Daily Financial Markets Commentary
Daily Financial Markets Commentary | 1 November 2012
1 November 2012
FINANCIAL MARKETS
Market Snapshot:
Currency
High
Low
EURUSD
USDJPY
USDCAD
USDCHF
GBPUSD
AUDUSD
USDMYR
USDSGD
USDCNY
1.3021
79.95
1.0014
0.9333
1.6138
1.0400
3.0570
1.2212
6.2435
1.2944
79.49
0.9979
0.9273
1.6065
1.0347
3.0445
1.2180
6.2365
What to watch:
Opening
Mid
Rates
1.2965
79.87
0.9998
0.9315
1.6131
1.0376
3.0500
1.2202
6.2373
 Wall Street opens; shares little moved from previous
close on Friday
 MYR strength seen supported in thin trading
 China’s PMI out today; market looks for signs of
recovery in Asia’s Dragon economy
Market indices and statistics
Major Indices
Close
Dow Jones
S&P 500
Nasdaq
KLSE
FTSTI
Gold(COMEX)
WTI
5Y MGS
5Y IRS
13,096.46
1,412.16
2,977.23
1,673.07
3,038.37
1,717.50
86.24
3.23
3.25
Domestic Markets
Change
-10.75
0.22
-10.72
-1.6
-0.36
7
0.56
-0.006
0
Indicative trading range
USD/MYR
JPY/MYR
SGD/MYR
GBP/MYR
EUR/MYR
AUD/MYR
NZD/MYR
CAD/MYR
HKD/MYR
CHF/MYR
THB/MYR
DKK/MYR
3.0240
3.7980
2.4790
4.8920
3.9270
3.1370
2.4850
3.0290
38.30
3.2500
9.3320
0.5190
-
3.0760
3.8410
2.5210
4.9470
3.9810
3.1900
2.5280
3.0730
40.40
3.2990
10.5510
0.5410
Change
%
-0.08 Moving against expectations, the MYR appreciated slightly yesterday
0.02 against the USD in steady but cautious trading. Exporters took it as an
-0.36
-0.10 opportunity to sell the Greenback in a thin market, as they see saw limited
-0.01 upside, thus strengthening the local currency
0.41
0.65
-0.19 Meanwhile, the Prime Minister unveiled a series of ten biotechnology entry
0.00
point projects and released news of the discovery of additional oil reserves
at Bertam. All this news is positive for the economy and should boost the
attractiveness of FDI flows into Malaysia and lend support to the MYR in
the medium term
Forecast:
While we still see some last minute USD purchases today, gains could be
limited due to a firmer EUR/USD tone from the day before and a slightly
volatile USD/SGD. The Singapore Central bank was rumoured to be
intervening to support the SGD after sell orders were triggered due to stop
losses being hit. Expect range trading for the Singaporean currency as it
struggles to break out of a sideways pattern
Global Markets
U.S Stocks resumed trading on Wall Street again last night after an
unprecedented two day closure due to Hurricane Sandy. However, equities
traded relatively flat as the market contemplated the damage left by the
superstorm and the upcoming U.S elections. The DJIA closed -0.08% lower
compared to Friday while the S&P rose 0.02% to end the day at 1,412.16
points
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Daily Financial Markets Commentary | 1 November 2012
The market will be watching out for China’s October PMI figure due out
later today. There are expectations that the figure will be positive, given
September’s data releases indicating a rosier picture for China’s economy.
In addition, given the recent installation of a new Premier, the authorities
are likely to take measures to show people that the current regime has it’s
economic fundamentals in check. Industrial production data due out for
China today is estimated to show a +9.4% y/y increase, a surge from
+9.2% previously
For further enquiries, please call
Alliance Bank Financial Markets:
Central
603 2616 0811
Crude oil prices traded mixed, with Brent crude trading below $109 a barrel.
Expect a cold winter in the Northern Hemisphere this year to drive up the
price of oil as demand for heating increases around this time due to
seasonal factors
Northern / Southern / East Malaysia
603 2616 0822
Wholesale Banking
603 2616 0833
DISCLAIMER
The views expressed in this commentary do not necessarily represent the views of
Alliance Bank Malaysia Berhad. Whilst every care is taken, this commentary has
not been independently verified or authenticated in whole or in part by Alliance
Bank and its employees and/ or officers, and it should not be relied on as such.
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express or implied) as to the accuracy, completeness, reliability or fairness of the
data and information obtained from, this commentary. As such, neither Alliance
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whatsoever howsoever arising out of or in connection with the reliance and usage of
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direct, indirect or consequential losses, loss of profits and damages. Any prices laid
down in this commentary are for indicative purposes only and may vary according
to market fluctuations and other market circumstances.
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