Market Review & Outlook
Malaysia Market Review. The FBM KLCI (+0.2%) started off the week on a slight positive note, taking cue from the Wall Street’s positive development on last Friday. The lower liners finished mixed, while the Energy sector (+1.5%) outperformed on higher crude oil prices that was lifted by the escalating geopolitical tension in the Middle East.
Global Markets Review. Wall Street closed mixed as the Dow (+0.2%) advanced with investors continue to cheer onto the prospects of interest rate cut, but the S&P 500 and Nasdaq shed -0.3% and -0.9% respectively on weakness in technology stocks. European stock markets ended mixed, while Asia stock markets finished mostly on a positive note.
Market Outlook. While the local bourse delivered a positive stance yesterday, gains were relatively measured as sentiment remained cautious following the recent volatility. While we expect the FBM KLCI may attempt to build onto yesterday’s gains over the foreseeable future, geopolitical uncertainties in the Middle East may cap any larger potential strides. The lower liners may undertake a consolidation spell as investors assess the on-going flurry of corporate earnings releases. Economic wise, investors will be keeping a close watch onto US consumer confidence data later tonight. The escalating geopolitical tension in the Middle East and Libya’s closure of all oilfields which lifted Brent oil prices above US$80/bbl may trigger greater trading interest within energy sector. We also expect the plantation sector to trade in a positive note after Indonesia President Prabowo Subianto aims to implement mandatory 50% palm oil-based biodiesel by early-2025.
FBM KLCI Technical Review & Outlook
Technical Commentary: The FBM KLCI formed a doji candle as the key index extended its term consolidation pattern above the 1,600 pts. Indicators remained positive as the MACD Line trended above the zero level, while the RSI hovered above 50. Immediate resistance is located at 1,680. Support is envisaged around 1,600.
Company News
Telekom Malaysia Bhd’s net profit for 2QFY2024 fell 30.3% to RM396.4 million from RM568.7 million a year ago, primarily due to a one-time recognition of tax losses in the previous year.
Hong Leong Industries Bhd’s net profit rose to RM387.89 million in the financial year ended June 30, 2024 (FY2024), up from RM290.61 million in FY2023, due to a sales mix of higher-margin motorcycle models
Tropicana Corp Bhd has inked a sale and purchase agreement (SPA) with NTT Global Data Centers Holding Asia Pte Ltd to dispose of a parcel of land in Gelang Patah, Johor — measuring 68.457 acres — for RM383.13 million.
T7 Global Bhd has secured a RM74.6 million contract from the Ministry of Defence (Mindef) to supply, deliver, test, and commission airfield surveillance radar systems, communication systems and related air traffic management equipment to the Royal Malaysian Air Force.
Velesto Energy Bhd has completed the periodic inspection of its Naga 2 rig under what is called its Mandatory Five Yearly Special Periodical Survey (SPS) programme and that the rig will be heading to Sarawak soon.
TIME dotCom Bhd’s net profit in 2QFY2024 fell to RM99.05 million from RM2.26 billion a year ago, in the absence of gains from the divestment of its stake in AIMS data centre business last year.
Hap Seng Plantations Holdings Bhd’s net profit almost tripled to RM27.67 million for 2QFY2024 from RM9.42 million a year ago, driven by higher average selling price of all palm products, higher sales volume of crude palm oil (CPO) and lower operating expenses.
Guan Chong Bhd’s net profit for 2QFY2024 surged more than twofold to RM67 million from RM28.13 million a year earlier, driven by higher selling price for cocoa products and increased sales volume for cocoa solids.
Bank Islam Malaysia Bhd made a net profit of RM137.17 million for 2QFY2024, little changed from the RM136.14 million it made in the same quarter last year.
Berjaya Land Bhd reported a net loss of RM79.91 million for 4QFY2024, compared to a net profit of RM51.91 million a year earlier, amid higher operating costs incurred by its business segments and associated companies.
Ajinomoto (Malaysia) Bhd's net profit jumped 54.99% to RM18.93 million in 1QFY2025 from RM12.21 million a year before, as revenue and finance income climbed.
SKP Resources Bhd reported a 31.3% increase in its net profit to RM28.34 million for the first quarter ended June 30, 2024 (1QFY2025), from RM21.59 million a year ago, on better cost optimisation and higher sales performance.
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Currency | Buy Rates (RM) | Sell Rates (RM) |
---|---|---|
USD | 4.449264 | 4.480081 |
EUR | 4.653002 | 4.657428 |
CNY | 0.611489 | 0.612097 |
HKD | 0.571899 | 0.576406 |
SGD | 3.300709 | 3.323891 |