Daily Commentaries 9th Feb 07

The bulls came back in the afternoon trade to push the KLCI forward towards its 1250 pts resistance level on a day of record trading volume. In terms of results released yesterday, YTL Power reported decent growth while F&N was flat. Tan Sri Quek Leng Chan emerged as a substantial shareholder of Multi-Purpose Holdings after buying a nearly 10% stake from Magnum. The US-Malaysia FTA talks are continuing with contentious issues likely to be avoided. Puncak Niaga will be suspended from Feb 15th to facilitate its capital repayment while Malaysia Airports is considering setting up a LCCT in Penang. On the overseas front, US markets closed slightly down on concerns over its housing sector while Oil price closed back above US$60 per barrel as a fire shut down a major Californian oil field. Blue chips may take a bit of a breather today with attention shifting more towards lower liners and laggards in the market. Resistance remains at 1250 pts followed by the 1278 pts level while support is at 1236 pts.