Opening Daily Highlight
Local
Extended Pullback
Fri, 26-Jul-2024 08:13 am
by Research Team • Apex Research

• Malaysia Market Review. The FBM KLCI (-0.4%) marched lower, spooked by the renewed volatility on Wall Street overnight with half of the key index components closed in red with the selected utilities and telco giants underperformed. The lower liners also retreated, while Construction sector (-2.2%) took the worst hit. 

• Global Markets Review. Wall Street turned wobbly downbeat as the Dow (+0.2%) managed to defend its intraday gains, but the S&P 500 (-0.5%) and Nasdaq (-0.9%) faltered on an extended weakness in technology stocks. European stock markets ended mostly lower, while Asia stock markets were splashed in red. 

• Market Outlook. Yesterday’s weakness was largely in tandem with the negative performance across regional markets. Looking ahead, we expect the downward bias tone may persist with the 1,600 pts in focus. Cautiousness prevails ahead of the release of US personal consumption expenditure and consumer sentiment data later tonight may provide guidance over the timing of potential interest rate cut. For now, any potential gains are expected to be limited by the absence of fresh catalysts. We remain defensive, favouring the REIT sector amid the unabated volatility. We also uphold our view that the technology sector may underperform, taking cue from the weakness on Nasdaq overnight.

Sentiment: Negative
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Market Mover
Settlement Rates
Currency Buy Rates (RM) Sell Rates (RM)
USD 4.293336 4.333362
EUR 4.677568 4.688781
CNY 0.603165 0.604645
HKD 0.552517 0.557193
SGD 3.268549 3.296239