The latest Market Talks covering Equities. Published exclusively on Dow Jones Newswires throughout the day.
0204 GMT - The Malaysian government's RON95 fuel subsidy cut might not materially disrupt consumption trends, as most users consume less than the revised quota, RHB IB analyst Soong Wei Siang says in a note. Malaysia is cutting the monthly quota for subsidized RON95 fuel to 200 liters from 300 liters per person amid rising oil prices. Policy support and stable domestic demand will likely sustain the consumer sector's earnings, but prolonged Middle East tensions might pose inflation risks, he says. Names with defensive qualities and domestic-centric earnings are still preferred, as they are seen to be insulated amid heightened geopolitical uncertainties, he adds. RHB maintains an overweight rating on Malaysia's consumer sector, pegging Nestle (Malaysia), Mr. D.I.Y. Group (M), Eco-Shop Marketing, Farm Fresh and AEON Co. (M) as its top picks. (yingxian.wong@wsj.com)
0202 GMT - Aluminum Corp. of China's capacity expansion is likely to reinforce its long-term competitiveness, says DBS Group Research's Tina Ting Hu in a note. The Chinese aluminum producer's acquisition of a Brazilian aluminum company with Rio Tinto is likely to enhance the former's resource footprint and expand its upstream aluminum portfolio, she says. Chalco's higher capital expenditure is also likely to increase its long-term product competitiveness, she adds. Elevated aluminum prices should also drive further results improvement, she says. DBS retains its buy rating, as well as target price of 13.80 yuan on its Shanghai-listed shares and HK$15.20 on its Hong Kong-listed shares. The China-listed shares rise 5.2% to 12.04 yuan, while the Hong Kong shares gain 7.0% to HK$11.57. (megan.cheah@wsj.com)
0140 GMT - SD Guthrie's rising diesel and logistics costs could be offset by elevated crude palm oil prices, Public Investment Bank analyst Chong Hoe Leong says in a note. The company is pivoting into industrial land and renewables to diversify its earnings base, he notes. Fertilizer costs, which accounts for 27%-28% of direct costs, are locked in for this year, while diesel risks are higher in Indonesia, he says. Limited direct exposure to the Middle East reduces immediate impact, though prolonged conflict could lift shipping costs, he adds. Chong says about 42% of SD Guthrie's 2026 Malaysian output is locked in at 4,400 ringgit a ton. Public IB maintains an outperform rating on SD Guthrie and keeps the target price at 6.79 ringgit. Shares are unchanged at 5.92 ringgit.(yingxian.wong@wsj.com)
0117 GMT - Most Malaysian banks are likely to deliver dividend yields of at least 4% despite the prolonged Middle East conflict given their stronger fundamentals than in past cycles, Maybank IB analyst Desmond Ch'ng says in a note. During the early 2010s Arab Spring, elevated oil prices didn't derail Malaysia's growth, and banks maintained solid asset quality, he notes. This time, risks stem from potential supply disruptions via the Strait of Hormuz, which could weigh on global growth. Even so, Malaysia's steady GDP, low inflation and improved fiscal position should support resilience, while banks benefit from stronger capital buffers, better asset quality and higher loan loss coverage, he adds. Maybank maintains a positive rating on Malaysian banking sector, and pegs RHB Bank, AMMB Holdings and Public Bank as top buys. (yingxian.wong@wsj.com)
0032 GMT - Japanese stocks are broadly lower as fears about a shortage of energy and petrochemical products persist amid the Middle East conflict. Chip and electronics stocks are leading declines. SoftBank Group is down 8.3%, Renesas Electronics is 6.8% lower and TDK Corp. is down 6.7%. The dollar is at 159.98 yen, compared with Y159.62 as of Friday's Tokyo stock market close. Investors are focusing on developments in Iran and crude oil prices. The Nikkei Stock Average is down 4.5% at 50964.70. (kosaku.narioka@wsj.com; @kosakunarioka)
0023 GMT - Bubs Australia is impressing Shaw & Partners analyst Philip Pepe with its U.S. growth. Pepe tells clients that the infant-formula manufacturer's U.S. distribution reach looks strong given that it only entered the country in 2022. Bubs, which specializes in goat-milk formulas, has been operating on a discretionary basis pending permanent access approval by the U.S. Food and Drug Administration. Pepe reckons this permanent approval should arrive soon. Shaw & Partners keeps a buy rating and A$0.18 target price on the stock, which is flat at A$0.10. (stuart.condie@wsj.com)
0017 GMT - AMP's bull at Citi reckons that the Australian wealth manager's A$150 million share buyback should alleviate some of the concerns that have weighed on its shares since last month's annual result announcement. Analyst Nigel Pittaway thinks that the buyback should provide greater context to AMP's guidance for flat dividends for two years, while reducing the chances of it making a large-scale platform acquisition. Citi keeps a buy rating and A$1.80 target price on the stock despite current global volatility. Shares are up 4.4% at A$1.305. (stuart.condie@wsj.com)
2346 GMT - Japanese stocks may fall due to fears about a shortage of energy and petrochemical products amid the Middle East conflict. Nikkei futures are down 3.6% at 50945 on the SGX. The dollar is at 160.36 yen, compared with Y159.62 as of Friday's Tokyo stock market close. Investors are focusing on developments in Iran and crude oil prices. The Nikkei Stock Average declined 0.4% to 53373.07 on Friday. (kosaku.narioka@wsj.com)
2325 GMT - Judo Capital's bulls at Morgan Stanley think investors are already pricing in a high probability that loan growth slows and losses rise due to a weak Australian economy. Analysts at MS remain more positive, estimating just a 30% chance of this bear scenario, albeit up from 10% previously. Their base scenario for the Australian business lender is that it can deliver strong earnings growth and a double-digit return on equity within two years. This is seen as twice as likely as the bear scenario. MS cuts its target price 14% to A$1.90 but keep an overweight rating on the stock, which is down 7.3% at A$1.34. (stuart.condie@wsj.com)
2322 GMT - Greatland's mineral resource update highlights the continued scale of the Telfer gold deposit, says MA Financial's Paul Hissey. "The inclusion of a maiden resource for West Dome Underground and extensions at Main Dome Underground outline exciting high-grade additions which can serve as a supplement to the base load low-grade open pit," says Hissey. Higher assumed prices also contribute to the upgrade, he says. "We think the inventory will grow as drilling continues in earnest, especially at the underground deposits," Hissey says. He adds that Greatland's tungsten resource at O'Callaghans "may be a useful option" but that it is less significant than the potential held within the miner's gold assets. MA has a sell rating and A$10.10 target on Greatland. Shares ended Friday at A$9.76. (rhiannon.hoyle@wsj.com; @RhiannonHoyle)
2321 GMT - Catapult Sports' trading update supports its continued status as Bell Potter's preferred pick of Australia-listed mid-cap tech stocks. Maintaining a buy rating on the stock, analyst Chris Savage tells clients in a note that the athletic-tech provider's free cash-flow miss isn't a concern, and points to underlying growth and annualized contract revenue as key positives. He acknowledges that earnings may have been slightly softer in 2H than in 1H, but is waiting on May's full-year result announcement before drawing conclusions. Bell Potter trims its target price 2.1% to A$4.75. Shares are down 5.9% at A$3.21. (stuart.condie@wsj.com)
2243 GMT - Australian miners should have enough diesel to bridge a short disruption in fuel supplies, Jefferies says. Miners appear to have roughly 1-3 weeks of diesel on site and about 4-6 weeks of inbound supply visibility, it says. "The more credible and lasting impact is ongoing cost inflation from the rise in diesel pricing, even in a de-escalation scenario," says Jefferies. Elevated diesel prices will drive up costs of everything from contract mining, consumables, reagent freight and contract haulage to export logistics, shipping and mine-site aviation, it says. "Higher costs could be manageable in a positive commodity environment," says Jefferies. "However, a longer conflict and tighter oil markets point to a stagflation squeeze." Jefferies highlights coal and iron ore miners as most at risk given the large volumes they need to move. (rhiannon.hoyle@wsj.com; @RhiannonHoyle)
(END) Dow Jones Newswires
March 29, 2026 22:04 ET (02:04 GMT)
Copyright (c) 2026 Dow Jones & Company, Inc.
Comments