Daily Commentaries 14th Feb 07

The KLCI rebounded in the second session to close 2.44 points higher yesterday. Topping corporate results last night were IOI Corp, IOI Plantation and Titan’s stellar results as well as AMMB and Star’s numbers, which came in within expectations. Meanwhile, KFH maintained that it is not increasing its offer for RHB. DRB-Hicom plans to assemble more models in its Pekan plant and Pos Malaysia is investing RM200m to set up a new National Mail Processing Centre by 1Q09. Big aluminium companies may be the next in line for consolidation as mining conglomerates scour the globe for targets. Speculation is building that a mining giant could bid to buy Alcoa or Alcan, triggering a surged on the Dow overnight. The local bourse may continue to be weak with selective bargain hunting ahead of the long weekend. Support remains at 1,218 while resistance is pegged at 1,240.