By: Kleer This weekly commentary was compiled by DBS Vickers this morning: Stay cautious this week, as the market is likely to continue its downward bias. The play on recent IPO listings has waned while S-chips could suffer more downside amid concerns about margin pressures as investors unwind. The impact of the credit crisis on the corporate earnings of US financial companies will be accessed. Expect financial companies to announce more losses stemming from their exposure to mortgage-related investments. Citigroup releases results on Tuesday, JP Morgan Wednesday and Merrill Lynch on Thursday. The releases of December US PPI and CPI will also shed more light on inflationary pressures given the weakening USD. Trading interest during the past 2 weeks centered narrowly around selective recent IPO listings KTL Global and First Resource as well as crude palm oil (CPO) plays. However, short-term interest among recent IPO plays has waned. Our CPO preferred pick First Resource surged briefly beyond the maximum short-term technical potential of $1.90 (peak of $1.95 or +30% gain) before succumbing to profit taking. We maintain our view that the index should head towards 3000 by the end of 1Q. Read more...