EOD Update (10 July 2007)

SCOMIEN rose another 32c to 2.85 (day high 2.90). Volume done still relatively small, around 0.88% of its issued share capital, so still looks stable. In my limited sphere of knowledge, there could be two likely reasons for the strong recent surge, both arising from its acquisition of MTrans, a rail transport specialist. No. 1 could be related to the Penang Monorail, where it is part of a consortium with MRCB bidding for the project. As for No.2, could it be linked to the article in The Star yesterday about the bullet-train to Singapore being in final stages of evaluation by the EPU? Not sure if SCOMIEN is involved in this project at this stage.

I'm now holding a bunch of timber-related stocks, including LINGUI, EKSONS, CYMAO, TEKALA, PWORTH and TIMWELL... waiting for a strong timber play to return, based on several factors I believe in (I also have some LIONFIB left over, but it has already sold its timber concession and returned RM2.00 cash per share to me). Today PWORTH finally made a strong breakout, rising by 26.5c to close at 1.19 (day high 1.21). Could this be the start of the timber play I've been waiting for? Looking at the big boys' (like Ta Ann, WTK) action today, doesn't seem like it. But timber "goreng" favourite JAVA showed some promise today, going against the overall relatively negative market sentiment to close up 9c at 2.89.

No trades today.

/ichithekiller