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Dear Valued RHBInvest Clients,

RHB Research

The new RHB Research Institute (RHBRI) module feature has already been launched on 4 August 2010 and it offers bountiful benefits for all RHBInvest clients.

This new feature enables you to make informed decisions with the advantage of strong research capabilities of RHB Research Institute, widely recognized as one of the best research house in the region.

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RHBInvest Team
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Mandarin Version : Commodities & Currencies - Yet Another Sign Of A Rebound On The Greenback… - 25/10/2010

Light Sweet Crude Oil futures (Crude)
♦ After registering an “evening star” candle and a negative candle in the previous weeks, the US Light Sweet Crude Oil futures continued to move lower last
week. It recorded another small negative candle.

Mandarin Version : Commodities & Currencies - Yet Another Sign Of A Rebound On The Greenback… - 25/10/2010

Mandarin Version : Market Technical Reading - Short-term Outlook Remains Positive... - 25/10/2010

Local Market Leads:
♦ In the absence of positive trading catalysts, the FBM KLCI finished almost unchanged on Friday as investors turned
cautious and opted to lock in profits ahead of the weekend.

Mandarin Version : Market Technical Reading - Short-term Outlook Remains Positive... - 25/10/2010

Mandarin Version : LBS Bina Group Berhad : Removing The Recent High Will Spell More Rallies Ahead… -25/10/2010

LBS hit RM0.67 before closing at RM0.64 on last Friday. The share price
of LBS accelerated in Dec 2009 after breaking out from the key level of
RM0.52, and hit a high of RM0.85 in Feb 2010. However, the stock gave up all
its gain by May 2010 and trended sideways near RM0.52 for the past months.
In mid Oct, the stock removed the RM0.52 level and rallied to a high of RM0.67
before closing at RM0.64 on last Friday, on the dot of a resistance level. It
recorded a positive candle to shrug off the previous day’s bearish candle. This
displays an optimistic sign on the share price chart.

Mandarin Version : LBS Bina Group Berhad : Removing The Recent High Will Spell More Rallies Ahead… -25/10/2010

Wah Seong Corp Berhad : Gladstone and Curtis LNG Projects Contract Get Environmental Green Light - 25/10/2010

♦ Coalbed methane (CBM) projects win environmental approvals.
The Upstream online on 22 Oct mentioned that both the Gladstone LNG
and Queensland Curtis LNG had won final environmental approvals. This
clears the way for final investment decisions (FID), expected by the end of
2010. Both projects are purported to be worth around A$30bn
(RM91.7bn).


Wah Seong Corp Berhad : Gladstone and Curtis LNG Projects Contract Get Environmental Green Light - 25/10/2010

LBS Bina Group Berhad : Removing The Recent High Will Spell More Rallies Ahead… -25/10/2010

LBS hit RM0.67 before closing at RM0.64 on last Friday. The share price
of LBS accelerated in Dec 2009 after breaking out from the key level of
RM0.52, and hit a high of RM0.85 in Feb 2010. However, the stock gave up all
its gain by May 2010 and trended sideways near RM0.52 for the past months.
In mid Oct, the stock removed the RM0.52 level and rallied to a high of RM0.67
before closing at RM0.64 on last Friday, on the dot of a resistance level. It
recorded a positive candle to shrug off the previous day’s bearish candle. This
displays an optimistic sign on the share price chart.


LBS Bina Group Berhad : Removing The Recent High Will Spell More Rallies Ahead… -25/10/2010

Market Technical Reading - Short-term Outlook Remains Positive... - 25/10/2010

Local Market Leads:
♦ In the absence of positive trading catalysts, the FBM KLCI finished almost unchanged on Friday as investors turned
cautious and opted to lock in profits ahead of the weekend.

Market Technical Reading - Short-term Outlook Remains Positive... - 25/10/2010

RHB Equity 360° - 25 October 2010 (QL, Wah Seong, Hunza; Technical: TSH, LBS)

Top Story : QL – Expansions to start contributing from FY12 onwards Outperform
Visit Note
- QL is in the midst of constructing its 13ha Breeder and 17ha Layer plant in Cianjur district, located
approximately 2 hours from Jakarta. The plant is expected to contribute 12m day old chicks/year by end
FY11 and 1m eggs/day by end FY12.

RHB Equity 360° - 25 October 2010 (QL, Wah Seong, Hunza; Technical: TSH, LBS)

QL Resources Berhad : Expansions To Start Contributing From FY12 Onwards - 25/10/2010

♦ We recently had a meeting with management to discuss all three of their
divisions’ developments and prospects.


QL Resources Berhad : Expansions To Start Contributing From FY12 Onwards - 25/10/2010

Economic Highlights - Foreign Exchange Reserves Rose To US$104.6bn As At 15 October - 25/10/2010

◆ The foreign exchange reserves rose by US$3.9bn in 1H October to US$104.6bn as at 15 October, albeit by
a smaller magnitude compared with an increase of US$4.8bn in 2H September. This was due to the repatriation of
export proceeds and inflow of foreign portfolio funds, which were offset partially by the payment of import bills. Also,
the increase in foreign exchange reserves suggests that Bank Negara continued to intervene in the foreign exchange
market to prevent the ringgit from rising too rapidly given the inflow of foreign capital. As it stands, foreign portfolio
investment in fixed income papers rose by RM3.4bn in August, albeit by a smaller magnitude compared with an
increase of RM5.9bn in July. As a result, their holdings in fixed income instruments rose to RM105.5bn at end-August,
the highest in more than two years and from RM102.0bn at end-July (Chart 1).

Economic Highlights - Foreign Exchange Reserves Rose To US$104.6bn As At 15 October - 25/10/2010

Economic Highlights - Inflation Unexpectedly Eased In September - 25/10/2010

◆ The headline inflation rate eased 1.8% yoy in September, from +2.1% in August. This was the first easing
after six consecutive months of picking up, suggesting that price pressure has eased somewhat and the impact from
the Government’s move to increase fuel and sugar prices in mid July has fizzled out. Also, the sharp appreciation
of the ringgit in recent months might have contributed to a more moderate increase in inflation during the month.
The slowdown was reflected in slower increases in food & non-alcohol beverage prices and the core inflation
rate.


Economic Highlights - Inflation Unexpectedly Eased In September - 25/10/2010

Hunza Properties Berhad : Headline Net Profit Skewed by EIs - 25/10/2010

♦ Slightly below expectations. Hunza’s 1QFY11 estimated core net profit
of RM12.5m (-1.8% yoy; -10.4% qoq) came in slightly below our
expectation by 6% but in line with consensus estimate. Sequential
turnover fell 12.4%, continued to be underpinned by progressive billings
from the two residential towers of Gurney Paragon. Headline net profit of
RM34.7m, however, was skewed by an exceptional item, mainly made up
of a revaluation surplus amounted to RM22.1m arising from Gurney
Paragon mall, office and a piece of land. As expected, no dividend was
declared in 1QFY11.

Hunza Properties Berhad : Headline Net Profit Skewed by EIs - 25/10/2010

Corporate Highlights - 25/10/2010

♦ QL Resources
Visit Note : Expansions To Start Contributing From
FY12 Onwards
♦ Wah Seong
Company Update : Gladstone and Curtis LNG Projects Contract
Get Environmental Green Light

Corporate Highlights - 25/10/2010

Commodities & Currencies - Yet Another Sign Of A Rebound On The Greenback… - 25/10/2010

Light Sweet Crude Oil futures (Crude)
♦ After registering an “evening star” candle and a negative candle in the previous weeks, the US Light Sweet Crude Oil futures continued to move lower last
week. It recorded another small negative candle.

Commodities & Currencies - Yet Another Sign Of A Rebound On The Greenback… - 25/10/2010

RHB Equity 360°- 25 October 2010 (QL, Wah Seong, Hunza; Technical: TSH, LBS)

Visit Note
- QL is in the midst of constructing its 13ha Breeder and 17ha Layer plant in Cianjur district, located approximately 2 hours from Jakarta. The plant is expected to contribute 12m day old chicks/year by end FY11 and 1m eggs/day by end FY12.


RHB Equity 360°- 25 October 2010 (QL, Wah Seong, Hunza; Technical: TSH, LBS)

Telecommunications Sector Update : Sizing Up The Pure Mobile Domestic Players – Maxis vs. DiGi - 22/10/2010

♦ Comparing green apple to yellow apple. In this report, we make a
comparison between the only two purely domestic focused mobile operators
in Malaysia, i.e. Maxis and DiGi.


Telecommunications Sector Update : Sizing Up The Pure Mobile Domestic Players – Maxis vs. DiGi - 22/10/2010

Mandarin Version : Market Technical Reading - Fresh Opportunity To Retest 1,500... - 22/10/2010

Local Market Leads:
♦ Share prices in Bursa Malaysia edged higher on Thursday, after a rally in the overnight Wall Street and further
rebound in most of the regional markets lifted sentiment in the local bourse.
♦ Despite a cap by renewed profit-taking activities and news that China’s 3Q GDP growth has slowed to 9.6% yoy
from 2Q’s 10.3%, the local market slowly regained its buying momentum towards the closing after the regional
markets’ sentiment improved in late afternoon.


Mandarin Version : Market Technical Reading - Fresh Opportunity To Retest 1,500... - 22/10/2010

Market Technical Reading - Fresh Opportunity To Retest 1,500... - 22/10/2010

Local Market Leads:
♦ Share prices in Bursa Malaysia edged higher on Thursday, after a rally in the overnight Wall Street and further
rebound in most of the regional markets lifted sentiment in the local bourse.
♦ Despite a cap by renewed profit-taking activities and news that China’s 3Q GDP growth has slowed to 9.6% yoy
from 2Q’s 10.3%, the local market slowly regained its buying momentum towards the closing after the regional
markets’ sentiment improved in late afternoon.


Market Technical Reading - Fresh Opportunity To Retest 1,500... - 22/10/2010

RHB Equity 360° - 22 October 2010 (Telecom, MAHB, Fajarbaru; Technical: B-Corp)

Sector Update
- In this report, we make a comparison between the only two purely domestic focused mobile operators in
Malaysia, i.e. Maxis and DiGi.
- We find that Maxis is ahead in: (1) subscriber and revenue market share; (2) EBITDA margins; (3) postpaid
ARPU; (4) 3G network population coverage; and (5) non-voice contribution.


RHB Equity 360° - 22 October 2010 (Telecom, MAHB, Fajarbaru; Technical: B-Corp)

Malaysia Airports Holdings Berhad : Sabiha-Gokcen For Long-Term Prospects - 22/10/2010

♦ Looking at longer-term prospects. In the near term, Sabiha Gokcen
International Airport (SGIA) will not significantly contribute to MAHB’s
earnings as it expects a seven to eight years gestation period. Nonetheless,
management is optimistic in the long-term terminal given its high growth
potential.


Malaysia Airports Holdings Berhad : Sabiha-Gokcen For Long-Term Prospects - 22/10/2010

Fajarbaru Builder Group Berhad : Lands RM36.5m Pasir Mas Halal Park Infrastructure Job - 22/10/2010

♦ Second key contract in FY06/11. Fajarbaru has been awarded by the
East Coast Economic Region (ECER) Development Council a RM36.5m
contract for earth and infrastructure works for Phase 1, Pasir Mas Halal
Park in Kelantan.


Fajarbaru Builder Group Berhad : Lands RM36.5m Pasir Mas Halal Park Infrastructure Job - 22/10/2010

Corporate Highlights - 22/10/2010

♦ Telecommunications
Sector Update : Sizing Up The Pure Mobile Domestic Players
– Maxis vs. DiGi
♦ Malaysia Airport
Visit Note : Sabiha-Gokcen For Long-Term Prospects

♦ Fajarbaru Builder Group
News Update : Lands RM36.5m Pasir Mas Halal Park
Infrastructure Job

Corporate Highlights - 22/10/2010

Corporate Highlights - 21/10/2010

♦ British American Tobacco
Results & Briefing Note : Impact Of Less Than 20’s Ban Cushioned
By Relaunch Of Peter Stuyvesant
♦ Rubber Glove
Sector Update : Still Cautious On Near-Term Outlook

♦ Media
Sector Update : 9M10 Print And TV Adex Up By 18.2%

Corporate Highlights - 21/10/2010

Mandarin Version : Market Technical Reading - Recapturing The 10-day SMA Will Renew Upbeat Sentiment... - 21/10/2010

Local Market Leads:
♦ Local market pared down early losses by ending slightly lower on Wednesday, after most of the Asian markets
recouped their early losses on bargain-hunting support in the afternoon.
♦ Boosting investors’ confidence was a strong rebound in Shanghai Composite. The index inched up 0.07%, after
plunging nearly 2% at one stage on a surprise rate hike by China’s central bank in late Tuesday.

Mandarin Version : Market Technical Reading - Recapturing The 10-day SMA Will Renew Upbeat Sentiment... - 2...

Market Technical Reading - Recapturing The 10-day SMA Will Renew Upbeat Sentiment... - 21/10/2010

Local Market Leads:
♦ Local market pared down early losses by ending slightly lower on Wednesday, after most of the Asian markets
recouped their early losses on bargain-hunting support in the afternoon.
♦ Boosting investors’ confidence was a strong rebound in Shanghai Composite. The index inched up 0.07%, after
plunging nearly 2% at one stage on a surprise rate hike by China’s central bank in late Tuesday.


Market Technical Reading - Recapturing The 10-day SMA Will Renew Upbeat Sentiment... - 21/10/2010

Rubber Glove Sector Update : Still Cautious On Near-Term Outlook - 21/10/2010

♦ Share prices reacted strongly to possible revision in selling prices.
The share prices for glove manufacturers were generally up 0.4-10.1%, as
compared to -0.1% for the FMB KLCI and FBM100 respectively (see Table
2). We believe the strong share price performances were largely due the
news that the Malaysian Rubber Glove Manufacturers’ Association
(“Margma”) had urged its members to raise glove prices to pass on the
higher raw material costs and continued weakening of the US$ against RM.

Rubber Glove Sector Update : Still Cautious On Near-Term Outlook - 21/10/2010

WCT Berhad : Secures RM1.36bn Building Job In Qatar And RM128m Hospital Project In Sabah - 21/10/2010

♦ 3 th and 4th key projects this year. WCT has secured two key contracts, namely: (1) A QAR1.59bn (RM1.36bn) government administrative building job in Doha, Qatar;
and (2) The Tuaran hospital project in Sabah worth RM127.8m. The latest contracts are the 3rd and 4th key jobs WCT has secured this year, boosting its YTD new contracts secured to RM2.1bn (see Table 2) and its outstanding construction orderbook by 53% to RM4.3bn
(see Table 3). Assuming an EBIT margin of 8-10%, the latest contracts will fetch RM119-149m EBIT over the construction period ending Apr/May 2013. While we are positive on the latest development, we expect limited reaction from the the market as WCT had been hinting on the Qatar job for a while by now.


WCT Berhad : Secures RM1.36bn Building Job In Qatar And RM128m Hospital Project In Sabah - 21/10/2010

Media Sector Update - 9M10 Print And TV Adex Up By 18.2% - 21/10/2010

♦ Sep’s adex for print and TV media grew 3.4% yoy. According to Nielsen Media Research (NMR), Sep’s gross ad spend for print and TV
media rose 3.4% yoy with print adex up 7.0% yoy, while adex for TV remained flat yoy. MoM, total print and TV gross adex fell by 14.5%. This
was not too surprising considering that Aug adex benefited from the Merdeka celebrations and Hari Raya festival.


Media Sector Update - 9M10 Print And TV Adex Up By 18.2% - 21/10/2010

British American Tobacco Berhad : Impact Of Less Than 20’s Ban Cushioned By Relaunch Of Peter Stuyvesant - 21/10/2010

♦ In line. BAT’s 9MFY12/10’s net profit of RM548.4m (-4.4% yoy) was within
expectations, accounting for 76% of both our and consensus forecasts. This
was on the back of a 3.6% growth in revenues. Earnings were weaker yoy
due to thinner operating margins as a result of the ban on less than 20’s
pack. For 9MFY10, operating margin was 2.5%-pts lower than 9MFY09’s
27.5%. BAT also announced a 2nd interim dividend of 64 sen, bringing YTD
total to 177 sen (9MFY09: 174 sen).

British American Tobacco Berhad : Impact Of Less Than 20’s Ban Cushioned By Relaunch Of Peter Stuyvesant - ...

Axis REIT : Quattro West Started To Contribute - 21/10/2010

♦ Within expectations. Axis REIT’s 3Q10 realised net profit of RM12.6m
(+22.8% yoy; +3.9% qoq) was in line with our expectation and consensus
estimates. The headline net profit of RM24.3m included a fair value gain
amounted to RM11.7m arising from the revaluation of 7 properties.
Sequential revenue increased by 6.5%, mainly attributed to the contribution
of Quattro West (formerly known as Nestle House), which commenced its
operations in Aug, as well as positive rental reversion of 6.1% up to Sept
2010. A 4 sen DPU was declared for 3Q10. Including the 7.7 sen DPU paid in
1H10, 9M10 DPU amounted to 11.7 sen, on track to meet our FY10 DPU
forecast of 16.7 sen.


Axis REIT : Quattro West Started To Contribute - 21/10/2010

Puncak Niaga Berhad : Eyeing Hogenakkal Water Project In India - 21/10/2010

♦ Forms a JV with P&C Constuctions. Puncak Niaga has formed a 60:40
JV with P&C Constructions (P) Ltd (P&C) to bid for Packages III and V of
the Hogenakkal Water Supply and Fluorosis Mitigation Project for
Dharmapuri and Krishnagiri Districts, India. P&C specialises mainly in civil
engineering works and has been involved in construction of public
buildings, commercial and factory buildings, roads & bridges, irrigation &
hydro-management projects, and many other speciality construction jobs.


Puncak Niaga Berhad : Eyeing Hogenakkal Water Project In India - 21/10/2010

Economic Highlights - Leading Index Bounced Back In August, Pointing To A Resilient Economic Activities Ahead - 20/10/2010

◆ The Leading Index, which provides an early signal of the direction that the economy is heading, rebounded to
increase by 0.9% mom in August, from -0.1% in July and -0.2% in June. This was the first increase in five
months, suggesting that the leading index, though weakening, remains resilient. The pick-up was underpinned by
increases in real money supply (+0.8%) and CPI for services (+0.1%; inverted) as well as a stronger growth in
the Bursa Malaysia Industrial index (+0.1%). These were, however, offset partially by sharper declines in trade with
eight major trading partners (-0.2%) and unit labour cost in the manufacturing sector (-0.2%) as well as a slowdown
in the number of housing permits approved (+0.2%). Industrial material price index, on the other hand, held stable,
while the number of new companies registered remained unchanged during the month. As a result, the leading
index’s six-month smoothed growth rate bounced back to +2.2% in August, after moderating to +0.9%
in July but off the peak of +11.2% recorded in March (see Chart 1). This was the first rebound, after four
consecutive months of slowing down, indicating that the economy is likely to sustain its growth in the months
ahead, albeit at a more moderate pace.

Economic Highlights - Leading Index Bounced Back In August, Pointing To A Resilient Economic Activities Ahe...

Economic Highlights - Decline In Manufacturing Investment Approvals Narrowed In The 2Q - 20/10/2010

◆ Total approved manufacturing investment fell by a smaller magnitude of 4.1% yoy to RM8.0bn in the
2Q, compared with -30.3% or RM5.2bn in the 1Q. This was due to a pick-up in domestic manufacturing investment
approvals, which rebounded to increase by 258.8% yoy to RM3.7bn in the 2Q, from -51.9% or RM2.0bn in the 1Q.
A sharper drop in foreign direct manufacturing investment (FDI) approvals, which fell by 41.2% to RM4.3bn in the
2Q, compared with -2.9% or RM3.2bn in the 1Q, however, offset part of the gain.

Economic Highlights - Decline In Manufacturing Investment Approvals Narrowed In The 2Q - 20/10/2010

Mandarin Version : Market Technical Reading - Tracking The Regional Volatile Sentiment... - 20/10/2010

Local Market Leads:
♦ Share price in Bursa Malaysia closed higher yesterday, as investors turned to bargain-buying mode following the
US markets’ gains overnight.
♦ The benchmark FBM KLCI surged higher in early trading, but the mid-day profit-taking pressure dragged the index
lower. The late trading, however, lifted it again towards a close near the day’s high of 1,488.77.

Mandarin Version : Market Technical Reading - Tracking The Regional Volatile Sentiment... - 20/10/2010

Economic Highlights - Business Conditions Weakened But Consumer Sentiment Improved In The 3Q - 20/10/2010

◆ The Malaysian Institute of Economic Research’s (MIER) business conditions index (BCI) fell by 14.7 percentage
points to 104.9 in the 3Q, after falling by 4.4 percentage points in the 2Q (see Chart 1). This was the second
consecutive quarter of decline after reaching the peak in the 1Q, suggesting that businesses have become less
upbeat, in view of prospects of a slowdown in the global economy that could affect business activities in the months
ahead. As it stands, the slowing global economic growth has become more wide spread since the 2Q. Also,
Malaysia’s exports slowed down for the fifth consecutive month in August, while industrial production slackened to
the slowest pace in eight months in July, before bouncing back slightly in August.

Economic Highlights - Business Conditions Weakened But Consumer Sentiment Improved In The 3Q - 20/10/2010

Market Technical Reading - Tracking The Regional Volatile Sentiment... - 20/10/2010

Local Market Leads:
♦ Share price in Bursa Malaysia closed higher yesterday, as investors turned to bargain-buying mode following the
US markets’ gains overnight.
♦ The benchmark FBM KLCI surged higher in early trading, but the mid-day profit-taking pressure dragged the index
lower. The late trading, however, lifted it again towards a close near the day’s high of 1,488.77.

Market Technical Reading - Tracking The Regional Volatile Sentiment... - 20/10/2010

RHB Equity 360° - 20 October 2010 (Property, Motor, Quill Capita; Technical: Kump. Hartanah Selangor)

- We upgrade our valuations for the property stocks, as many have almost hit our target prices recently. We
still see values in the sector led by sustained property prices and demand, and valuations are still attractive
at about +1 stdev above the average of P/B.

RHB Equity 360° - 20 October 2010 (Property, Motor, Quill Capita; Technical: Kump. Hartanah Selangor)

Quill Capita Trust : Flattish 3Q10 Numbers - 20/10/2010

♦ Slightly below expectations. Quill Capita’s (QC) 3Q10 realised net income
of RM8.7m (+7% yoy; 2% qoq) came in 6% and 10% below ours and
consensus estimates, on an annualised basis. Yoy 3% increase in top-line
was mainly due to increase in rental rates of some properties. Apart from the
filter-down of positive growth in rental contribution, effective capital, tenancy
and asset management by the REIT manager, as well as some write-back of
administrative expenses have also led to a 7% increase in realised net
income.

Quill Capita Trust : Flattish 3Q10 Numbers - 20/10/2010

Property Sector Update - Going From Strength To Strength - 20/10/2010

♦ Upgrade valuations. We upgrade our valuations for the property stocks under
our coverage, as many have almost hit our target price recently. We still see
values in the sector led by sustained property prices and demand, and valuations
of many property stocks are still attractive, currently trading at or slightly below
their +1 stdev of 6-year P/B mean. Our expectation that ARPP will continue to hold
well until 2012/2013 suggests that the property sector will remain robust next year.

Property Sector Update - Going From Strength To Strength - 20/10/2010

Motor Sector Update - Lower TIV On Shorter Working Month - 20/10/2010

Yoy TIV down 5.8%, mom TIV down 21.3%. September TIV of
43,443 was marginally down (vs. 46.1k units in Sept-09), but still
reflective of the strong TIV numbers recorded since the beginning of the
year. The mom fall in TIV for September was unsurprising, as it was a
shorter working month and August TIV was a high base as consumers
rushed to purchase cars before the Hari Raya festivities.

Motor Sector Update - Lower TIV On Shorter Working Month - 20/10/2010

Corporate Highlights - 20/10/2010

♦ Integrated Logistics
Company Update : Named Partner In Hong Leong Asia’s New
Warehouse Project In China

♦ Public Bank
Results Note : 9MFY10 Net Profit Rises 19.7% YoY

♦ Market Technical Reading
Daily Trading Strategy : Must Reclaim The 10-day SMA Soon To
Stay Bullish!

Corporate Highlights - 20/10/2010

Tracking The World Economy... - 19/10/2010

IMF Softened Its Stance On Capital Controls
The International Monetary Fund (IMF) has softened its stand on capital controls, as it warned that capital flooding into
Asia could lead to excessive exchange-rate moves, asset bubbles and financial instability. It touted capital controls as
a means to moderate the vast inflows to prevent another financial crisis. The unusual joint endorsement of capital
controls, policies that the IMF has until recently resisted, highlights how the growing gap in the performance of different
parts of the global economy is pushing policymakers in new directions. It also highlighted that, perhaps, allowing currency
to appreciate alone may not be sufficient in doing the job of slowing down capital inflows. This is especially the case
where “carry-trade” activities are quite common due to interest rates that are extremely low in developed countries and
developing as well as emerging economies’ markets are not deep enough to absorb the inflows. The IMF’s remarks came
as governments in Asia and emerging economies are looking for ways to lean against the substantial inflow of foreign
capital

Tracking The World Economy... - 19/10/2010

Tracking The World Economy... - 19/10/2010

IMF Softened Its Stance On Capital Controls
The International Monetary Fund (IMF) has softened its stand on capital controls, as it warned that capital flooding into
Asia could lead to excessive exchange-rate moves, asset bubbles and financial instability. It touted capital controls as
a means to moderate the vast inflows to prevent another financial crisis. The unusual joint endorsement of capital
controls, policies that the IMF has until recently resisted, highlights how the growing gap in the performance of different
parts of the global economy is pushing policymakers in new directions. It also highlighted that, perhaps, allowing currency
to appreciate alone may not be sufficient in doing the job of slowing down capital inflows. This is especially the case
where “carry-trade” activities are quite common due to interest rates that are extremely low in developed countries and
developing as well as emerging economies’ markets are not deep enough to absorb the inflows. The IMF’s remarks came
as governments in Asia and emerging economies are looking for ways to lean against the substantial inflow of foreign
capital

Tracking The World Economy... - 19/10/2010

IMF Softened Its Stance On Capital Controls
The International Monetary Fund (IMF) has softened its stand on capital controls, as it warned that capital flooding into
Asia could lead to excessive exchange-rate moves, asset bubbles and financial instability. It touted capital controls as
a means to moderate the vast inflows to prevent another financial crisis. The unusual joint endorsement of capital
controls, policies that the IMF has until recently resisted, highlights how the growing gap in the performance of different
parts of the global economy is pushing policymakers in new directions. It also highlighted that, perhaps, allowing currency
to appreciate alone may not be sufficient in doing the job of slowing down capital inflows. This is especially the case
where “carry-trade” activities are quite common due to interest rates that are extremely low in developed countries and
developing as well as emerging economies’ markets are not deep enough to absorb the inflows. The IMF’s remarks came
as governments in Asia and emerging economies are looking for ways to lean against the substantial inflow of foreign
capital

RHB Equity 360° - 19 October 2010 (ILB, Public Bank; Technical: Ann Joo)

Company Update
- Hong Leong Asia revealed recently that its refrigeration and cooling products division under Frestech/Xinfei
in China has formed a "partnership with Integrated Logistics China to build and operate a central
distribution centre".
- Frestech/Xinfei is a high-growth blue-chip client of which ILB can piggy-back on to expand its presence and
scale of operation in China.

RHB Equity 360° - 19 October 2010 (ILB, Public Bank; Technical: Ann Joo)

Public Bank Berhad : 9MFY10 Net Profit Rises 19.7% YoY - 19/10/2010

♦ 3QFY10 net profit up 6.6% qoq – in line ... Public Bank’s 3QFY10
results were within our and consensus expectations with 9MFY10 net profit
of RM2.2bn (+19.7% yoy) accounting for 75.5-76.5% of our and consensus
full-year estimates.

Public Bank Berhad : 9MFY10 Net Profit Rises 19.7% YoY - 19/10/2010

Integrated Logistics Berhad : Named Partner In Hong Leong Asia’s New Warehouse Project In China - 19/10/2010

♦ Revelation by Hong Leong Asia. Hong Leong Asia revealed during a
recent investors’ conference that its refrigeration and cooling products
division under Frestech/Xinfei based in Henan, China, has formed a
“partnership with Integrated Logistics China to build and operate a central
distribution centre”.

Integrated Logistics Berhad : Named Partner In Hong Leong Asia’s New Warehouse Project In China - 19/10/2010

Corporate Highlights - 19/10/2010

♦ Integrated Logistics
Company Update : Named Partner In Hong Leong Asia’s New
Warehouse Project In China

♦ Public Bank
Results Note : 9MFY10 Net Profit Rises 19.7% YoY

♦ Market Technical Reading
Daily Trading Strategy : Must Reclaim The 10-day SMA Soon To
Stay Bullish!

Corporate Highlights - 19/10/2010

Market Technical Reading - Must Reclaim The 10-day SMA Soon To Stay Bullish! - 19/10/2010

Local Market Leads:
♦ Taking cues from the poor regional sentiment, the local bourse extended its losing streak for a third day on continuous profit-taking activities on Monday.

Market Technical Reading - Must Reclaim The 10-day SMA Soon To Stay Bullish! - 19/10/2010

Tracking The World Economy... - 18/10/2010

US Core Inflation Moderated Yoy In September, Increasing The Odds Of The Fed To Ease Its Policy Further
US headline inflation eased to 0.1% mom in September, after holding stable at 0.3% in July-August. The moderation
was due to a sharper drop in the prices of apparel and the costs of recreation, while the costs of housing and education
slipped into a contraction during the month. A slower increase in the costs of transport, on the back of a slowdown in
gasoline prices and a drop in the costs of vehicles, also helped. These were, however, offset partially by to a pick-up
in food & beverage prices and the costs of medical. Excluding energy prices, inflation remained unchanged in September,
after holding stable at 0.1% mom in May-August. Excluding food and energy prices, the core inflation rate remained
unchanged for two consecutive months in August-September, after easing to +0.1% mom in July.


Tracking The World Economy... - 18/10/2010

Mandarin Version : Market Technical Reading - Key Supportive Level Is Near The 10-day SMA... - 18/10/2010

Local Market Leads:
♦ Bursa Malaysia continued its profit-taking leg and turned lower on Friday, as investors continued to unload their
positions during the announcement of the 2011 Budget in late session.

Mandarin Version : Market Technical Reading - Key Supportive Level Is Near The 10-day SMA... - 18/10/2010

Mandarin Version : Cahya Mata Sarawak Berhad : Forming Base At Above RM2.68 Before A Technical Rebound… - 18/10/2010

CMSB closed lower on Friday with a potential “morning star” candle.
CMSB encountered a sharp correction after touching a high of RM3.14 in Apr
2010, and fell to a low of RM2.11 in May, near a solid support level at RM2.10.
It managed to recover to above the RM2.41 level but its shares remained
trading on sideways from Jun to Sep. Only in Oct, the stock stormed upward to
try a resistance at RM2.93, before the current consolidation. It ended at
RM2.75 on last Friday with a small gap and a potential “morning star” candle on
the chart.

Mandarin Version : Cahya Mata Sarawak Berhad : Forming Base At Above RM2.68 Before A Technical Rebound… - 1...