For those who are unaware, we will be launching our very own web portal, www.sharesinvestment.com, on 26 May 2008. Although anyone can freely access the aforesaid website, only those who subscribe to Shares Investment (Singapore) will get to enjoy additional features, including a forum to interact with fellow investors, a stock watchlist and live market news from Dow Jones Newswires.

Onto the stock market. After recouping lost ground during the early part of the past fortnight, the STI turned south, as oil prices continued to march towards the US$135 per barrel mark, prompted by a surprise drawdown in US crude oil inventories and a weaker US dollar.

Speculations that China would require a larger amount of oil for rebuilding of the Sichuan province, which was severely damaged by a recent earthquake, and ongoing tensions in the Middle East also contributed to the spike in the price of black gold. While the Sichuan earthquake is expected to have minimal impact on China’s economy, certain Singapore-listed companies, such as Wilmar Int’l and Synear Food Hldgs, have temporarily suspended production in their factories situated in the troubled area.

Meanwhile, the US Federal Reserve has slashed its US economic forecast for 2008 and signaled that mounting concerns over inflation would make further interest rate cuts unlikely.

In the face of escalating commodity prices and a looming slowdown in the US, investors might want to look for companies that deliver stable earnings to buttress their portfolio. A fine example would be Pacific Healthcare Hldgs, our cover story this issue. Operating in an industry that is deemed defensive by most people, the company has been rather occupied of late with its regional expansion plans.

We also take a closer peek at China XLX Fertiliser, which is primarily engaged in the production and sale of urea, compound fertiliser and methanol in the PRC. Although the company is currently trading at 24% premium over its $0.77 IPO price, it is still miles away from its all-time peak of $1.50. Will the company be able to regain past glory anytime soon?