Olam (O32.SG) +4.1% at $3.03 in active trade as increase in shareholding by Capital Group Companies further fuels interest in shares, already +4.3% since start of this week, says Dow Jones.

According to SGX filing, Capital Group boosted stake in commodities trader to 5.2732% from 4.8886% earlier this week via purchase in open market. “You might say some people are following the smart money,” says local house trader.

Sentiment also driven by expectations Olam will continue to benefit from rising food prices, with earnings visibility backed by contributions from slew of past acquisitions.

Stock +15.9% since release of June-quarter results on Aug 26, with earnings excluding exceptional items +76.8% on-year at $101.5 million. Shares likely to close above S$3.00 for first time since June 2008, with resistance at $3.19 (May 30 high).