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Market Highlights
Economic Update
Thu, 19 Mar 2026 07:32 am
US FOMC Meeting - Prolonged pause amid fluid global dynamics

• The Fed kept the policy rate at 3.50-3.75%, with Governor Stephen Miran dissenting in favour of a 25-bp cut.
• The dot plot points to only one 25-bp cut in 2026. No member expects a rate hike, while fewer members pencilled in multiple cuts.
• As inflation risks may take precedence over growth concerns, we now expect only one 25-bp Fed rate cut in 2026 (previously two cuts).
• Reduced rate-cut expectations and safe-haven demand should keep the USD supported. We expect USD/MYR to trade within 3.90-4.00 in the near term.
• We maintain our view that the OPR will remain at 2.75% through 2026, supported by a stable domestic inflation outlook.

Market Outlook
Fri, 13 Mar 2026 07:37 am
Market Outlook - GE16: A Pre-Poll Market Boost?

• Early GE16 Possible. Channel checks suggest Malaysia could hold its next general electionas early as 2H2026, earlier than the constitutional deadline in 2028.
• Historically, the FBM KLCI tends to trend modestly higher 3–6 months ahead of elections,although volatility typically increases closer to polling day.
• Strengthening ringgit, encouraging foreign investment inflows, resilient consumption, and the AI-driven E&E upcycle could provide additional support to market sentiment.
• Sector Beneficiaries. Historically, financial and consumer stocks have been the most consistent outperformers in the run-up to Malaysian general elections.
• Our preferred picks are AQUAWALK (BUY, TP: RM0.37) and CCK (BUY, TP: RM1.62).

Economic Update
Thu, 12 Mar 2026 07:50 am
Malaysia Labour Market - Steady outlook but modest headwinds ahead

• The labour market remained stable in January, with the unemployment rate holding at an
11-year low of 2.9%, in line with firm domestic activity.
• Stronger tourism under Visit Malaysia 2026, ongoing policy support and structural shifts
in investment should support hiring momentum and quality job creation.
• Flattish employment growth in January, together with reports of manufacturers reducing
staffing levels, warrants close monitoring in our view.
• While geopolitical tensions in the Middle East pose downside risks to employment in
export-oriented sectors, we expect the impact to remain manageable at this juncture.
• We expect the unemployment rate to average 3.0% in 2026 (2025: 3.0%).

Technical Calls
Stock Research
Derivatives Market Performance
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Market Mover
Settlement Rates
Currency Buy Rates (RM) Sell Rates (RM)
USD 3.904824 3.932412
EUR 4.518520 4.523835
CNY 0.569767 0.570393
HKD 0.498103 0.501644
SGD 3.058844 3.080621
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