Selangor PKR In-Fighting

Well, the political in-fighting between Khalid and Azmin had caused the frustration among the people's had finally come to an end. Anwar who had big head on that issue as he was also pressured on whether to oust either one between Khalid and Azmin. Azmin is Anwar long-time buddy and Azmin is also in the party since the PKR exist until now. But, Khalid was personally brought in by Anwar to help to contribute to the party and lead Selangor. 

It's definitely a tough decision to make which will hurt either one feelings and friendship. Furthermore, any decision made will affect the leadership and the party direction. Khalid is definitely a people-like Mentri Besar but a weak and soft politician. Azmin is tough, strong and ambitious politician who wanted to fight to the top and he has too many enemies within the party. Azmin are known to be behind the 15 MP who pressure Khalid go step down.

Finally Anwar had made the decision, without kicking out Khalid, Anwar made some leadership changes in Selangor by replacing Azmin as Selangor PKR chief, and fundamentally a state chief will normally be the state Mentri Besar. In-fact, Anwar already had discussion and bargain with Azmin by exchanging the top state party post with the top state post and end the issues. As, the party election are in near term around November 2010. It's definitely a move by Azmin to deny Khalid to stand for the deputy president position election. Well, Zaid Ibrahim, the prominent ex-Umno leader will definitely join the fray to fight directly with Azmin as Zaid was picked as the Federal Territory PKR chief replacing Azmin.

In this situation, who are shown to be bad ? It's very clear, Azmin was very dirty in playing politics. More or less will affect his reputation. And Khalid will still go on to be the Mentri Besar of Selangor until the next  party election, anyway Khalid will still have time to plan and prepare before the coming November PKR election.

Early News from Maxis ?

As we all know Apple iPhone already available in certain countries. The question arise that when will Malaysia launch the iPhone 4 ? 

haha... and Maxis previously had announced via twitter that it will announce in coming months between the third quarter of 2010. 

But yesterday i called up Maxis for my billing and some enquiries, what info did I get ? the staff told me that the iPhone 4 will be launch somewhere on the third week of July, any early info on the pricing will be send via email to the person who interested and register with Maxis. 

Yoohoo... Don't expect too long, it's just about 4 weeks away. And I did ask the staff that whether any pre-order needed ? She says it's unlikely, which means u could bought on the spot subjected if there are remaining stock. But I think, it will be selling like hot cakes.

What Will Happen If Yuan (Renminbi) Continue To Rise ?

The China currency "Chinese Yuan" (Renminbi) is continuing to rise. The Chinese government are relaxing their control on their currency and letting the market to decide on the currency value.

What will happen on China ?

China may get import things cheaper, for example the electronic gadgets like iphone, ipad, Mac and others. And this indirectly benefited those gadgets producer countries as their sales increased.

Besides, imported raw materials are also included such as petroleum, coal and others. As, China is the largest coal consumer in the world.

Chinese products will become costly and more expensive to other countries.

The salary in China rises, thus, the production companies will shift their operation to other countries with cheaper labour, as China may no longer continue to dominate as the cheapest labour country. 

 

What will happen to Others ?

Americans manufacturers will gain more from construction machineries, for example, carmakers could get profit from the cars, machines and others they make and sell in China.

Other developing countries may gain as multinational company (MNC) will shift the production line of raw material to cheaper labour countries.

Giants retailers chain like Wal-Mart Stores which depends heavily on China made products and sold in U.S. stores will be more expensive.

As the Yuan rise, consumer electronic gadgets could constraint the yearly price cuts. For example, cell phones, personal computers and other consumer electronics prices have been dropping 15% to 20% yearly and those products are mostly manufactured in China. So, the people's will pay higher for those goods and the price cuts will slow down.

Football Betting is Your Rights

Mahathir had publicly support the move of awarding the football betting license to Ascot Sports Sdn Bhd. Mahathir says that this could legalise the industry and increase the government revenue.

It's true. Whenever there is football there is gambling, illegal bookies are all around. You can't stop the people's from gambling, it's their right. And if they are in trouble of Ah Long (loan shark) for borrowing moneys to gamble, we could'nt do anything, that is their rights and their choice. 

In Malaysia, the majority was Muslim, and Yes Muslim was prohibited for gambling. Then there are rules that prohibited Muslim to gamble on the football. So, basically there are not problem since the betting will only allowed and open to Non-Muslim.

Besides, No-One and Nobody in this world can be forced to gamble. Don't you think that the bookies or operators will use a gun pointed on your head to force you to gamble. If this does happen then it's equal to rob. 

There is a chinese idiom stated "老牛不喝水, 不能强按头" means (You can take a horse to the water, but you can't make him to drink). A person cannot be forced what he does'nt want to. The most is the people's are just encouraged of having such facility (betting centre), furthermore gambling companies/operators are not allowed to advertise gambling in Malaysia, thus this may not directly encouraging them.

Ah Beng Pick Songs Joke (Joke of the Day)

A Hokkien Jokes start with a gang of Ah Beng's. 

Long long time ago, a gang of Ah Beng's (uneducated gangster) visit a lounge and order the DJ to play the song name called “Ah Cheng Beh Roti” (in hokkien translation means Ah Cheng sell breads)

The DJ then tell them that their lounge only have English songs and tell them to pick other songs. The Ah Beng's were unhappy and making a big fuss and calm down later.

Apple iPhone 4 Announced and Maxis launching in 3Q 2010

Apple announced the most awaiting iPhone 4 will be made available on June 24, which is the world thinnest smart phone. The iPhone 4 will be sold at a subsidised price of US$199 for iPhone 4 16GB and US$299 for iPhone 4 32GB in the United States with a 2-year AT&T telecommunication contract. It's just similar in Malaysia Maxis and Digi.

The iPhone 4 front and back are covered with two glossy panels of aluminosilicate glass (glass that used in the windshields of helicopters) as its strengthened to be 20 times stiffer and 30 times harder than plastic, with more scratch resistant and its recyclable and it is rimmed with stainless steel

Online Stockbroking Firms and Investment Banks

There is a wide range of stockbroking firms or investment banks that provides online tradings.

Below are some stockbroking firms that I used:

CIMB INVESTMENT BANK (Itrade CIMB)

http://www.itradecimb.com.my/

Advantages: Provide most trading services, eg. Shares trading, commodities futures trading. User friendly Itrade CIMB web trading platform, Provide Basic Technical Analysis web platform, Frequent seminars and talks on the market, Offers Online Cross-Broder Trading (can buy overseas listed, eg NYSE, Hang Seng, SG shares through online), Offers Offline Cross-Broder Trading, convenient of transferring fund, Available of CIMB Investment Bank office in major states,

Online Trading or Remisier Phone Trading ?

Nowadays, with the convenience of readily internet facility. People's tend to buy shares online rather than the traditional methods by buying through remisiers.

Basically, online trading which means you buy and selling the shares yourself through the brokers companies or investment banks provided website. Comparatively, online trading brokerage are cheaper and lower than going through remisiers. The minimum brokerage charges for online trading is RM12 while remisiers minimum brokerage charges was RM40. It's almost 4 times. 

Ok. Lets see how its works:

Standard Trading Cost:

Malaysia Car Loan Interest Rates Increased

The car loan interest rates in Malaysia had been increased following the recent increase in the Bank Negara Overnight Policy Rate (OPR) a.k.a Malaysia interest rates bench mark. 

Interest rates on new non-national car loans has increased by an average of 0.25 percentage point while rates for new national car loans saw a hike of about 0.10 percentage point.

EON Bank Bhd said the bank’s revised interest rates for new non-national cars were 3.5% (5-year tenure), 3.75% (7-year) and 3.85% (9-year). Meanwhile, rates for new national cars now stood at 3.85% (5-year tenure), 4%

Neway Karaoke Box Bombarded In Penang

Seems that Neway Karaoke Box, the leading Karaoke/singing entertainment outlet in Malaysia are facing problem in the Penang outlet. 

Recently, there was a Anti Penang Neway facebook page created and many people's Become Fans / Like the Page. It could be possible of Neway rival which cause the hatred, but if problems does not arise, is there a chance for the rivals doing so ?

Main Problems of Penangites complaints on Neway Penang:

Ringgit Malaysia (MYR) Recent Performance Up to May 2010

Source: Bank Negara Report

As we can the Malaysian Ringgit is getting stronger against almost mostly of the major foreign currencies especially the Euro , except the recent pick up in US Dollar and Japanese Yen as of May 2010. Thus, as the time goes, the Euro may surge back as the debt crisis is getting better. So, chances occur ?

Malaysia's Banks Performing and Unaffected by Eurozone Crisis

The recent heavy sell down on the Malaysia stock market and causing the FBM KLCI to tumbles in the past 2 weeks are already picking up. 

Firstly, the main cause is the Eurozone debt crisis which involve Greece, Spain and Portugal, but up to date the International Monetary Fund (IMF) and the European Union (EU) had already bailout them by providing loans. 

Secondly, it was the huge quarter losses of plantation conglomerate Sime Darby. Up to now, Sime Darby share price had already slump down 12% in 2 weeks. The CEO of Sime Darby had also been removed. 

Thirdly,  as we know if the manufacturing sector is suffering a meltdown in demand from Europe, then this will indirectly affect the banks lending prospects, and this was not the problem, as the manufacturing sector in Malaysia is on a pick up trend. Furthermore, Malaysian banks also have no exposure to any of Europe’s papers or business interest.

Although interest rate hikes totalling 75 basis points in 2010, but those bankers are still confident on the loan growth and will be stronger than previous year. If not the Bank Negara will not raise the interest rates. And the inflation are not in pressure.

Thus, Malaysia Banks are fundamentally good and performing and are not in a worrying trend.

Penang and Selangor Ban Sport Bettings Locally

Penang and Selangor state government had issued statement respectively that although the Federal Government (Barisan Nasional) had issued football betting licence to Ascot Sports Sdn Bhd, which  owned by Berjaya Group Vincent Tan, the state government, via local authorities has the power to stop it. Thus, no premises in the state will be allowed to operate such betting centre. 

The Pakatan Rakyat had earlier stated that the Pakatan Rakyat led states will not allowed those bettings as issuing such a licence would not eradicate illegal gambling but would aggravate social problems as the poor would gamble away their hard earned wages. 

A country if is too conservative and are not open their mind will definitely cannot cope and compete with the global world. Football betting is a trend. This will still going on even without the approval as it will still run by those illegals. Why not take the chance to let the government to make profits (tax) and regulate the rules. Rather than letting it getting worse and those illegal bookies making huge profit and their own ways. Even Singapore had such football betting in the 1990s before it finally approve the casino while Malaysia has it own casino in earlier. As WE ALL KNOW footballs betting can be done even at home (as long as u have a computer and internet connection, thats it). Come on. The bettings will still be running by those illegals even no approvals was given. Why not regulate it and collect taxes?

Subsidies in Malaysia Should be reduced gradually but not immediately and save Money on UNNECESSARY

Lets look at the subsidies the government are giving on commodities such as petrols, gasoline, sugar, flour and also healthcare and education. in 2009 , the government subsidies was staggering high at RM74billions. Even other oil producer nations does not subsidies so much for the people's. The Minister incharge was saying that the country will go bankrupt if the subsidies continues. Yes I do agree with it, it's a serious trouble we may faced in future. And the subsidies for petrol and foods should reduced gradually but not immediately but I think healthcare subsidies should maintained. Why ? Petrol not subsidised, people's still can take public transport, healthcare benefit not subsidised then let the rakyats self-dying if they are not affordable ? And government spending still can be further reduced on other ways such as stop non-benefit multi-project (u know i know), unnecessary expenditure, tender project to be more transparent (stop corruption), pay on the price it should be (Karipap RM0.40, pls dont pay RM4 , computer RM3000, dont pay RM15000), unnecessary investment (make own spaceship rather than sending astronaut to space to explore nothing by paying hundred millions). And don't forgot Petronas is still earning huge profit staggering and over hundreds billions. Hope this money reinvested and used the profit wisely. We can accept subsidies to be removed, we cannot accept taxpayers money simply be spend. The government can do it, we also can. When the public account release again for 2010, HOPE NO MORE RM3000 computer paid at RM15,000. Then it will be worthy to tied our stomach for better Malaysia. Mr Prime Minister (Datuk Najib), hope you can do it without disappointing the RAKYAT.

Happy Wesak Day

Wish all the Buddhist Happy Wesak Day. Hopes the world and the people's get peace and living happily. Pls no war, no crime, no injustice, no disaster, no quarrel, no unhappy. YES TO PEACE AND HAPPY.

Malaysia Assets and Liabilities and International Reserve Position as at May 2010

Malaysia Assets and Liabilities As At 14 May 2010

Malaysia International Reserves Position As At 14 May 2010

The international reserves of Bank Negara Malaysia amounted to RM314.2 billion (equivalent to USD96.1 billion) as at 14 May 2010. The reserves position is sufficient to finance 8.3 months of retained imports and is 4.4 times the short-term external debt.

Berjaya Corp Berhad To Buy Ascot Sports

Berjaya Corp Bhd has proposed to purchase 70% stake in Ascot Sports Sdn Bhd, a company owned by Vincent Tan with a cash of RM525mil. As Ascot Sports Sdn Bhd had just been approved for the sports betting licenses by Finance iinistry on January 2010. Vincent Tan is Berjaya Corp chairman, CEO and largest shareholder with direct stake of 45%.

The purchase would be partly funded by the issuance of up to RM614.45mil nominal value of 10-year 8% irredeemable convertible unsecured loan stocks (Iculs) on the basis of one RM1 nominal value of Iculs for every eight of the company's shares held. The sale price is RM9.37 per share based on Ascot Sports' paid-up share capital of RM80mil comprising RM1 shares. Berjaya Corp said Tan had agreed to guarantee that the company would make a cumulative after-tax profit of at least RM375mil for the first three years of operations and had backed this with an offer to deposit RM81.25mil worth of listed securities. For the current financial conditions, Ascot Sports had net liabilities of RM11.2mil and loss of RM4.6mil for year ended Dec 31, 2008.

Vincent Tan plan was 23 years ago as the sports betting licence was first granted by the Government in 1987. He says he is glad that Prime Minister Datuk Seri Najib Tun Razak is economically sound like Tun Dr Mahathir Mohamad and understands economics. This licence will generate revenue to the company which, in turn, will help the Treasury particularly in these trying times. Haha. Is it indirectly indicating the leader between Mahathir and Najib reign are not economic wise and friendly ?

Berjaya Share already surge to 10months high lor...late..

Malaysia Sports Betting License Issued to Vincent Tan

The football betting licenses were issued to Berjaya Group boss, Vincent Tan, Ascot Sports Sdn Bhd company. The sports betting licenses was granted in  the year of 1987 and stopped in 1990, and further reissued in 2003 but were taken back again after a year. This licenses included with several conditions. Ascot Sports can only operate in only 200 of the 680 Sport Toto outlets in non-Muslim areas in major towns and online betting are banned. But telephone betting may provided to those who registered. these outlets would also be required to put up notices that only adult non-Muslims would be allowed to place bets. As for now, the gainers from sports or football betting are the illegal bookies. The unofficial estimates that Malaysians place RM20bil in bets a year with local illegal and offshore bookmakers.

European Union and International Monetary Fund pledged US$1 trillion defend Euro

The European Union (EU) and the International Monetary Fund (IMF) pledged roughly US$1 trillion on Monday to defend the falling euro, to prevent the common currency from devalued and collapse.

Most Central banks around the world joined the coordinated effort to prevent Europe's debt crisis from derailing the global economic recovery.

The initiative was under the three-year plan, the European Commission (EU's governing body) will make Euros 60 billion ($75 billion) available while countries from the 16-nation eurozone would promise backing for Euros 440 billion ($570 billion).

Furthermore, the IMF would contribute an additional sum of at least half of the EU's total contribution, or Euros 250 billion.

EU Commissioner Olli Rehn says they will defend the Euro whatever it takes and necessary to be after meeting with those EU's Ministers.

Sports Bettings Could Granted License

The sports betting or gambling may be legalise in Malaysia as the government may regulate and legalise it. This was due to the near term of FIFA World Cup 2010. However, the Deputy Finance Minister, Dr Awang Adek did not says when a decision would be made.  The Government was also aware that so hundred millions and billions of money was involved and the Government can gain from it and use the revenue to develop sports. Dr Awang Adek said it would benefit everybody if the tax revenue was used for sports development. Since the illegal bookies will still continue their activities. So, rather  leave them to do it unregulated on their own, the Government should try to regulate it in a manner in which it is controlled. In conclusion, I think there will be a outcome soon after the further discussion by the Government since the football match are starting soon.

Dow Jones Slump as Eurozone: Greece Debt Crisis Worsen

Dow Jones gone into deep shit as affected by Greece Debts Crisis. Dow Jones Industrial Average closed down over 200 points on Tuesday as concerns about a eurozone debt crisis prompted heavy losses in the financial sector. The Dow fell 213.04 points or 1.9% to closed below the level of 11,000 and ended the day at 10,991.99, suffering its WORST DECLINE since Feb.4, 2010. The Nasdaq composite drop 2.04% and the Standard & Poor 500 index skidded 2.34%.

The Eurozone countries that facing debts problem are Greece, Spain and Portugal. Spain, which is trying to emerge from a steep recession following a housing bubble, is running a 11.2% budget deficit. That compares to Portugal's 9.4% deficit and Greece's 13.6% deficit.

Europe's act in respond had led investors selling off Greek debt, and causing Greece more expensive to borrow money, and negative images. And the worry now is that this process will be repeated in Portugal.

Furthermore, the €45 billion aid package for Greece from the EU and the International Monetary Fund could be delayed by political in-fighting in Germany, which Germany is to provide about €8.4 billion of the EU's €30 billion in rescue loans. As the opposition in Germany is criticizing the rescue plan and opposing Chancellor Angela Merkel's commitment to come to Greece's rescue. This was mainly due to the Propoganda by the political party because Germany was in the midst of a campaign for a crucial regional election set for May 9 that could influence the balance of power in Germany's national parliament.

All this problems had pro-long and pissed-off investors to sell and causing the market to panic and facing heavy selling pressure.

In this case, the stocks that pull Dow Jones down are mainly financial stocks such as Citigroup, Bank of America and others. Chances are on Citi, buy when it deeps. Hehe.

  

Barisan Nasional Won Hulu Selangor

Barisan Nasional (BN) won the Hulu Selangor parliamentary seats is already beyond expectation. Barisan Nasional won by a 1,725-vote majority. Barisan Nasional Candidate from Malaya Indian Congress (MIC) P. Kamalanathan garnered 24,997 votes to defeat Parti Keadilan Rakyat (PKR) (Pakatan Rakyat) Datuk Zaid Ibrahim, who got 23,272 votes. There were 731 spoilt votes, of the total of 48,935 votes cast. Voter turnout was 75.87%. The winning of BN are mainly contributed by heavy goodies from Barisan Nasional, such as promises to pay Felda settlers and others. And PKR loses are mainly Pakatan Rakyat non-performing, since 2 years of the General Election, Pakatan had taken control the Selangor state for 2 years, but it seems that promises were not fulfilled and Pakatan Rakyat are not doing enough for the Rakyat (people). Furthermore, the Indian in Hulu Selangor are backing MIC (BN) and the Malay are also backing UMNO (BN), thus some vote are deliver back to Barisan Nasional. Hence, this might be a signal or indication to Pakatan Rakyat that the people's are not happy with their performance.

Malaysia Estimated GDP Growth by 8% in 2010

Fuyohhh..Backed by many external and internal factors, Malaysia may able to achieve 8% GDP (Gross Domestic Product) growth this year as forecasted by Am Research Sdn Bhd. If this forecast come reals then it will the strongest since 1996. Other institution that do forecasted Malaysia 2010 GDP are Malaysia Central Bank: Bank Negara forecast of 4.5 to 5.5% GDP growth, while World Bank estimate at 5.7% GDP growth. The Prime Minister Najib Razak itself do estimated a GDP growth of not less than 6%.

 Factors that lead to the higher forecast:

1. The increase in domestic demand of products.
2. Increase in external demand from neighbouring countries and stronger commodity prices.
3. Private sector spending by households increased as well.
4.  Liberalisation of economics introduced by PM Datuk Najib Razak, eg. lift direct foreign investment in financial services and in other tertiary sectors.
5. New initiative, the Government Transformation Programme (GTP) to tackle waste and corruption in the public sector and speed up the implementation of new projects.
6. New Economic Model for fairer wealth distribution to replace the controversial New Economic Policy.
7. Employment and income level rising.
8. Police forces reform to curb high crime rates to with heavier police presences.
9. Ringgit rises at RM3.10 per USD 1.
10. Consumer confidences increase.
11. Exports and imports are to post double-digit growths of 15% and 16% this year for a higher current account surplus of RM125bil or 20% of the GDP.

European Airport Closures : SIA loss millions per day

Most European airports were shut down due to the huge amounts of ash and smoke emanating from volcano in Iceland’s . The ash, which is moving slowly toward mainland Europe, poses a threat to aviation safety. This eruption started on April 14, and had caused the world’s largest aviation disruption since the September 11, 2001 terrorist attacks in the United States Thousands of flights across portions of Europe were canceled. This eruption had pro-long until today. SIA (Singapore Airline Ltd) reported that it has been losing at least S$4 million per day since Thursday as a result of airport closures in Europe because of the volcanic eruption in Iceland. As SIA needs to cover accommodation costs for stranded passengers and exclude cancelled flights, if cancelled flight were included, it could be even higher. SIA operates 25 flights to and from Europe daily with more than 20 being cancelled since last April 15.SIA carrier makes around 25% of its revenue from flights to Europe. It flies the Airbus A380 super jumbo to hubs like London, Zurich and Paris, which were all affected by the volcanic ash cloud.

Najib announced New Economic Model 2010

Prime Minister Najib Razak had announced the latest New Economic Model 2010 as replacement for the controversial New Economic Policy (NEP). The NEP was criticized as bias and was inequality distribution of the nation wealth. The announced New Economic Model was says that to be fair to all races. Prime Minister Datuk Seri Najib Tun Razak says that it will generate benefits for all Malaysians, irrespective of race under its inclusive growth goal and approach. 

The New Economic Model 2010 (NEM) aims:

1. Special Economic Reform unit will be set up to ensure the successful implementation of the NEM and the choosing of economic activities that will be declared as National Key Economic Activities or the country's economic champions.
2. Government has identified 6 National Key Economic Activities to be the engines of growth to generate high growth rates including oil and gas, electronic and electrical, Tourism, Agriculture and Financial Services.
3. NEM will focus on inclusiveness where all Malaysians of all races will contribute.
4. The NEM aims to take Malaysia to a high income country with per capita income of US$15,000, from the current US$7,000, in 10 years.
5. NEAC report will be used as a roadmap to a new Malaysia but welcome public input to make them part of the decision process.
6. NEM forms the backbone of reform and is vital in the rebuilding of the Malaysian economy.
7. Government relooking at the subsidy system and introduction of GST which are common sense policies that need to be implemented.
8. Carry out the economic reforms needed for businesses to grow and people to prosper.

Besides, Najib's also announced that:

1. Petronas has identified two subsidiaries to be listed on Bursa Malaysia.
2. Government and EPF to jointly develop 3,000 acres of land in Sungai Buloh that will produce activities worth RM5bil.
3. Pos Malaysia to get new investor; wages to be improved, as Khazanah Holdings to divest its investment in Pos Malaysia after detailed study and review of postal services.
4. EPF will be allowed to invest more money overseas to get better returns.
5. Government to allow private sector investment in GLCs through new coalition of public-private sector
6. MIDA to be corporatised to make it more flexible, empowered to draw in more investment, including offering instant investment incentives. It is to be renamed Malaysian Investment Development Authority.
7. Private sector innovation to be supported.
8. Modernisation of our education to create a world-class workforce is imperative to achieve high income nation status.

Happy Chinese New Year and Happy Valentine 2010

Happy Chinese New Year 2010 and Happy Valentine. Wish u all good luck in this Tiger year. and enjoy your Chinese new year and valentine to the fullest.

LOVE is Forever.

















Huat AAHHHH!!

Happy New Year 2010

Woohoo..New Year New Life for 2010...good luck to everyone. As we see business is getting back to normal, should be a good year with the share market hiking up.