Hot Stocks GentP, PPB, KLK lead plantation gainers

by **Cals** Thu 06 Mar 2014, 17:25

Hot Stocks GentP, PPB, KLK lead plantation gainers

Business & Markets 2014

Written by Ho Wah Foon of theedgemalaysia.com

Thursday, 06 March 2014 12:42

KUALA LUMPUR (Mar 6): Genting Plantations Bhd, PPB Group Bhd and Kuala Lumpur Kepong Bhd led the rise in plantation stocks today, after leading international commodity analysts presented their bullish views on crude palm oil (CPO) price outlook for this year at a conference.

The three stocks were among the 10 top gainers, with Genting Plantations leading the pack with a surge of 50 sen or 4.7% to RM11.20 at 11.38 am. PPB also soared 32 sen or 2% to RM16.68 while KLK rose 16 sen or 0.7% to RM23.80.

The other plantation risers among the top 30 gainers were IJM Plantations Bhd, TSH Resources Bhd, Sarawak Oil Palm Bhd and Genting Plant warrant.

As at 12.04 pm, the plantation index on Bursa Malaysia rose 82.82 points or 0.94% to 8878.53 – the highest among all the sectoral indices that make up the FBMKLCI, which only rose 1.9 point or 0.1% to 1831.01.

Yesterday, Dr James Fry – a renowned analyst – said the CPO prices on Bursa Malaysia could rise to above RM3,000 and palm kernel oil to RM4,500, if Brent oil stays at US$110 per barrel.

Dorab Mistry, the most anticipated speaker at the palm oil conference, projected CPO prices to hit a high of RM3,500 per tonne in his remarks.

CPO futures rose sharply in afternoon trades yesterday after the speakers gave their bullish forecasts, with the benchmark May futures surging RM60 to RM2,861 at mid-afternoon.

But today, the CPO futures market fell across-the-board possibly on profit-taking after yesterday’s hefty gains. At 12.13 pm, the May futures contract fell 13 sen to RM2,821.