Apr 18: Singapore stocks may see cautious gains; OUE, SIA in focus

Singapore shares may see cautious gains on Monday as strong economic indicators helped push U.S. stocks higher, but another round of policy tightening by China is likely to keep investors wary.

Singapore’s benchmark Straits Times Index <.FTSTI> fell 0.18% on Friday to 3,153.30 points.

Here are some stocks and factors to watch:

Property developer Overseas Union Enterprise (OUE) (OVES.SI) may be in focus after it said it is looking to launch an office REIT by 2013 when the upgrading of its properties are expected to be completed. OUE also said it will buy Crowne Plaza Changi Airport in a deal valued at $293 million ($235 million).

Singapore Airlines (SIAL.SI), the world’s second-most valuable carrier by market capitalisation, may be in focus after it said it filled 67.3% of the space available on its planes for passengers and cargo in March, up from February but down from the same period a year ago. Singapore Airlines (SIAL.SI) said on Friday it will increase its fuel surcharge for tickets issued on or after April 21 as jet fuel prices have risen more than 30% since the beginning of the year.

DBS (DBSM.SI), Southeast Asia’s biggest lender, said it plans to open at least eight new branches and sub-branches this year and will have 50 outlets in China by 2013.

M1 (MONE.SI), Singapore’s smallest mobile phone operator, said its first quarter net profit rose 8.2% to $42.5 million, as higher service revenue and handset sales rose, while it predicted higher net profit in 2011.

Fabric manufacturer Foreland Fabrictech (FFHL.SI) said it plans to seek a dual primary listing on the Korean stock exchange by issuing new shares or depository receipts.

Singapore Exchange (SGXL.SI) said it on Monday it has launched SGX Co-Location Service, which offers the fastest connection to its markets.

Indonesian shipper Berlian Laju (BLTA.JK) (PTBL.SI), which has a secondary listing in Singapore, said over the weekend it has experienced a computer crash that corrupted inventory and bunker consumption data in its accounting systems.