KUALA LUMPUR: The stock market consolidated on May 13 after a volatile session with blue chips holding up, especially plantations due to high crude palm oil (CPO) futures which rose to a nine-month high of RM2,735.

Plantations would continue to draw investors’ interest following the firm fundamentals supporting the CPO prices. As it is, most efficient plantation companies are making money with CPO at RM1,200 but the current dry weather could affect production.

Oil and gas would continue to attract attention with oil at nearly US$60 per barrel as investors pin their hopes on a global economic recovery to fuel demand.

But investors should also be on alert for negative news as most of the Malaysian companies have yet to announce their results.

The weak overnight close on Wall Street after a gloomy retail sales report revived recent anxiety about the economy's struggle, would weigh on sentiment in Asia markets.

Meanwhile, stocks to watch include Perwaja, Mudajaya, Berjaya Land, Berjaya Sports Toto and Scomi Engineering.

Perwaja Holdings has been ordered by Petroliam Nasional Bhd to pay RM85.79 million over the supply of natural gas following a dispute.

Mudajaya Group’s associate RKM Powergen Private Ltdhas entered into another power purchase agreement with PTC India Ltd to supply of 700 MW round-the-clock contracted power output for 12 years.

PTC shall pay RKM a yearly average tariff rate of 21.4 sen per kilowatt hour (kWh) for the power supply on a "take or pay" basis.

Malaysian Rating Corporation affirmed its ‘A’ rating on Berjaya Land Bhd’s (BLand) Secured Exchangeable Bonds, of which RM882.0 million remains outstanding currently.

However, investors should also be aware MARC revised the outlook to developing from stable reflecting increased uncertainty posed by the exchangeable bonds’ approaching put option date of Aug 15, 2009 and corresponding liquidity implications.

In SAAG, Global Emerging Markets Specialist Capital disposed of 10 million shares of SAAG Consolidated (M) Bhd on May 4 and 5, reduced its stake to 66.85 million shares or 9.35%.

In Scomi Engineering, its posted RM17.71 million net profit for the first quarter ended March 31 from RM8.15 million a year ago. Revenue rose to RM126.66 million from RM96.67 million.

The Edge FinancialDaily reported India’s Karnataka state government had accepted a proposal by Geodesic Techniques Pvt Ltd, in which Scomi Engineering is the technology partner, to firm up a financial proposal for a concession to build a 59-km monorail in Bangalore. The value for the monorail project is US$2.4 billion.