☕️ MCO 2.0 costs RM600 million daily

South African Covid-19 variant 50% more contagious. Warren Buffett's 16 quotes (mostly, if not all negative) on cryptocurrency. PUBG game creator gunning for a multi billion dollars IPO.

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1. MARKET SUMMARY


2. NUMBERS AT A GLANCE

85% of professionals in Malaysia prioritise remote working options post pandemic. (n = 9,000 people)

RM710 million worth of bonds and sukuk to fund purchase of house financing, housing loans and industrial hire purchases.

58% of Malaysians plan to buy car within the next 6 months. Some auto counters to keep an eye on perhaps — BAUTO, DRB-HICOM, UMW, MBMR

RM177.3 million - the price of Royale Chulan Bukit Bintang Hotel, sold to Singapore-listed Hotel Royal Ltd.


3. COVID-19 SUMMARY


4. IN MALAYSIA 🇲🇾

  1. Kudos to the police force for two major drug busts in the past week. RM201 million illegal narcotics were seized in Johor Bahru and 15 suspects were arrested. Up north in Penang, two men were arrested with RM472.5k worth of syabu in a boat.

  2. In a landmark decision, The Federal Court has ruled that booking fee payment date instead of SPA signing date should be used to calculate the payment due from developers for late delivery of houses.

  3. UOB KayHian highlights three thematic plays for 2021’s local bourse, namely laggards, dividend and cheap stocks with strong earnings momentum. The investment house’s top picks are Astro, GenM, Globetronics, Hap Seng Plantations, MyEG, and Sunway.

  4. RHB IB revised Malaysia's 2021 GDP forecast from 6.3% to 5.4% due to MCO2.0, as the investment house’s economists expects the MCO to last four weeks instead of two. Private consumption is the most impacted by the restrictions.

  5. Beginning 22nd of January 2021, the whole country will be placed under MCO except for Sarawak. Meanwhile, 118 workers at Pasar Borong KL tested positive for Covid-19. Health DG Tan Sri Dr Noor Hisham Abdullah highlighted nine new clusters. Total active clusters now up to 305.

  6. Finance Minister Tengku Datuk Seri Zafrul Aziz expects the MCO2.0 to cost RM600 million daily, lower than the MCO back in March to May 2020 which cost RM2.4 billion daily. If our current MCO lasts for two weeks, it’ll cost RM8.4 billion in total.

    Stay safe and practice the SOP. The sooner we get over this wave, the sooner the economy can recover from it!


5. AROUND THE WORLD 🌎

  1. President Trump is reportedly going on a pardon-spree with plans to issue up to 100 pardons and commutations during his last final day in office. Although the identities are not known, it is believed that these people that are to receive these pardons and commutations are people that Trump expects to benefit from in the future.

    There were speculations too that Trump might issue preemptive pardons for allies and himself. Preemptive pardons would cover actions that have taken place but have not resulted in any criminal charges. 

  2. With the crypto space entering a bull market, here are Warren Buffett’s 16 quotes on crypto. Clearly, nothing nice he said about crypto. Time will tell whether this legendary value investor turns out to be right or wrong. 

  3. According to a study in England based on a sample of 47,780 people who were hospitalised due to Covid-19, close to 30% of them were readmitted within 5 months after being discharged 12.3% died. 

  4. The new South African Covid-19 variant, first identified in Oct 2020 is found to be 50% more contagious than the original variant. The virus spreads 50% faster than predicted by model. It took 107 days to reach 100,000 cases  in the first wave, but only 54 days to hit the same benchmark in the second wave. 

    South Africa has more than 1.3 million confirmed infections, highest amongst African nations, with 37,000 people dying from it.

  5. The South Korean gaming studio behind ‘PlayerUnknown’s Battleground’ (PUBG), Krafton inc, is planning for an IPO in second half of 2021, which might value it as high as USD27 billion. PUBG was launched in Dec 2017, raking in USD100 million within 13 weeks of its release. 

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