Daily Commentaries 28th Feb 07

The KLCI and regional bourses took a tumble yesterday on worries over US recession and the spillover effect of the introduction of a capital tax gains in China. Several results announced last evening were Maxis, Kulim, Nestle, Proton, PLUS and Maybulk. Headline corporate news includes Singapore’s statement that it would conduct "suitability checks" on two Genting group firms which won a bid to operate the city-state's second casino, warning that they would not automatically qualify for a casino licence. Meanwhile, UBG clarified that it was "not aware" that the EPF was planning to offer it about RM2.3bn for its stake in RHB. The market may be jittery today as the Dow fell more than 500 points on concerns of the slowing down of the US and China economies and that share prices have become overinflated. Immediate support now stands at 1,223 points with resistance at 1,250 points level.