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Market sentiment still wobbly
Tue, 15-Oct-2024 07:50 am
by Research Team • Apex Research

Market Review & Outlook 

  • Malaysia Market Review. The FBM KLCI closed higher (+0.2%) on Monday, staying in positive territory at the close despite paring its intraday gains. Sector wise, the Telecommunications & Media sector (+0.9%) attracted highest buying interest, while the Technology sector (-1.2%) topped the laggards.

     

  • Global Markets Review. The US stock markets saw all three major indices move in a positive direction as investors focused on key economic data and corporate earnings later in the week. In Europe, the stock market was uniformly positive, continuing gains seen last week. The Asian markets moved largely in a positive direction while currencies lost momentum on Monday, as investors assessed China’s underwhelming stimulus steps. Japan’s Nikkei 225 climbed +0.6%, while South Korea’s Kospi rose by +1.0%. The SSE rose by a sharp 2.1% while the HSI fell by -0.8%.

                                                    

  • Market Outlook. We expect a potential recovery to take place today over at the FBM KLCI, taking cue from the positive developments on Wall Street on Monday as we approach the tabling of Budget 2025. Meanwhile, the lower liners may remain onto the consolidation mode amid the absence of fresh leads with trading activities simmered. Investors will continue keeping an eye on US performance this week, with the release of key economic data a core indicator of interest rate movements as determined by the Fed. The Middle East tension continue to escalate, keeping traders on edge. The on-going corporate earnings releases in the US will be in focus. We expect the Consumer sector to be buoyed by the potential deferment of RON95 subsidy rationalisation.

     

FBM KLCI Technical Review & Outlook

  • Technical Commentary: The FBM KLCI started off the week on a slightly upbeat manner to climb marginally higher as the key index treaded around the middle Bollinger Band yesterday. Indicators stayed negative as MACD hovered below the Signal Line, while the RSI lingered below 50. Immediate resistance is located at 1,675. Support is envisaged around 1,600.

     

Company News (source: various)

  • Fibromat Bhd, which provides geotechnical services and makes erosion-control products, has filed for an initial public offering (IPO) as part of its listing transfer to the Ace Market of Bursa Malaysia, from the Leap Market.

 

  • SPB Development Bhd, a real estate developer, filed for an initial public offering (IPO) on the Main Market of Bursa Malaysia to raise funds to acquire more land and finance existing projects.

 

  • Telecommunications firm Reach Ten Holdings Bhd filed for an initial public offering (IPO) on the Main Market to raise funds for expansion and build more towers.

 

  • Mr DIY Group (M) Bhd's largest shareholder, Bee Family Ltd, offloaded 71.7 million shares, representing a 0.76% stake in the home improvement retailer, for a total of RM149.37 million.

 

  • Fajarbaru Builder Group Bhd said on Monday that it will pay Penang Development Corp (PDC) RM111.45 million to undertake a joint development of a medical city and mixed development hub in Bandar Cassia, Batu Kawan.

 

  • Property developer Tanco Holdings Bhd said it is forming an 80:20 joint venture with Menteri Besar Negeri Sembilan (Inc) (MBINS) to develop an industrial park in Port Dickson.

 

  • Hibiscus Petroleum Bhd has completed its acquisition of TotalEnergies EP (Brunei) BV, marking its venture into Brunei’s gas sector.

 

  • ACE Market-listed Critical Holdings Bhd said it has bagged a RM62.5 million contract from IJM Corp Bhd to provide mechanical and electrical services for a semiconductor plant in mainland Penang.

 

  • Digital health firm UCrest Bhd said it has entered into a deal to provide artificial intelligence (AI)-powered digital transformation for a Singapore-listed healthcare group.

 

  • Pan Malaysia Holdings Bhd, now trading under the name of Exsim Hospitality Bhd, has secured a RM47.4 million subcontract to provide interior design fit-out works to guest rooms at an office property in Damansara Perdana.

     

Sentiment: Positive
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Market Mover
Settlement Rates
Currency Buy Rates (RM) Sell Rates (RM)
USD 4.280309 4.314204
EUR 4.691762 4.700774
CNY 0.605908 0.606536
HKD 0.551176 0.555582
SGD 3.275615 3.301851