      2. Put To Use (Aug 2007);
         
      3. Sovereign Wealth Funds Versus Private Equity Funds
         
   5. The Singapore Dollar Carry-Trade;
      
   6. Japan's Ultra Loose Monetary Policy Feeding Bubbles Virtually Everywhere;
      
5. Malaysia Economic Development Policies:-
   
   1. The Third Industrial Master Plan (IMP3) 1.0;
      
   2. The 9^th Malaysia Plan (9MP) 2.3
      
   3. Malaysia's Global Competitiveness Report
      
6. Malaysia Economic/Monetary/Foreign Exchange Trend:-
   
   1. Economic Trend:-
      
      1. The Malaysia Twin Dichotomy – Large Gap Between Large Cap And Small Cap Stocks And The Divergence Between Economic And Stock Market Performance
         
      2. State Of Malaysia's Comparative & Competitive Advantages 1.0
         
      3. Foreign Research House's GDP Growth Forecast –
         
   2. Monetary Trend:-
      
      1. BNM's Monetary Policy Outlook-
         
   3. Fiscal Policy:-
      
      1. A Pay Hike of 7.5% To 35% For Civil Servants … what can the Malaysian on the street expect in the months to come?  
         
   4. The 10-year US Treasury Bond & The Malaysian Government Securities (MGS)
      
   5. The Foreign Exchange Market:–
      
      1. Is Malaysia Ready For The Ringgit Be Traded Offshore Again, 10 Years After The Asian Currency Crisis? 1.4
         
      2. A Stronger Ringgit Policy 4.0;
         
      3. Now (July 2007), 10 Years After The Asian Financial Crisis, A Shift Away From A Heavy Intervention Exchange Rate Policy May Be Taking Pace In Asia
         
7. Thematic Play
   
   1. The Progress Of The GLCs Transformation 4.0;
      
   2. The Iskander Development Region (IDR) In South Johor 2.1;
      
   3. The Eastern Corridor Development Programme (Petronas-Led) 3.0
      
   4. The Northern Corridor Economic Region 2.1;
      
   5. The Sabah Development Corridor 1.0;
      
   6. The Sarawak Corridor Region 1.0l
      
   7. The Water & Water-Related Play 2.1 - The Pahang-Selangor Interstate Water Transfer Project & SYABAS NRW Capex Spending;
      
   8. The Undersea Cable Project 1.0;
      
   9. RM40 billion Public Transport Expenditure 1.0;
      
   10. The Asia Petroleum Hub (APH) 1.0;
       
   11. The Solid Waste Management Play 1.0
       
   12. Sarawak Corridor of Renewable Energy (Score) 1.0
       
8. Malaysia Nonfinancial Industry Development:-
   
   1. The Life Sciences Industry – Biotechnology 1.1;
      
   2. The Palm Oil/Biodiesel Industry Outlook 7.5;
      
   3. The Oil & Gas Industry 4.4;
      
   4. The Timber Industry 2.0;
      
   5. The Telecommunication Industry 5.0;
      
   6. The Steel Industry Outlook 4.0;
      
   7. The REITs Industry 3.0;
      
   8. The Construction Industry 2.0;
      
   9. The Housing And Properties Industry 6.0;
      
   10. The Cement Industry 1.0;
       
   11. The Water Services Industry 3.1;
       
   12. The Plastic Industry 1.0;
       
   13. The Electronics Industry 5.1
       
   14. The Furniture Industry 1.0;
       
   15. The Tin Industry 1.0;
       
   16. The Shipping Industry 5.0
       
9. Malaysia Financial Industry Development:-
   
   1. The Banking Industry (Liberalization Of Financial Industry) 4.0;
      
   2. The Foreign Exchange Liberalization 1.1;
      
   3. The Privatization & M&As Trend In Bursa Malaysia 3.2
      
10. Market Outlook For The Coming Week
    
    1. State Of US Economic & Monetary Policy Trend
       
    2. State Of Japan Economic & Monetary Policy Trend
       
    3. State Of China Economic & Monetary Policy Trend
       
    4. State Of Malaysia Economic & Monetary Policy Trend
       
       1. Malaysia Economic Indicators
          
       2. Monetary Policy
          
       3. Economic Outlook
          
       4. Investment Theme For 2007
          
       5. Watch List In The Coming Week
          
       6. Weekly Commentaries
          
       7. Technical Viewpoint
          
       8. Series Of Catalysts
          
       9. Undermining Factors
          
       10. The Risks
           
    5. Unpredictable Risks
       
    6. Equity Outlook
       
    7. Strategy
       
    8. Stock Market Leading Performance Indicator
       
11. Stock(s) To Speculate:-
    
    1. "Radical Development" –Dialog/Kencana/KNM/Sumatec/SimeDarby/Muhibbah/Ranhill, Engineeing,
       Kencana,
       Kian Joo,
       Foremost, Welli, UEMWorld/YTL,
       Election Stocks,
       Daya, PJBumi,
       Tan Chong,
       ASB,
       MAS, Litrak/Gamuda, MNRB, Nagamas, MAA, Dialog, Perisai, Silver Bird,
       Talam, Menang, AIRB, K-One, EUPE, Jetson, Equine/MRCB,
       Daya Materials Bhd, IOICorp/THGroup,
       Digi/GPacket, DeGem, ECMLibra, JAKS, ILB, Pipemakers, GPA/FCW/MARCO/JKita/PDZ, O&G Players, RBLand, Mega First, Willowglen, Linear
       
    2. "Incremental Development" – Liqua, Supercomal, Transmile, CIMB/MBB, Lion Industries, YNHP,
       Alam Maritim, Gamuda,
       Kian Joo, ASTRO, KPS/Puncak Niaga/KDEB,
       Perisai, GPLUS, UNICO, MRCB/SCOMI, SilverBird, ECMLibra, Eden,
       Bursa, Sumatec, PMI/MUIB,
       Mutiara, Can-One/Kian Joo,
       Jotech/AIC/AV Ventures, IOI/Unico, Proton, EONCap, APLI, ChooBee,
       MPCorp, UEMWorld/KSL, AMMB/RHBCapital, AIC/Compugates, Silver Bird,
       Idaman, Bernas, DRB-Hicom/EON Capital, Equine Capital, Putera Capital, LKT, MBSB, Konsortium Logistics/MRCB (PORR), MBFCorp/MBF Holdings Bhd, PLUS, Time, CSA, KLIG, Sittat/Malton, Gamuda/MMCCorp/ACPI/SCOMI (Ipoh-Padang-Besar), Suria, Amsteel/Silverstone, Proton/EON/Proton Edar/DRB-Hicom, MTDInfr, SapCrest/SapTech/Sapura Hldgs, KSTB/KUB, Coastal, Melewar/Mycron, MVEST, NAMFatt, LiteSpeed, Focus Dynamic, KLCity, Mtronic, Metacorp
       
12. Companies To Watch In 2008 – AMFirst REIT, IGB, IJM, Lion Diversified, POS, WaSeong, WCT Eng, AFG, Ann Joo, Astro, CCM, E&O, Kencana, Kinsteel, Kian Joo, MPHB, Muhibbah, Proton, RHBCapital, Scomi, Sime Darby, Sunrise, Tan Chong, TimeDotCom, TA, TM, YTL Cement
    
13. Corporate Development – KLK, Titan, AV Ventures, Perisai, Petra, MAS, Cocoland, Ranhill, AP Resources, Redtone, Wawasan TKH, NAIM, MBB, Ann Joo, MUIB, UMS, SRII, Faber, Notion, Success, Widetech
    
14. Value Stock(s) –
    
15. Value Play < -- > Betting On The "Next Phase Of Growth" Companies: -
    
    1. "Radical Development" – Hirotako,
       UBG/CMSB/Putrajaya/Loh&Loh, Riverview, BJCorp/Redtone, Dijaya, Guocoland, YSPSAH,
       Gefung,
       CheungKong, Ecofirst, DataPrep, Latexx,
       Vitrox, KFIMA, HubLine, PohKong, Kannaltec, Metal Reclamation, Kurnia Setia, Realmild, Ann Joo,
       Opcom, CSAM, Selangor Dredging,
       Bhd, Ayer Hitam, SelDredging, ICP,
       Crescendo, OSK Property, Yung Kong, Metro Kajang, MedaInc,
       QL Resources, Acoustech, Ajiya, CYL, IFC, Pantech, Gromutual, SapInd, AsiaPac, Onasteel, KFima/FimaCorp, PMI/PMCap/PMHldg/MUI, ILB, SuriaCapital, WEIDA, Vintage, PMB, APM, Mechmarorp, Mircolink, Mudajaya, FFHB, Protasco, Kotra, YTLLand,
       
    2. "Incremental Development" – Kencana, Hiap Teck, KKB, Wah Seong,
       MMC, TimeDotCom, IJM, Melati, AMMB, Octagon, TSH, Affin, Ramunia, SpSetia, Leader,
       Technodex, Swee Joo, CT Eng, Coastal, TMC Life, Sime Darby, AP Land, Suncity, CBS Tech, Mah Sing, Cepat,
       Resorts, IOICorp, BJLand/TMCLife, PPB, Sunway Holdings, Jobstreets, RHBCapital, KNM, Muhibbah, Dutaland, Genting, CHHB,
       UMW, UEMBuilders, VADS, IJM, UEMWorld, Melati, IOIProperties, BHIC, BJCorp, Sime Darby,
       Maybulk, YTL, Encorp, UBG/DRB-Hicom, Dufu, SHH, TSR Capital, IOIProperties, IJM Plantations, E&O, MRB, UEMWorld/UEMBuilders/CIMA, Pharmaniaga, TMI, TSH, EONCapital, Naim, KUB, REXIT, MTD Capital, YNHP, Landmarks/Genting, SDB, MahSing, Ramunia/MISC, BStead, Chin Teck, MRCB, APLand, GCorp, Pantech, Dialog, VS Industry, WCT Eng, GOLDIS, TRC,
       Suncity, MPCorp, PacificMAS, United Malacca / PacificMAS, Suncity, FCW, Pilecon, Konsortium Logistics,
       Scicom, Hiap Teck, Adventa, Ekovest, CBIP, RBLand, HiapTeck, BJcorp/Cosway, Gefung, Melewar,
       YNHP, CBS Technology, Pelikan, Century Logistics, YLI, E&O/E&OProp, KSeng, Putrajaya, WCT/WCTLand, Suria,
       Plentitude, Synergy Drive, MPHB/Magnum, See Hup, Muhibbah, KESM, AZRB, Unimech, Bolton, L&G, Faber, HongLeong/Chengdu,
       IGB, ETI Tech, PA, Leader/UCS,
       Coastal, RHBCapital, Bjtoto, LionDiv/Parkson, JAKS, DataPrep, Petra, SHL, Mulpha/Mulpha Land, MUIB, YTLE, KEURO, YSP, KLCCP, AsiaFile, SunInc, ASAS, SKPRes, Frontken, MTD ACPI/MTD Capital, Century Logistics, AMDB, Metacorp/MTD Capital, DRB-Hicom/EONCapital, Glomac, Comintel, Putrajaya Perdana, MetaInfra/MTDCapital, MEMS, E&OProp, OilCorp, IRIS, Nationawide, RCE Capital, LCTH, FACBInd, Equine Capital, UDA, Mycom, Olympia, AWC, DreamGate, StemLife,
       TimeDotCom/Palette, Suria apital, Crescendo, Dijaya, Ireka,
       Hexagon, QUILL, SMRTech, Perisai, EPIC/Ranhill, Evergreen, Pintaras, MBF Holdings, BCT Tech, Tebrau, GFA, Bina Puri, DNP, Tekala, Mulpha, Lingui,
       FSBM, NSOP, GCorp, Toyochem, CMSB/UBG,
       IGB/Krisaasets/GoldIS, Jaya Tiasa, JCY/Notion/MQTech, Crescendo, Permaju, KLCCB, ASB/ASCAP, Subur/TA Ann
       
16. Investor Alert:-
    
    1. "Radical Development" – Water Concessionaires & Puncak, Minetech Cepco, My E. G., YGL Convergence Bhd, Reliance Pacific Bhd, Aturmaju Resources Bhd, Liqua Health Corp Bhd, Cymao Holdings Bhd and Axis Inc Bhd,
       Bintai Kinden,
       YHS, The Store, AHB, Takaso, MKLand, SYF,
       Flonic, Autoair, Ranhill, Samudra, Seacera, Prime Utilities, JPK,
       Fotronics, ULICorp, Airocom, eBowrx, Global Soft, HWGB, Global Carriers, ASCap
       
    2. "Incremental Development – FTEC, Liqua, Transmile, PECD, Merge Energy, Welli, LBS, Astro, Ingress, GPlus, Wimens, H-Displays, Nasioncom, Idaman, Satang, Permaju, SAAG, MMM, OCI, Tamandam, Megan Media, MEMS, Megasteel, DK Leather, Multicode, GBH, CNLT, Zhulian, Silver Ridge, GBridge, EPM, KZEN, Redtone, NEXTNation, Syarikat Kayu Wangi, Tenggara Oil, MEXTER, IE, Ho Hup, AsiaEp,
       IOICorp, Samudra, WWE, Transocean, Supermx/APLI, GPacket,
       Ayer Molek, Wimems, Lien Hoe/Perduren,
       Englotechs, MVEST, BSA, LiteSpeed,
       Setegap, Seloga, Maxbiz, Zecon, MPTech,
       KBunai, Mithril, Mechmar, KLIG, GPerak, Concession-Based Companies,
       ChinFoh, Dceil, Foutain, Tracoma
       
    3. "Restructuring/Recovering-In-Progress" – PJBumi, SunInfra, Mangium, Lityan, Talam, eB-CapitalEkran/Wembly, PMI, Putera, SilverStone/LFIB, Hytex, SKW, MAHB, Foremost, Halifax, Ireka, SBC
       
17. Corporate Round Up For The Past Week – APP, IGB, Fajabaru, BJLand, Digi.com, UEMWorld, TNB, MRCB, SapCrest, KPS/KDEB, Tap, PA Resources
    
18. IPOs – Hartalega, Dayang,
    SLP, SCGM, JF Technology
    
19. Knowledge Sharing – TM Call Warrants After TM's Demerger, Calculating Settlement Price, Structured Warrant, Carbon Credit, Equity-Linked Structures
    
20. Notice –Malaysian REITs as at March 2008, New KLCI Component