Re: Chalco 2600
Posted: Tue Jan 19, 2010 3:04 pm
DJ MARKET TALK: Chalco Down 3.2%; Trading Chance Eyed Near HK$9
1108 [Dow Jones] Chalco (2600.HK) down 3.2% at HK$9.36 on profit warning, but appears unlikely to trouble 50-day moving average at HK$8.91. FY09 net loss well flagged as company already made small profit in 3Q09, FY10 earnings set to recover strongly.
GuocoCapital's Becky Yuen says aluminum price has rebounded significantly since 4Q09, believes price will remain strong in 1Q10, but "we are not bullish on the outlook" of aluminum price starting 2Q10 due to restart of idled capacity in China, which may put metal in oversupply situation again despite demand recovery from automobile, property sector.
Adds exit strategies of central banks may put halt to strong aluminum price rebound. Still, house believes aluminum price may outperform other metals in near term, thus short-term trading opportunity may emerge when shares get close to HK$9.00
Source: Dow Jones Newswire
1108 [Dow Jones] Chalco (2600.HK) down 3.2% at HK$9.36 on profit warning, but appears unlikely to trouble 50-day moving average at HK$8.91. FY09 net loss well flagged as company already made small profit in 3Q09, FY10 earnings set to recover strongly.
GuocoCapital's Becky Yuen says aluminum price has rebounded significantly since 4Q09, believes price will remain strong in 1Q10, but "we are not bullish on the outlook" of aluminum price starting 2Q10 due to restart of idled capacity in China, which may put metal in oversupply situation again despite demand recovery from automobile, property sector.
Adds exit strategies of central banks may put halt to strong aluminum price rebound. Still, house believes aluminum price may outperform other metals in near term, thus short-term trading opportunity may emerge when shares get close to HK$9.00
Source: Dow Jones Newswire