[BRIGHT INFO] "A Cup of Tea"

Good day to you.
US Stocks rose on Wednesday as reassuring manufacturing data from China, Europe and the United States reinforced hopes that the world's economy is on the road to recovery. The Dow rose 0.7 % to 8,504.06. It climbed as high as 8,580.47 in earlier trading, but then pared its gains as the day went on.

Southeast Asian stock markets ended mixed on Wednesday, with Indonesia climbing amid rate cut expectations while Singapore and Malaysia recouped early losses, pulled up by banks and developers. Asian stocks elsewhere were mixed at the start of the third quarter. The MSCI index of Asia-Pacific stocks outside Japan was up 0.04 %.

JCI rose 1.6 percent, snapping a three-day fall, ahead of Bank Indonesia's meeting on Friday to review rates, with moderating inflation expected to give it room to cut its key interest rate by 25 basis points, a Reuters poll showed.

Crude oil and gasoline fell after a U.S. government report showed that fuel supplies in the world’s biggest energy-consuming country rose more than forecast. Crude oil for August delivery fell 58 cents, or 0.8 % to settle at $69.31 a barrel. Nickel rose 7.3 % to $16,495 a ton and tin climbed 2.5 % to $14,500 a ton.

Malaysian palm oil futures dropped for a third consecutive trading day yesterday as lower-than- expected June palm oil exports sparked fears over the outlook for demand. The benchmark September palm oil contract on the Bursa Malaysia Derivatives Exchange lost RM32, or 1.4 %, to RM2,230 a tonne.

PMI China edged up to 53.2 in June from 53.1 in May and has been over 50 for four consecutive months. Domestic demand continues to drive new order growth. On The other hand Manufacturing in the U.S. shrank at the slowest pace since August 2008 and pending sales of existing homes advanced for a fourth month, underscoring signs the economy began to stabilize in the second quarter. The Institute for Supply Management’s factory index rose in June for a sixth straight month, to 44.8; readings less than 50 signal contraction.

With all positive data from local and region we are more positive for our outlook. We see that our market still have room to move up for medium term investment. I think we will adjust our EPS market and our target JCI for year-end. My view, Change JCI target from 2187.5 to 2375 point Index.

Today our market will move slightly positive with banking and commodity as a trigger. Maintain positive outlook for metal industry such as PMI and ISM data improve. Continue accumulating coal sector such as demand energy from china and US continue to growth.

Top Pick : INCO, ANTM, TINS, TLKM, BBRI, BMRI, BUMI, ADRO, PTBA, UNTR, ASII, RALS.

“Investing for Growth - CONTINUE”


[Personal Opinion ]
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DISCLAIMER: This report is issued by [BRIGHT INFO]. Although the contents of this document may represent the opinion of [BRIGHT INFO]. We cannot guarantee its accuracy and completeness.

Bloomberg Oil to Rise After Averting Slide: Technical Analysis

July 1 (Bloomberg) -- Crude oil is set to extend gains amid this week’s volatility and may reach the $76 a barrel level last traded in mid-October, said the head of Cameron Hanover Inc.

The market’s ability today to stay close to the psychologically important $70-a-barrel mark is keeping prices from slipping into a technical downtrend channel on the daily continuation chart, said Peter Beutel, president of the New Canaan, Connecticut, trading advisory firm. Oil rose 41 percent between April and June, the biggest quarterly climb since 1990.

“The rally has given the bulls a new lease on life and it now gives them the chance to take a run at buy-stops above $73.23,” Beutel said. “That level is acting like a magnet.”

Oil yesterday spiked above $73.23 a barrel, which stood as the June high for more than two weeks, as the dollar declined and escalating militant attacks in Nigeria raised concern supplies may be disrupted.

Other technical readings also hint at upside momentum. The weekly Moving Average Convergence-Divergence oscillator continues to hold firm above its signal line, indicating support.

“Momentum is a two-edged sword,” said Beutel. “It can show strength, or it can show overbought pressures.”

Further resistance is marked by the upper Bollinger Band, a moving objective around $74.64 a barrel today, before $76.28. That’s the 38.2 percent Fibonacci retracement of the rise to $147.27, the all-time high registered July 11 last year, from the December 19 low of $32.40. Oil last traded at $76.28 on October 15.

“If prices fail below the Fibonacci figure, after triggering buy-stops, it could be a sign of a possible top,” he said. “If they sail up through that $76.28 figure, it would be bullish.”

Front-month crude oil futures for August delivery on the New York Mercantile Exchange, up 56.7 percent in 2009, traded at $70.96 a barrel at 3:20 p.m. Singapore time.

To contact the reporter on this story: Yee Kai Pin in Singapore at kyee13@bloomberg.net

Associated Press Stocks advance after mixed data; Jobs report looms

Stocks rise after data shows more stable manufacturing activity, rise in pending home sales

NEW YORK (AP) -- Investors kicked off the stock market's third quarter with a moderate gain after getting some reassuring data on manufacturing and housing.

The Dow Jones industrial average rose by 0.7 percent Wednesday, rebounding from the previous day's selloff that was triggered by a drop in consumer confidence. Other indexes made moderate advances as well.

The buying was tempered by caution ahead of Thursday's June jobs report.

"That's going to be the big one," said Chris Johnson, president of Johnson Research Group. "People are keeping their eye on the unemployment figure."

The Labor Department is expected to report another uptick in the unemployment rate to 9.6 percent, according to economists surveyed by Thomson Reuters. Growing unemployment has been keeping investors nervous about consumer spending -- a major driver of growth.

Much of Wednesday's data was positive, including a report showing more stable manufacturing activity in the United States, and another indicating the fourth straight monthly rise in pending home sales. Stocks also got a boost from European markets, which rose following similarly upbeat manufacturing data in that region.

Not all of the economic news was upbeat, however. Construction spending fell in May by more than the market expected, and according to the ADP National Employment Report, the private sector lost more jobs in June than anticipated.

Some of Wednesday's bounce may simply have been due to stocks appearing cheaper following Tuesday's drop and investors looking to put money to work as the new quarter began.

"Some of the buying that wasn't done yesterday is being done today," said Richard E. Cripps, chief market strategist for Stifel Nicolaus, adding that he was surprised by Wednesday's upward move. "There isn't a lot of convincing volume here to read too much into this."

The Dow rose 57.06, or 0.7 percent, to 8,504.06. It climbed as high as 8,580.47 in earlier trading, but then pared its gains as the day went on. more...

Associated Press Manufacturing data boosts hopes of recession end

Brighter manufacturing news spurs hopes that recession could be nearing an end

WASHINGTON (AP) -- Brighter news on manufacturing is offering more hope that the longest recession since World War II is near an end. But with construction and many other segments of the economy still weak and unemployment rising, any rebound likely will be slow.

A key gauge of manufacturing showed Wednesday that industry activity declined less than expected in June. The Institute of Supply Management's manufacturing index posted a 44.8 -- the best showing since last August, a month before the financial crisis erupted with force.

Manufacturing sectors overseas also signaled a bit of a rebound, though other U.S. economic news was more mixed. Ford Motor Co. reported the smallest sales decline of the year in June, but sales at struggling Chrysler Group LLC continued to plunge.

Outside of manufacturing, construction spending fell in May for the seventh time in the past eight months. Spending dropped more than expected as strength in nonresidential building was eclipsed by a decline in housing construction and weakness in government projects.

But in a hint of better days to come, the National Association of Realtors said an index of pending home sales edged up 0.1 percent in May. It was the fourth straight advance for the index, which tracks contracts to buy previously owned homes. more...

Bloomberg Copper Extends First-Half Gain as Chinese Manufacturing Expands

July 1 (Bloomberg) -- Copper rose the most in a week, extending its first-half rally, as manufacturing expanded in China, the world’s largest user of the metal.

China’s Purchasing Managers’ Index climbed to a seasonally adjusted 53.2 in June from 53.1 in May, government figures show. Record imports into the Asian nation helped copper to surge 61 percent in the first six months of 2009, the biggest first-half gain since 2006.

“The number shows China’s economy is still picking up,” said David Wilson, an analyst at Societe Generale SA in London. “Copper was stronger than expected in the first half. We expect a lot of volatility in the third quarter and sideways trade.”

Copper futures for September delivery gained 5.85 cents, or 2.6 percent, to $2.3305 a pound on the New York Mercantile Exchange’s Comex division. That marks the biggest gain for a most-active contract since June 24.

Manufacturing in the U.S. shrank in June at the slowest pace in 10 months, another sign the worst of the recession may be over, a private report showed today.

The metal also gained as U.S. equity markets rose, improving investor sentiment. The Standard & Poor’s 500 Index advanced as much as 1.4 percent. The gauge jumped 15 percent in the second quarter as copper added 23 percent.

Among other LME metals for three-month delivery, lead increased 2.9 percent to $1,739 a ton. Nickel rose 7.3 percent to $16,495 a ton. Zinc surged 3 percent to $1,595 a ton, and tin climbed 2.5 percent to $14,500 a ton. Aluminum gained 2 percent to $1,663 a ton. more...