Bloomberg reported recently that investors have added a total of RM57.66 billion into seven glove counters – Hartalega, Top Glove, Kossan, Supermax, Careplus, Rubberex and Comfort – since March 1 when the Covid-19 pandemic started in the local market.
On July 6, the turnover of the seven glove stocks alone accounted for 43 per cent, or RM5.07 billion, of total turnover of local bourse — an evident that the demand for glove counters is surging.
From March 1 to July 6, the turnover of RM57.66 billion among the seven stocks represents some 19.04 per cent of the RM300.4 billion turnover on Bursa.
Lately new players have entered the glove manufacturing industry like Anzo Holdings Bhd and AT Systematization Bhd and this is expected to increase the combined daily turnover of the glove counters.
We know that Anzo is not a small player. The company ventured into glove making just recently and it has secured an order worth US$200 million from the United States to start supplying there over a period of 2 to 3 years.
We think Anzo, which has attracted a global fund from Hong Kong or China as well as some retail and institutional funds is expected to get a bigger contract from the United States.
The number of known coronavirus cases globally passed 12 million on Thursday, according to the Johns Hopkins University tracker, which relies on official government data.
There have been 548,799 deaths so far and 12,007,327 cases.
The US, which passed 3 million cases on Thursday, accounts for third of all cases and just under one in four deaths.
The stock is trading at a new high this month exceeding 20 sen. It is expected to hit limit-up this week and has in fact jumped by more than 20 since last month when it was trading around 4 to 5 sen.
Anzo has been one of the most active stocks on Bursa with volumes moving in the range of 150 million to 400 million.