Opening Daily Highlight
Local
Defending 1,600 supported by CPO prices
Mon, 04-Nov-2024 07:01 am
by Research Team • Apex Research

Market Review & Outlook 

  • Malaysia Market Review. FBM KLCI closed marginally higher by 0.1% on Friday, supported by buying interest in plantation stocks following the surge in crude palm oil (CPO) prices. This is despite the regional downturn following the sharp decline on Wall Street on Thursday night driven by big tech. Lower liners were mixed. Sector-wise, the Plantation sector led the gain (+2.8%) while the Construction sector topped the laggard (-1.4%).

 

  • Global Markets Review. The US stock market rebounded on last Friday as Amazon led the gains following the stronger-than-expected results and traders shook off a disappointing jobs report. Investors did not react to the jobs figure as they believe the dismal data was affected by hurricanes and a Boeing strike. Similarly, European markets jumped higher. The STOXX 600 index gained 1.1% on Friday as banks led the overall market rebound. Asian markets mostly ended lower, mirroring the overnight plunge on Wall Street. China markets were the exception in Asia, with the Hang Seng index up 0.9%.

 

  • Market Outlook. Market sentiment is expected to remain subdued as investors wait for the outcome of the US presidential election later this week. Meanwhile, lower liners may remain lackluster as most of the investors stay on the sidelines. Other than the US presidential election, market will monitor closely the Federal Reserve’s interest rate decision on 7 Nov. The CME FedWatch tool currently shows 98.9% probability of a 25bps cut in the upcoming meeting. The Plantation sector may see some profit taking following a surge last Friday. Volatility in the market may persist until the election outcome.

 

FBM KLCI Technical Review & Outlook

  • Technical Commentary: The FBM KLCI formed a bullish candle to rebound off SMA200 and consequently defended the 1,600 psychological level. Indicators, however, remained negative as MACD Line hovered below the Signal Line, while the RSI treaded below 50. Immediate resistance is located at 1,645. Support is envisaged around 1,600, followed by 1,580.

 

Company News 

  • Gamuda Bhd has secured a RM451.4 million contract to build a data centre in Cyberjaya. 

     

  • Parkwood Holdings Bhd, via its wholly-owned subsidiary Parkwood Templers Sdn Bhd, has acquired five parcels of freehold land in Rawang, totalling 32.3 acres (13.1ha), for RM30.9 million. 

     

  • YNH Property Bhd's external auditor has cast doubt on the property developer’s financial statements for the financial year ended June 30, 2024 (FY2024), citing insufficient evidence for certain ventures and contracts. 

     

  • Rexit Bhd has appointed a unit of LGMS Bhd as an independent cybersecurity audit firm to reaffirm the company’s data security against breaches. 

     

  • Techna-X Bhd now has until Nov 7 to submit its outstanding annual report for the financial period ended June 30, 2024, failing which the trading of its securities will be suspended the following day.

     

  • RGT Bhd said it is buying two leasehold industrial plots for RM16.8 million, located in Simpang Ampat, Penang, to set up dedicated assembly and production lines for new customers and to enhance its production efficiency. 

     

  • Bumi Armada Bhd has secured a £50 million (about RM283 million) contract to provide a flare gas recovery system in the UK’s North Sea. Its wholly-owned Bumi Armada UK Ltd signed a four-year engineering, procurement, construction, installation, and modification agreement with EnQuest Heather Ltd on Oct 29 for the job. 

     

  • Kimlun Corp Bhd has secured a RM128.52 million contract to upgrade a portion of the Senai-Desaru Expressway, following a tender.

     

  • Pintaras Jaya Bhd has secured two piling contracts in Singapore worth about RM175 million. 

     

  • MMAG Holdings Bhd announced that its aviation arm MMAG Aviation Consortium Sdn Bhd (MAC) has received regulatory approval to operate a leasing business in Labuan.

Sentiment: Positive
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Market Mover
Settlement Rates
Currency Buy Rates (RM) Sell Rates (RM)
USD 4.436869 4.470612
EUR 4.675505 4.679374
CNY 0.611103 0.611560
HKD 0.570272 0.574102
SGD 3.296965 3.319254