Singapore ups growth view but may stand pat on policy,singapore stock market news,singapore stock market ,singapore stockmarket news

Govt ups 2010 GDP growth forecast to 4.5-6.5 pct vs 3-5 pct

* Economy shrank annualised 2.8 pct q/q s/adj in Q4

* Economists expect c.bank to stand pat on policy in Apr

* Inflation outlook lowered slightly due to rebasing of CPI

By Saeed Azhar and Fabian Ng

SINGAPORE, Feb 19 - Singapore raised its economic growth forecast for this year after reporting better-than-expected fourth-quarter data, citing a pickup in trade and industrial production and stable financial markets.

The government now expects gross domestic product to grow by 4.5 percent to 6.5 percent in 2010, up from a forecast of 3 percent to 5 percent made only a month ago, the Ministry of Trade and Industry said on Friday.

The economy shrank 2.8 percent in the fourth quarter on a seasonally adjusted, annualised quarter-on-quarter basis, much better than the initial government estimate of a 6.8 percent contraction made last month.

Economists said the central bank will likely keep its monetary policy unchanged at its next scheduled review in April, citing officials’ concerns about the global economy in the second half of 2010 and benign inflation.

“I don’t think there is an immediate push for them to do anything with monetary policy, given they are still concerned about the second-half outlook,” said Selena Ling, head of treasury research at Oversea-Chinese Banking Corp in Singapore.

The Monetary Authority of Singapore sets policy by managing the value of the Singapore dollar <SGD=> against a secret basket of currencies. The current policy calls for a stable currency.

“We expect the MAS to maintain its neutral FX policy in April and to tighten only in October,” said Standard Chartered Bank economist Alvin Liew.

UNCERTAIN OUTLOOK

The government said its upgrade from the earlier 3.0 percent to 5.0 percent GDP growth forecast reflected “increased strength in the near-term growth momentum”. It brings the official forecast in line with private sector estimates.

“The outlook for the second half of the year remains uncertain. Private final demand in the G3 may remain weak, as there are still few indications that non-policy induced private demand is gaining strength,” it said.

Ravi Menon, a permanent secretary at the Ministry of Trade and Industry, told reporters that he was more concerned about private consumption in the United States than sovereign risks in European countries such as Greece and Spain.

Economists expect Singapore Finance Minister Tharman Shanmugaratnam to announce a number of growth-supporting policies in his 2010/11 budget on Monday.

“Even as the government steps away from the ‘emergency’ mode that the 2009 budget was formulated in, they are likely to retain a ‘better safe than sorry’ stance,” noted Robert Prior-Wandesforde at HSBC in Singapore.

The government raised its 2010 trade growth outlook to a range of 9 percent to 11 percent from an earlier forecast of 7 percent to 9 percent. It expects non-oil domestic exports to rise by 10 percent to 12 percent this year.

It lowered its 2010 inflation forecast to 2 percent to 3 percent from the previous 2.5 percent 3.5 percent due to a rebasing of the consumer price index.

For the whole of 2009, Singapore’s gross domestic product shrank by 2 percent following a revised 1.4 percent rise in 2008.

MM Lee warns of dangers of slow growth if productivity does not increase

SINGAPORE: The future is promising for Singaporeans, but challenges such as increasing productivity and raising skills across the board need to be tackled in the next five years, Minister Mentor Lee Kuan Yew said.

Mr Lee made the assessment at the Tanjong Pagar GRC’s Lunar New Year dinner.

The Minister Mentor also said he expects Singapore’s economy to grow between four and six per cent this year.

Speaking to residents in his constituency, Mr Lee said Singapore has done well in the last five years. The island state has a growing economy, increasing real incomes, better homes which are rising in value, and citizens are generally better off.

To take advantage of the economic opportunities and make up for low birth rates, Singapore had to increase its immigration. There were also more foreigners working in Singapore on Work Permits, S—passes and Employment Passes. These foreign workers contribute to the country’s economic growth.

Mr Lee noted that in the past few months, the government has taken further steps to widen the differentiation between citizens and Permanent Residents, and to slow down the inflow of foreigners.

However, he said Singaporeans must recognise that without foreign workers in the construction, manufacturing and service industries, many projects, such as the integrated resorts (IRs), could not have been possible.

“These two IRs have increased jobs available, and will bring a huge number of tourists and give a boost to our economy,” the Minister Mentor said.

“Foreign workers also built housing and infrastructure projects like public transport, schools and hospitals all over Singapore. Without them, these projects could not have proceeded and our economy would slow down, to the detriment of Singaporeans.”

Mr Lee explained that if Singapore wants to slow down the intake of foreign workers and yet continue to prosper, local workers must increase their productivity.

“Let me explain what happens when we make progress. HDB prices go up, private home (prices) go up, all asset prices go up. Everybody finds he owns something more valuable in the house, his shares are worth more and he can live a good life,” said Mr Lee. “Of course we have to put up with more crowded trains, more crowded buses, (but) it cannot be helped.

“Let me tell you what happens when we slow down too much. You get the reverse spiral. Low growth, maybe even zero growth. Last year we had minus two per cent. Prices go down, property prices go down, incomes go down, you can’t refurbish your houses, no new SERS, no upgrading and the country goes down.

“So between the two — growth against no growth, I am confident we chose the right decision — growth, whatever the inconveniences or competition for space, buses, MRTs, and even schools. But we always give preference to our own citizens.

“Without growth, Singapore will not be what it is and the key to our growth is a government taking right decisions and labour unions, employers, and the government working together. No other country in the world has got this combination.”

“The same number of Singaporean workers must produce more by getting better training, acquiring higher level of skills, working smarter and making a collective effort as the Japanese do to make their companies succeed.

“If we cannot increase the productivity or the output of our citizens, our economy will slow down. We will have a deflating economy, with a series of knock on effects as prices of all assets, including flats will go down… demand will lessen, pay will fall and so will the number of jobs and promotions.”

Mr Lee added that when this happens, talented Singaporeans will leave for greener pastures, which will lead to Singapore’s decline.

“That is why the government decided in the past five years that it was better to grow the economy and manage the accompanying social pressures rather than slow down the economy. If our neighbours grow and we stagnate, Singapore will face a very different geo—political environment in the future.”

Hence, to do well in the next five years, Mr Lee said that Singaporeans must raise skills across the board, have more enterprise innovation, and restructure the industries.

Every worker also has to be re—skilled, re—trained and re—educated to achieve higher standards of capabilities.

Mr Lee said he believes a three—way partnership that involves the government, unions and employers can achieve this.

In his Budget speech next Monday, Finance Minister Tharman Shanmugaratnam is expected to elaborate on how Singapore plans to tackle these issues, which have been highlighted by the Economic Strategies Committee.

singapore stock market ,singapore stock market  news

Singapore
What’s Relevant
Singapore benchmark index, the Straits Times Index closed down 42pts
yesterday. Market turnover amounted to 2.3bn units worth S$1.96bn. The big
drag that constitute to the decline was CapitaLand. Sentiments will
outweigh fundamentals at this point in time. As of writing, the Aussie and
Japanese indices are already down close to 2%, suggesting that more
selling pressure ahead when the Singapore market opens this morning.
 
Corporate news
Parkway Hospitals Singapore has teamed up with Overseas Assurance Corporation, a
wholly-owned subsidiary of Great Eastern Holdings, to create a
post-surgical care insurance policy which is said to be the first of its
kind in Singapore.
SIA Engineering Company Limited (SIAEC) today announced that its special-purpose wholly-owned subsidiary,
SIAEC Global Private Limited, has signed a Memorandum of Understanding
(MOU) with Gulf Technics to set up and operate a facility in Bahrain for
the maintenance, repair and overhaul (MRO) of aircraft. Gulf Technics is a
wholly-owned subsidiary of Mumtalakat Holding Company, the investment arm
of the Kingdom of Bahrain, and a sister company of Gulf Air.
Sinotel Technologies has proposed to place up to 28m new shares at S$0.5755 each. The placement
price represents a discount of about 10% to the weighted average price of
trades done on 20th Jan. The placement shares will represent about 8.3% of
Sinotel’s enlarged share capital. UOB Kay Hian Pte Ltd is the placement
agent.
 
Trades for the Day
Technically?
Ezra Holdings (EZRA SP; S$2.37 ? SELL) ?The long term uptrend for Ezra is still intact but after hitting high of
S$2.63, it formed a bearish engulfing candle.
Marco Polo Marine (MPM SP; S$0.56 ? SELL) ? Technical indicators are calling for more downside first. It could soon
test its S$0.525, its 30-day SMA and S$0.50, its 50-day SMA.
Otto Marine (OTML SP; S$0.49 ? SELL) ? Since the stock rallied in a parabolic manner, this sharp rise is usually
not sustainable in the long term.

PM Lee identifies 3 areas of priority for govt

SINGAPORE: Singapore’s Prime Minister Lee Hsien Loong on Monday identified three areas of priority for the government: restructuring the economy, addressing the population shortfall and updating the political system.

In a wide—ranging speech to the annual Singapore Perspective Conference organised by the Institute of Policy Studies, Mr Lee said Singapore’s economic policies must enable the country’s economy to perform to its limits and help Singaporeans thrive in the new world.

He said the Economic Strategies Committee will publish its recommendations next week and the government will respond to them in the Budget.

On the population shortfall, Mr Lee said Singapore’s birth rates are not improving despite the government’s best efforts.

Last year, there were about 170 fewer live births than in 2008.

This would mean that the total fertility rate would have gone down further.

PM Lee stressed that while the decline could have been due to the global economic downturn, it was still a grave trend. If left unchecked, Singapore will face not just an ageing, but a shrinking population.

Therefore, he said the government needs to encourage Singaporeans to start families with parenthood benefits and other incentives.

However, he added that the country must also top up the population and talent pool with immigration in a measured and calibrated manner.

Turning to the subject of updating the political system, Mr Lee said that while having a sound system is essential, that in itself is not enough to produce political stability and good governance.

He said that the nation is still dependent on having the right people in charge and an able and committed team coming forward to lead the country.

The Prime Minister said a key task for his predecessors and himself has always been to identify promising people to form the next team.

He said good progress has been made in this area but he does not have a complete next team lined up in Cabinet yet.

He is confident that by the next general election, the People’s Action Party (PAP) will field a team which will consist the core of the next generation leadership.

Mr Lee also stressed that leadership renewal will be a major issue in the next general election.

PM Lee cautions S’poreans against getting carried away with economic recovery

SINGAPORE : Singapore’s economy may be picking up, but Prime Minister Lee Hsien Loong has said Singapore is not expecting the recovery to be very vibrant and strong.

And he cautioned Singaporeans against getting too carried away with the recent economic recovery.

Mr Lee said: “There is a fine balance; you want people to feel that they can make things better, but at the same time, do not assume that all the problems have passed.”

Mr Lee was speaking to reporters after taking part in the Lunar New Year light—up ceremony in Chinatown on Saturday.

On the buoyant property market, he said that Singaporeans cannot assume it will continue going up.

He added that the government is confident that things are under control.

And as to whether Singapore will achieve 3 or 4 per cent economic growth this year, Mr Lee said it will depend on how well things turn out.

Mr Lee also revealed that Finance Minister Tharman Shanmugaratnam will release the Economic Strategies Committee report on February 1

Stock markets around the world slumped Friday after President Barack Obama unveiled plans to limit the size and scope of US banks and financial firms in a fresh offensive against Wall Street excesses.

Markets from New York to Tokyo reacted with barely-restrained panic to Obama’s drive to limit the size of the largest banks and introduce measures to curb “excessive” risk taking.

“Never again will the American taxpayer be held hostage by a bank that is too big to fail,” vowed Obama, flanked by former Federal Reserve chief Paul Volcker who advised the president on the rules.

He promised to “protect” taxpayers by preventing banks or financial institutions from owning, investing in or sponsoring hedge fund or private equity funds.

Wall Street gave an immediate thumbs down to the plans as US stocks plunged, with the blue-chip Dow Jones Industrial Average down more than 200 points or two percent in Thursday trading.

The news then sent shockwaves though Asian stock markets with the region’s financial centers suffering heavy losses in Friday trading. European exchanges later opened under pressure.

Obama’s measures would effectively force financial firms to choose between lucrative proprietary activities — trading in stocks and sometimes risky financial instruments for their own benefit — and traditional activities, like making loans and collecting deposits.

The initiative, which must be approved by Congress, includes a new proposal to limit the consolidation of the finance sector, placing broader limits on “excessive growth of the market share of liabilities” at the largest financial firms.

Obama blamed banks for sparking the worst economic crisis since the Great Depression with “huge reckless risks in pursuit of quick profits and massive bonuses” in a “binge of irresponsibility.”

“My resolve to reform the system is only strengthened when I see a return to old practices at some of the very firms fighting reform and when I see record profits at some of the very firms claiming that they cannot lend more to small business, cannot keep credit card rates low, and cannot refund taxpayers for the bailout,” the president said.

He vowed to enact the reforms in Congress, even if Wall Street deployed an army of lobbyists to kill them.

“If these folks want a fight, it’s a fight I’m ready to have,” he vowed defiantly.

The announcement was the latest attempt by the White House to harness public rage at Wall Street bonuses and the financial crisis.

David Easthope, analyst with Celent, a research and consulting firm, said the effort could hit the banks in one of their most profitable areas.

Proprietary trading “has been the sweet spot for leading investment banks over the last few years, and executives will be concerned that Washington will be taking away the frosting,” he said.

The Financial Services Roundtable, which represents 100 of the largest integrated financial firms, said the proposal would do little to improve risk management or protect consumers from irresponsible loans and trades.

“The proposal will restrict lending, increase risk, decrease stability in the system, and limit our ability to help create jobs,” said Steve Bartlett, president and chief executive for the Roundtable.

The group represents 100 top financial services firms providing banking, insurance, and investment products and services.

Obama’s first year in office was dominated by efforts to rescue a handful of banks that threatened to topple the US economy after being exposed to massive losses on the subprime mortgage market.

According to Treasury officials, about 205 billion dollars was pumped into 707 banks under the government rescue plans.

Obama has sounded a tougher tone towards banks in recent weeks as he faced widespread voter anger at the massive government bailout, which came as Americans faced surging unemployment, home foreclosures and national debt.

Top Obama economic aide Austan Goolsbee sought to counter criticism that the plan is returning to the Depression-era law creating a wall between investment and commercial banks.

“It’s not returning to Glass-Steagall,” Goolsbee said.

While the act repealed in 1999 forbid underwriting securities or investing in securities by any commercial bank, Goolsbee said, “This is not that. This says a bank cannot own a hedge fund, cannot own a private equity fund or do trading for its own account that is not related to its client business.”

He added that the goal is “to get back to the fundamental nature of the bank, which is serving its clients, rather than investing for its own profit.”

In some recent editorial I have referred to methodology and making sure whatever system you use is well founded and has been successfully tested. I would like to elaborate a little more on this.

Firstly let’s look at methodology. Basically these fall into four categories. The first is Fundamental and even though I don’t personally use this approach nevertheless it is used by the vast majority of investors - retail and institutional.

The next three are technical. The first are what I would call trend following indicators; the second range trading indicators and the third are what I would call pattern recognition such as Elliott Wave and Gann.

I personally use Elliott and have so for the last 15 years. Perhaps conservative at times but it does not lose you money in my view. If you are going to use technical’s then it is important to have at least a basic understanding of each of the three so you can make an informed decision. No approach is the Holy Grail. Yet I see many would-be successful investors waste effort searching for the easy route to riches. It does not exist. It is like the ‘Long March’ it is one step at a time. But with experience under your belt there are short cuts.

The reason I mention this is that I also see many study one approach, try it and give up as it does not bring the instant riches. And they then spend a fortune studying the next system.

But I also see others who are too mite minded to properly invest in education.

I will also say here that it does not matter which system you use as long as you use it with an applied approach and with discipline. They all work. I would say you could choose any approach and apply it in this way and you will succeed.

The other key point is that you must apply it in a measured way. That is, you try your new found knowledge steadily. Many investors jump in head first after a training seminar. You apply your learning in small easy comfortable steps at first using a small trading kitty.

The sleep test is important here but to mix my metaphors - you must at some point fully immerse yourself after putting your toe in the water.

It reminds me of that old adage ’slowly slowly catchee monkey’.

SINGAPORE: Marina Bay Sands has begun training a few hundred dealer inspectors, cashiers and surveillance staff for the casino.

A spokesman for the integrated resort said this is part of an extensive training programme underway for all levels of staff.

Many dealers had been hired to work at the Integrated Resort from July last year.

However, construction woes led to delays in the opening date of Marina Bay Sands and that, in turn, led to uncertainty among employees as to when training and work would start.

That’s changed now.

Dealers MediaCorp spoke to said they’d been asked to turn up for uniform measurements and to get their staff passes done next week, followed by training.

Marina Bay Sands was unable to confirm exactly when the first batch of training started but added that typically, such floor training takes about three months, after which such employees must get a competency certificate.

There is also another hurdle for them to clear.

They also have to be interviewed and clear background checks by the Casino Regulatory Authority.

CRA said, in a statement, that it received the complete casino licence application from Marina Bay Sands in November last year.

It added that processing such applications typically take three months or more but that progress is good.

Marina Bay Sands had previously said that it will open its first phase of the resort in April.

WOULD YOU BE interested to invest in a company which has never suffered a loss in its twenty two years of operation, and in fact, has registered a compound annual growth rate (CAGR) of 20% for its revenue from 2002 to 2008?

Techcomp Holdings (www.techcomp.com.hk) is one such company. It was listed on SGX Main Board in 2004.

Techcomp is a manufacturer and distributor of highly advanced scientific instruments, analytical instruments, life science equipment and laboratory instruments. These are used in laboratories for a multitude of industries such as pharmaceuticals, biotechnology, medicine, food and beverage etc.

Growth drivers from multiple fronts

Techcomp is expected to benefit from both organic and inorganic growth. For organic growth, Techcomp has commenced mass production of biological safety cabinets for NuAire. NuAire is expected to benefit positively from the strong demand of such products arising from the H1N1.

This is expected to contribute to Techcomp’s FY09 profits.For inorganic growth, Techcomp has made the following strategic business decisions whose benefits should start to accrue this FY09.

Firstly, its 50-50 joint venture (JV) with Bibby Scientific in 2008 is gaining traction. Techcomp’s existing manufacturing facilities in China would be used to produce scientific equipment products under Bibby’s existing established brands for the local and overseas market

In addition, the JV will post a maiden contribution to Techcomp’s FY09 profits.

Secondly, Techcomp has acquired a 75% stake in a French company, HCC SAS (HCC) in July 09. This allows Techcomp to acquire complimentary technology and leverage on the brand equity of HCC’s subsidiaries.

This acquisition is expected to be earnings accretive for FY09 results.

Going forward, management is confident of enhancing the value of HCC by reducing HCC production costs (leveraging on Techcomp’s manufacturing facilities in China), and combining HCC’s complimentary products and distribution network to Techcomp’s products and thus, able to offer customers a broader product offering

Both the acquisition of HCC and the JV with Bibby Scientific would enable Techcomp to gain a foothold in the European market and would bode well for Techcomp over the long term.

During the early part of 2008, Techcomp was covered by as many as six brokerage houses.

Unfortunately, interest in Techcomp soon faded and currently there are no analysts covering this company.

Thus, the investment community is still not familiar with Techcomp yet.

However, I believe investors who understand and believe Techcomp’s prospects now can purchase it with a huge margin of safety. Broadway (which I covered in my earlier article on Jan 4) is a case in point with regard to this aspect.

Illiquidity is a problem for Techcomp. Over the latest 3-month period, there is only one trading day where volume crosses more than 300,000 shares traded.

Techcomp is not traded for some of the days. Thus, investors have to consider this carefully as they may not be able to enter or exit Techcomp easily

With reference to table above, Techcomp is trading at a substantial discount to the smaller peers based on FY09F PE (needless to compare it against the larger peers as the discount gap is colossal).

Taking a conservative stance, I pegged Techcomp at approximately 7.3x FY10F earnings, vis-à-vis the minimum PE of Techno Medica, which trades at 9.0x FY09F earnings (note: average PE for the smaller peers is in excess of 40x).

This would translate to a price of around S$0.56, representing an approximate 51% upside since its close of S$0.37 on last Fri.

Global Investor: Earnings Falsely
Discount a Strong Recovery in 2010

Thus far into the corporate earnings season, the results have best unimpressive. And U.S. Treasuries have noticed, as the benchmark yield on ten-year paper declines from 3.84% on December 31 to 3.70% this morning.

For the most part, revenues are flat to slightly higher while net income has indeed increased – but compared to 12 months ago that comparison is pretty easy. Combined with fudged accounting rules in the United States since May and creative accounting elsewhere, it’s no wonder banks have recovered sharply. Plus, let’s not forget the Fed’s greatest gift of all – providing a remarkably profitable spread trade where banks received near-zero percent money and thereafter reinvest in longer dated paper or make loans at a sharply higher rate of return.

With the exception of China, India and several other advanced emerging markets like Chile and Brazil, the global economy is not booming any time soon.

The West remains stuck in a debt-infested rut and the markets have begun to protest the mountains of money created since late 2008 to arrest falling prices; government bond yields are now rising over the last six weeks as the risk of a sovereign default grows. Dubai, Iceland and Greece are just the tip of the iceberg or the hors d’oeuvre before the main course.

In the United States, still nursing deep wounds inflicted by the credit crash, consumption is still largely impaired. Consumers have boosted spending compared to 12 months ago and that’s normally a good sign. However, the big gains in retail are coming from the likes of discount stores, not high-end retailing or even Wal-Mart Stores. Consumers are frugal. I suppose the “feel good” factor is long gone and won’t make a comeback until real estate recovers combined with jobs growth.

Finally, it’s noteworthy to point out again that following big declines in U.S. economic output over the past 100 years, the economy has always recovered sharply. Actually, a boom is more accurate…

The bigger the drop in GDP, the bigger the bounce. Indeed, as outlined here recently, courtesy of Grant’s Interest Rate Observer, the U.S. economy went through the roof starting in 1934 following a massive 27% crash in output from 1929 to 1933. The same story, though not as sexy, occurred in prior booms and busts.

If the above historical association is true then what can we expect in 2010? Will the United States post a significant economic recovery?

Increasingly, even amid a wall of government stimulus spending, the economy is not bouncing back vigorously. You have to wonder what lies ahead once Washington starts pulling back on spending or if the Fed is forced by the markets to start raising interest rates. There’s not much juice left here unless business spending really takes off.

Earnings rebounded, by 63% y-o-y on the back of 18% growth of revenue in 9M09, driven by robust sales and higher profitability of its PRC businesses, especially Xinfei, the 2nd largest manufacturer of refrigerators in China, which benefited from Chinese governments’ stimulus policies.

We expect the earnings to grow another 24% in 2010 mostly from Xinfei, Yuchai and Tasek, driven by (i) continued subsidies to buyers of household appliances from rural areas, (ii) continued growth of auto sales in China and (iii) recovery of construction activities in Malaysia.

Key businesses seem to be undervalued. Yuchai is trading at>50% discount to its peers in terms of FY10 P/E, due to investors’over caution after the accounting issues for the previous two years. However, we understand from management that the accounting issues are already behind HLA, and we think Yuchai still has plenty room for improvement. Tasek is trading at >20% below peers average based on ex-cash FY10 P/E as well, despite stronger balance sheet.

Potential unlocking of value from Xinfei. Xinfei’s peers are trading at an average of 20x FY10 P/E, which implies S$1,470mmarket value if applied to Xinfei’s earnings estimates for FY10.Compared to the recent purported offer of S$980m, we believe a lot more value of Xinfei could be unlocked if it could be listed or sold at valuations close to its peers.

Resume coverage, BUY, sum-of-parts TP S$ 4.08. We pegXinfei, Yuchai and Tasek to their market values and the unlisted business segments to peer group average PE or P/B multiples. HLA is currently trading at an attractive PE of 8x (FY10) given the strong prospects of its businesses in China with potential re-rating of key segments as catalysts.

NOL

NOL is another top volume stock that has been spiking steadily this first week of the year.

At S$1.82 as at the close of today’s first half trading session, the leading global container shipping line gained another 7 cents overnight, continuing its 10.3%-surge from S$1.65 at the end of last year.

Deutsche Bank upgraded the stock to “Buy” yesterday, and raised its 12-month target price to S$2.04 per share.

The analysts, Joe Liew and Sky Hong, are forecasting an operating loss of US$362.9 million for FY2009 but believe that earnings recovery momentum has improved and upped their forecast of FY10 operating profits to US$234.2 million.

The following key industry catalysts were highlighted:
(1) Demand recovery from restocking in US/Europe
(2) Continued freight rate rises especially after the annual Transpacific contract negotiations in May
(3) Newbuild supply coming in below expectations on the back of order cancellations and delivery delays.

Healthway Medical

Market darling Healthway was up another cent (5.7%) overnight on top volume, continuing its steady rise from 13 cents just last week.  That’s a 42% gain in just one week!

At 18.5 cents, the stock still has upside of 51%, based on DMG’s 28-cent target issued on Mon (4 Jan).

Healthway currently operates the largest private network of medical centres in Singapore, providing primary care, dentistry and specialist services, but has clear plans to expand in China all the way to 2015.

By 2013, it plans to double the total number of its clinics in Singapore and China to 120.

The integrated healthcare player is proposing a rights issue to fund its investment in medical centers in China. 

Net proceeds of about S$19.8 million will be raised from a rights issue at 7.5 cents per share on the basis of one new share for 5 shares held.

Water Stocks
 

SINOMEM and EPURE were among the top volume stocks this morning, after Epure announced in the wee hours this morning of its plans to have a dual primary listing in Hong Kong.

As at the first half of today’s trading, Sinomem gained 5% and closed at 61 cents while Epure gained 7.3% and closed at 88.5 cents.

United Envirotech inched up 0.5 cents to 33.4 cents.

Not all water stocks were spurred, however.  Asia Environment was down one cent, at 31 cents while Hyflux was down 4 cents, at S$3.58

Singapore, EU agree to start FTA talks,singapore stock market news,singapore stock market

Singapore and the European Union (EU) have agreed to begin talks for a free trade agreement (FTA), the Southeast Asian state said Tuesday. The FTA discussions with the EU, Singapore’s largest trading partner, should boost prospects for a similar accord between the region and Europe in the future, the ministry of trade and investment said in a statement. “The FTA will contribute to regional economic integration by paving the way for an EU-ASEAN FTA,” it said in the statement. Negotiations for an FTA between the Association of Southeast Asian Nations (ASEAN) and the EU were temporarily halted early this year, largely because of disagreements over the scope of the proposed accord. “The EUs decision to proceed with a bilateral FTA with Singapore is a positive development,” Lim Hng Kiang, the minister for trade and industry, said in the statement. “It demonstrates the importance of this region. As the EUs first FTA with an ASEAN country, this will be a milestone agreement which will lay the ground for an even closer relationship between the EU and ASEAN,” he said. Singapore’s total trade with the EU was worth 78.6 billion Singapore dollars (57 billion US) in the first 11 months of 2009 which represents 11.6 percent of its total trade, the ministry said. Singapore, a small, trade-dependent nation, has signed FTAs with various trading partners, including the United States, Japan and Australia.

singapore stock market news,singapore stock market ,RPT-GLOBAL MARKETS-Asian shares edge up, dollar off highs,singapore stock market news,singapore stock market .sgx news,

Asian shares edge up in slow trade, Tokyo closed

* Dollar comes off highs as traders digest recent gains

* Oil slightly up, awaiting weekly inventory data

By Yoo Choonsik

SEOUL, Dec 23 - Asian shares edged higher on Wednesday led by a spurt in Australian stocks to a three-week high, while the U.S. dollar came off highs as traders digested recent steep gains.

Oil prices ticked higher amid expectations in a Reuters poll that U.S. weekly inventory data will show a draw down in crude stocks of nearly 1 million barrels, but the dollar’s rally is keeping a lid on the market’s upside potential.

The U.S. dollar hit a two-month high of 91.86 yen <JPY=> in early Asia trade, before edging back. But the currency remains in demand even after jumping more than 8 percent in less than a month against the Japanese currency. [ID:nSGE5BL0H7]

Australian stocks <.AXJO> rose as much as 0.8 percent to a three-week high, helped by miners such as BHP Billiton Ltd <BHP.AX>, pushing the MSCI index of Asia Pacific stocks traded outside Japan <.MIAPJ0000PUS> up by 0.2 percent.

In Australia, Gloucester Coal <GCL.AX> jumped more than 25 percent higher after rival Macarthur Coal <MCC.AX> offered to buy the company in an all-share deal for $591 million. The shares resumed trading on Wednesday after being halted a day earlier pending the bid.

Key stock indexes in Hong Kong <.HSI>, Singapore <.FTSTI>, Taiwan <.TWII> and South Korea <.KS11> were all modestly higher on the day. Tokyo’s stock market was closed for the Emperor’s birthday holiday, dampening activity in the region.

Spot gold <XAU=> was quoted $1,086.65 an ounce at 0232 GMT, bouncing back after touching a seven-week low of $1,074.10 in New York trade overnight.