New listing: CHCOAL-C1, ICBC-C5, PETROCH-C5, SINOPEC-C2

CHINA COAL (1898)
CHCOAL-C1 issued @ RM0.07; underlying share @ HKD21.90; premium 15.26%

ICBC (1398)
ICBC-C5 issued @ RM0.06; underlying share @ HKD6.03; premium 21.61%

PETROCHINA (0857)

PETROCH-C5 issued @ RM0.08; underlying share @ HKD14.66; premium 21.68%

SINOPEC CORP (0386)

SINOPEC-C2 issued @ RM0.09; underlying share @ HKD11.02; premium 11.84%

All four call warrants are anticipated to move to a premium of more than 30% (please refer to the tables for the cw prices). With Dow Jones currently surging up high, tomorrow will be a great day for these new listings. Issued with cheap pricing and low exercise prices, these call warrants are highly suitable for investors to buy and hold.

New listing: BURSA-CH, TM-CG, CCCC-C5, TOYOTA-C1

BURSA (1818)
BURSA-CH issued @ RM0.62; underlying share @ RM13.40; premium 34.18%

TM (4863)
TM-CG issued @ RM0.28; underlying share @ RM10.60; premium 12.26%



CCCC (1800)
CCCC-C5 issued @ RM0.45; underlying share @ HKD21.25; premium 22.43%



TOYOTA (7203)
TOYOTA-C1 issued @ RM0.46; underlying share @ JPY5990.00; premium 14.01%

Time to Bottom Fish !!!!!!

The 3 levels to watch out for:
A: 26700++
B: 24900++ (to cover the gap)
C: 23500++ (very strong support level)

New listing: KLK-CE, MISC-CD, HSBC-C3, HWL-C3

KLK (2445)
KLK-CE issued @ RM0.57; underlying share @ RM16.60; premium 7.53%

MISC (3816)
MISC-CD issued @ RM0.28; underlying share @ RM9.70; premium 14.64%


HSBC (0005.HK)
HSBC-C3 issued @ RM0.62; underlying share @ RM136.20; premium 22.72%

HWL (0013.HK)
HWL-C3 issued @ RM0.62; underlying share @ RM88.15; premium 22.69%

New listing: CHMOBIL-C6, CHMOLY-C1, GOOGLE-C1

CHINA MOBILE (0941)
CHMOBIL-C6 @ RM0.14; underlying share @ HKD128.90; premium 45.51%

CHINA MOLYBDENUM (3993)
China Molybdenum Co. Ltd (CMOC) is a leading producer of molybdenum with world-class integrated mining and processing facilities.
Molybdenum, in pure metal form, is silvery white and very hard. Its ability to withstand extreme temperatures make it useful in applications that involve intense heat including aircraft parts, electrical contacts, industrial motors and filaments. Owing to its high corrosion resistance
and weld ability, molybdenum is also used as an alloying agent in stainless steels, tool steels, cast irons and super alloys.
CMOC's primary business operations involve molybdenum mining flotation roasting and smelting and downstream processing. Besides that, the group is also a growing producer of tungsten products.
CHMOLY-C1 @ RM0.10; underlying share @ HKD16.56; premium 48.86%

GOOGLE (GOOG)
GOOGLE-C1 @ RM0.11; underlying share is currently trading around USD655.00; premium 18.90%

With the current high level of premium for the c.warrants above, I doubt the prices would move any much higher. Nevertheless, its cheap pricing might attract traders/investors to buy these warrants. Anyway even ZIJIN-C1 is currently having a 65% premium.

As for the Google cw, some may think its conversion ratio of 3000 to 1 may be a little too much to take. Now, let's take a closer look. Theoretically, a one cent gain on GOOGLE-C1 is reflected by a 10 dollar gain in the underlying share price; and that's only a 1.5% increase in price which would not be that hard to be accomplished by a 650 US dollar stock. In addition, investors are only paying a mere RM0.11 to grab hold on one of US's best technology company which may cost up to RM2171.00 (UDS650) for the underlying share. As you can see, its not that bad after all.
To wrap things upa little, all the 3 CWs could be trading in a range close to their issue prices since the US market is currently on the rise (up >150 points). It would be best to take profit (hopefully there is some), since the market condition is still uncertain.

New listing: PBBANK-CE, YTL-CE, HSI-C3, MTR-C1

Public Bank
PBBANK-CE @ RM0.54; underlying share @ RM10.70; premium 16.45%

YTL
YTL-CE @ RM0.63; underlying share @ RM7.45; premium 17.58%

Hang Seng Index
HSI-C3 @ RM0.728; HSI is currently @ 27665.73; premium 30.56%

MTR Corporation (0066)
MTRC is a leading mass transport service provider in HK with core business engaged in the ownership and operation of the Mass Transit Railway ("MTR"). It is also engaged in property development at locations relating to the railway system.
MTR-C1 @ RM0.475; underlying share @ HKD25.10; premium 25.17%

The market is currently very unstable with the sub-prime issue still lingering around. With the current level of premium on these warrants together with the current market condition, it would be wise to take whatever profit there might be tomorrow. Good luck.

Hang Seng Index dropped most since 9/11

Hong Kong's Hang Seng Index tumbled the most since the Sept. 11, 2001, terrorist attacks after Chinese Premier Wen Jiabao said his government may delay allowing mainland investors to buy Hong Kong stocks.
China Mobile Ltd. had the biggest decline in five years, while China Unicom Ltd. plunged 8.3 percent. PetroChina Co., China's largest oil explorer, dropped the most in almost seven years even as its shares rallied in their first day of trading in Shanghai.
The second straight day of declines halted a 49 percent rally in the Hang Seng that began Aug. 20 when China's currency regulator said mainland investors would be allowed to invest in Hong Kong. Premier Jiabao said on Nov. 3 that the government needed more time to assess the risks to the stability of the city's financial system.
"I expect a significant correction in the Hong Kong market over the next few weeks,'' said Aaron Boesky, who manages $200 million as chief executive officer at Marco Polo Investments Ltd. in Hong Kong.
The Hang Seng Index plunged 1,526.02, or 5 percent, to close at 28,942.32, its steepest decline since September 2001 and the largest fluctuation among markets included in global benchmarks. The Hang Seng China Enterprises Index, which tracks 43 so-called H shares of Chinese companies listed in Hong Kong, lost 6.4 percent to 18,291.20, the biggest decline since May 2004.

source: bloomberg

New listing: MAYBANK-CF, TENAGA-CG, CHMOBIL-C5, ICBC-C4

MAYBANK
MAYBANK-CF @ RM0.515; underlying share @ RM11.30; premium 13.54%
We set a premium of 20%, the price of the call warrant would be RM0.88 (+36.5 cents / 70.87% gain in price)

TENAGA
TENAGA-CG @ RM0.62; underlying share @ RM9.20; premium 14.57%
We set a premium of 20%, the price of the call warrant would be RM0.87 (+25 cents / 40.32% gain in price)

CHMOBIL (0941)

CHMOBIL-C5 @ RM0.54; underlying share @ HKD152.20; premium 13.55%

We set a premium of 20%, the price of the call warrant would be RM0.75 (+21 cents / 38.89% gain in price)

ICBC (1398)
ICBC-C4 @ RM0.485; underlying share @ HKD6.83; premium 14.13%
We set a premium of 20%, the price of the call warrant would be RM0.66 (+17.5 cents / 36.08% gain in price)