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Thu, 03-Oct-2024 07:38 am
by Research Team • Apex Research

Market Review & Outlook       

  • Malaysia Market Review. The FBM KLCI fell by -1.0%, mirroring the weak Wall Street's performance as geopolitical tensions in the Middle East weighed on investor sentiment. Lower liners also closed in the negative, with all sectors ending in red except for the Energy sector, which gained +1.0% that was spurred by the rebound in oil prices. Meanwhile, the Property (-1.7%) and Industrial (-1.6%) sectors led the losers for the day.

 

  • Global Markets Review. US stock markets ended slightly higher, with all three major indices closing marginally in the green, supported by a better-than-expected ADP payroll report. However, gains were capped by ongoing tensions in the Middle East. European markets closed mixed, while ASEAN markets also saw mixed performances, despite a continued strong surge in the Hang Seng Index.

 

  • Market Outlook. We expect the local bourse to remain relatively quiet today, despite the positive US labor data, as negative sentiment from the ongoing Middle East tensions may continue to weigh onto sentiment, with investors likely avoiding riskier assets. Focus will remain on key US economic data this week, including the manufacturing PMI, jobless claims, and unemployment figures, which will offer better insights into the US economic outlook. Funds may rotate into the Energy sector amidst the Middle East turmoil and rising oil prices driven by supply concerns. Meanwhile, data center-related counters could attract interest following Oracle's investment news in the country. The slight recovery of the USD against the MYR, due to the positive ADP payroll data, may provide some relief to export-oriented Technology stocks.

     

FBM KLCI Technical Review & Outlook

 

  • Technical Commentary: The FBM KLCI formed a gap down to extend its pullback as the key index closed at the SMA50 level yesterday. Indicators remained negative as MACD hovered below the Signal Line, while the RSI ticked below 50. Immediate resistance is located at 1,700. Support is envisaged around 1,635.

 

Company News 

  • Sunway Bhd plans to buy a 17.58-acre (7.11-hectare) prime land in Taman Taynton, Kuala Lumpur, for RM320 million, earmarking it for mixed-use development. 

 

  • Samaiden Group Bhd has bagged a RM39.17 million contract to undertake a 10-megawatt LSS PV power plant in Bahau, Negeri Sembilan, in a related-party transaction.

 

  • Econpile Holdings Bhd has secured two contracts from Sg Besi Construction Sdn Bhd, totalling RM33.3 million.

 

  • Sin-Kung Logistics Bhd is diversifying into private jet charter and air freight cargo services with the acquisition of loss-making Prima Air Sdn Bhd for RM20.7 million cash.

 

  • MMAG Holdings Bhd has been classified as a Guidance Note 3 (GN3) company after its external auditor, Grant Thornton Malaysia PLT, flagged material uncertainty in the company's audited financial statements.

 

  • Pertama Digital Bhd fell to their lowest in close to two years, prompting Bursa Securities to suspend the counter’s IDSS.

 

  • Bank Islam Malaysia Bhd has issued the second tranche amounting to RM250 million under its RM5 billion sukuk wakalah programme. 

Sentiment: Negative
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Market Mover
Settlement Rates
Currency Buy Rates (RM) Sell Rates (RM)
USD 4.264979 4.298658
EUR 4.691027 4.700048
CNY 0.605014 0.605686
HKD 0.548687 0.553098
SGD 3.270511 3.296626