The latest Market Talks covering Equities. Published exclusively on Dow Jones Newswires throughout the day.
0218 GMT - The Malaysian oil and gas sector's earnings are likely to be supported by higher oil prices in the near term, RHB Research analyst Lee Yun Leon says in a report. Oil prices have surged amid the Middle East conflict. "While we expect prices to moderate over time, supply restoration is unlikely to be immediate, given restart lags and logistical constraints," the analyst says. RHB upgrades its rating on the sector to overweight from neutral, naming Dialog Group and MISC as its top picks.(amanda.lee@wsj.com)
0211 GMT - Thailand's beverage sector 1H earnings are likely to drop on year, says UOB Kay Hian's Tanapon Cholkadidamrongkul in a note. The analyst identifies Carabao Group as the main laggard, as its international sales are plummeting while it faces an intense price war and increasing energy and freight costs. Its peer Osotspa could post a more upbeat performance as it was able to hedge its raw material costs and has a lower exposure to global markets than Carabao, he adds. UOB Kay Hian starts coverage of Carabao with a hold rating and 42.00 baht target price. It also initiates coverage of Osotspa with a buy rating and 20.00 baht target price. Carabao shares last closed at 38.00 baht while Osotspa shares last closed at 15.10 baht. (megan.cheah@wsj.com)
0206 GMT - Asian equity flows were generally positive with sentiment in the Nikkei moving into mildly bullish territory, says Citi analyst David T. Chew. Gains in the Nikkei were driven by new long positions, lifting net exposure and contributing to positive profit and loss, compared with South Korea's Kospi, which improved following a short squeeze but remains net P&L negative. China A50 positioning turned slightly positive, while Hang Seng remains the region's most bearish market, as new shorts offset earlier short covering, Chew says. (venkat.pr@wsj.com)
0203 GMT - China's credit demand still faces pressure, according to BofA Securities economists in a research note. March credit data suggest households and firms remain cautious on new lending. Geopolitical tensions in the Middle East also adds uncertainty, they note. "While we expect manufacturing and infrastructure investment demand to strengthen on the back of resilient exports and continued support from policy financing tools, credit demand still remains weak," they say. In addition, improved secondary home sales in tier-1 cities, especially Shanghai, haven't boosted broader property activity or mortgage demand yet, they say. (tracy.qu@wsj.com)
0201 GMT - LG Chem's cathode shipments could fall sharply in 2026, weighing on earnings amid weak electric-vehicle battery demand, say Nomura's Cindy Park and Dongmin Lee. The analysts now project a 230-billion-won net loss for the South Korean chemical company this year, reversing their earlier profit forecast of 648 billion won. They expect LG Chem's 2026 cathode shipments to be less than half of the levels seen in 2024. Nomura values LG's advanced-material segment, including its cathode unit, at 5.4 trillion won, down from 6.5 trillion won previously. Nomura also lowers the value of LG's battery business to 46.9 trillion won from an earlier estimate of 48.3 trillion won. (kwanwoo.jun@wsj.com)
0055 GMT - Santos is Citi's top pick in Australian energy if Mideast tensions ease soon. But the bank would switch to Woodside Energy if the conflict drags on. That's because Woodside has higher leverage to volatility through its trading and marketing business, Citi says. Woodside also has upside from its exposure to the Japan Korea Marker, a benchmark price of liquefied natural gas in Asia. Analyst Tom Wallington highlights the potential earnings boost for Woodside from a long-term gas sale and purchase contract with Perdaman, where a component of the selling price is linked to the price of urea. "Woodside's exposure provides greater optionality in a dislocated energy market particularly as it looks to sell-down equity interest in Louisiana LNG," Citi adds, referring to its U.S. LNG export development. (david.winning@wsj.com; @dwinningWSJ)
0035 GMT - Higher freight and logistics costs experienced by A2 Milk will likely continue into FY 2027, says Morgans. Still, the infant milk formula supplier's profit growth should accelerate in FY 2027, analyst Belinda Moore says. That's because its supply chain investment should ensure it breaks even in terms of Ebitda, compared to a large loss before. "In addition, we forecast A2 Milk to continue to win market share, benefit from new product launches and the scaling of new regions," Morgans says. It upgrades A2 Milk to accumulate, from hold, after the stock was sold off in the wake of yesterday's downgrade to FY 2026 profit and revenue guidance. (david.winning@wsj.com; @dwinningWSJ)
0031 GMT - The bar for Monash IVF's board to reject a revised offer from Genesis Capital Investment and Washington H. Soul Pattinson is higher than when it knocked back the consortium's first bid in November, says Morgans. The consortium's new offer is worth A$0.90/share in cash, up from A$0.80/share proposed before. Analyst Emily Porter says Monash IVF is operating in a challenging macro environment. It's facing soft industry cycle volumes, ongoing reputational headwinds from incidents involving embryos and declining net profit. "Against that backdrop, despite a discount to comparable IVF transactions, we think the offer is compelling for shareholders," Morgans says.(david.winning@wsj.com; @dwinningWSJ)
0022 GMT - Japanese stocks are higher following overnight gains on Wall Street even as caution continues over the Middle East conflict. Chip and metals stocks are leading gains. Kioxia Holdings is up 14%, Advantest is 7.0% higher and JX Advanced Metals is up 6.1%. Investors are closely watching developments in the Middle East after U.S. military forces began blockading maritime traffic attempting to enter and leave Iranian ports. The dollar is at 159.16 yen, compared with Y159.67 as of Monday's Tokyo stock market close. The Nikkei Stock Average is up 2.2% at 57730.50. (kosaku.narioka@wsj.com; @kosakunarioka)
0019 GMT - Santos's 1Q performance was likely mixed, Macquarie reckons. Santos has already outlined delays at the Barossa natural-gas project offshore Australia and at its Pikka Phase 1 project in Alaska. Macquarie estimates 1Q output of 23.2 million barrels of oil equivalent. That's below consensus hopes of 24.0 million barrels. "We expect to see revenues relatively flat versus the prior quarter [4Q of 2025], with sequential step-up in each quarter through 2026 [driven by lagged oil prices and volume growth contribution through the year as Barossa and Pikka ramp]," Macquarie says. It retains an outperform call on Santos, which is its top pick among large-cap Australian energy companies.(david.winning@wsj.com; @dwinningWSJ)
0020 GMT - Korean Air Lines could post weaker-than-expected 2026 earnings despite a strong 1Q performance, say Samsung Securities' Kim Young-ho and Choi Seung-hwan. Higher jet-fuel costs amid the war in Iran and a weaker won against the U.S. dollar could erode the South Korean flag carrier's annual profit, the analysts write in a note. They expect Korean Air's operating profit to reach 906 billion won in 2026, 44% below their previous estimate and down 19% from a year earlier. They slash their earnings-per-share for Korean Air by 88% to 321 won this year. (kwanwoo.jun@wsj.com)
0011 GMT - The track record of A2 Milk's management should allow a degree of trust in the aftermath of its downgrade to annual sales and earnings guidance, Macquarie says. It describes A2 Milk being hit by "a perfect storm" of strong demand and supply issues. A2 Milk no longer expects to beat the net profit achieved in FY 2025 when measured on a continuing-operations basis. It also now expects annual revenue growth of low to mid double-digit percent, weaker than forecast before. "We believe management's recent track record provides credibility in the temporary nature of the downgrade, with a tough call made to pay air freight to mitigate further stock-out and brand risk, and continue to reinvest in growth," Macquarie says. It retains an outperform call on A2 Milk. (david.winning@wsj.com; @dwinningWSJ)
(END) Dow Jones Newswires
April 13, 2026 22:18 ET (02:18 GMT)
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