WINDOW DRESSING ACTIVITI

For today 29/06/06 Kuala Lumpur shares close firmer on technical rebound, window dressing. Share prices closed higher on a continuing
technical rebound and mid-year window-dressing activities by fund managers,
dealers said.
Despite the market holding firm at the current level, the underlying
trend of the main index is still downwards, they added.
The Kuala Lumpur Composite Index (KLCI) closed up 3.64 points or 0.40 pct
at 910.54. The second board index gained 0.47 points or 0.51 pct to 93.02.
Trading volume was 605.98 mln shares valued at 868.47 mln rgt.
Gainers beat losers 467 to 220, with 294 stocks unchanged and 331 stocks
untraded.
At the close, the ringgit was quoted at 3.6845/6870 to the dollar.
A technical analyst with a local brokerage said the market is still in a
consolidation mode, but noted that index's rebound in the past few days can
technically be considered a "good bounce".
"Nevertheless, it is still too early ... to tell if the main index has
reversed from its underlying downtrend, despite the index rebounding some 30
points in the past few weeks," he added.
He said that to reverse the current downtrend, the index may need support
from fresh news leads.
For the time being, the market is expected to be very quiet, with
investors focusing on US Federal Reserve chairman Ben Bernanke's speech
tonight, especially regarding the direction of US interest rate policy, he
added
"Hopefully, by the first week of July, we can have clearer signals from
the market," another dealer said.
Blue chips generally closed higher, with Maybank gaining 0.20 rgt to 10.
70 on volume of 1.64 mln shares and Telekom Malaysia was up 0.10 rgt at 9.00
on volume of 1.78 mln share.
Genting was up 0.10 rgt at 23.80 and Resorts gained 0.40 rgt to 11.60.
Tanjong was up 0.10 rgt at 13.40 on volume of 1.74 mln shares, while Tenaga
was steady at 9.20 rgt on volume of 4.81 mln shares.
UDA Holdings was sharply higher on its proposed 3 rgt per share capital
repayment exercise, with the stock gaining 0.54 rgt to 2.84 on volume of 7.10
mln shares. Its major shareholder, Malaysian Resources Corp was one of the
most actively traded stocks, rising 0.005 rgt to 0.77 on volume of 17.06 mln
shares.

For, we expect the market to continued trade higher...KLOFF target at 915 point...
then we will predict some profit taking later at the day...

For CPO market, Crude palm oil futures prices on Bursa Malaysia
Derivatives closed higher today on short-covering and technical buying, a deale
said.
He said sellers changed positions and were buying the local commodity
as the prices adjusted in line with the firmer soyaoil prices on the Chicago
Board of Trade.
The market is expected to trade within the RM1,460-RM1,500 range tomorrow,
he said.
At the close, July 2006 rose RM5 to RM1,423 and August 2006 was RM6
higher at RM1,452. September 2006 and October 2006 recorded an increase of
RM10 each to settle at RM1,477 per tonne and RM1,491 per tonne respectively.
Volume rose to 9,770 lots from 8,619 lots yesterday while open interests
appreciated to 44,250 contracts compared with 43,185 contracts previously.
On the physical market, July South remained at RM1,430 per tonne.
Crude palm kernel oil futures were not traded.

Regard

Anthony Wong