Reports yesterday has just confirmed that Macau’s gambling revenue in December had surged 66% from a year earlier, capping a year in which the territory’s revenue from casino gambling soared 58%. This result is well above initial forecast made by both analyst and officials in 2010.

This huge increase in revenue came despite Beijing and Macau officials urging the city to diversify its economy dependence on gambling and apparent efforts by the government to tame the industry growth.

The Asia gambling industry seems like an unstoppable train and is set to growth further in 2011.

We are already long LVS and SJM Holdings Limited (HK:0880) and will continue to constantly monitor their respective price movements. As of now, the Macau government seems to be putting a stop to granting any further sites in Cotai area for development by Casinos, as seen by them rejecting both Sands China and SJM Holdings ...