Very polluted in the middle East, more jobs 4 picorp
Israeli military continued to hammer the area in the aftermath of the Hamas militant group's bloody incursion into the Jewish state over the weekend.
Gaza City was pummeled by aerial bombardments on Tuesday as Israel Defense Forces continued to carry out the first phase of their retaliation for Saturday's unprecedented attacks.
- Key Takes for Budget 2024: slightly expansionary (after stripping out hefty 1MDB bond redemption in 2023), SST raised to 8% fr 6% alongside introductions of various new taxes (capital gains taxes, luxury taxes), 4.3% fiscal deficit (2023e: 5.0%), significantly lower subsidy and dividend contribution from Petronas (refer to ) - *While Budget 2024 is not particularly exciting for equities, being fiscal reform-centric and lacking details on incentives for businesses (NIMP 2030, MM2H), we maintain our view for FBMKLCI to close the year higher (target 1,540), driven by external optimism and events unfolding beyond Budget - Fiscal reforms support our view for the ringgit to eventually appreciate - Externally, equity markets should by year-end partly price in easing global inflation pressures and interest rate downcycle, semiconductor cycle recovery, and some economic recovery in China - *Domestically, in Oct we look forward to the Malaysia-Singapore leader’s retreat (deciding on Special Economic Zone detail in Johor) and council of rulers meeting (likely appointment of Agong), and significant earnings recovery in 2023
*Implications/Opportunities of Budget*
- a) Slower domestic consumption, although there are mitigating factors - b) Iskandar 2.0 investment theme to be catalyzed by aforementioned events expected in Oct, although the Budget touched on only the loosening of MM2H criteria - c) Mega projects beneficiaries (refer to Construction sector comments) - d) Sin sector: No new indirect taxes, so expect gradual recoveries of gaming companies - e) Chicken Run? Uplifting of price controls for chicken & egg could re-rate some low PE stocks (eg CAB – refer to selective peer comparison) - f) GST unlikely to be introduced in future years with the upsized SST.
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
Good123
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Posted by Good123 > 2023-10-11 09:40 | Report Abuse
9sen now