Market Review & Outlook
Malaysia Market Review. FBM KLCI closed at its intraday high yesterday (+0.8%), supported by bargain hunting in heavyweights with a focus on plantation and construction stocks. Similarly, lower liners also ended the day higher. Sector-wise, the Plantation sector (+1.7%) and Construction sector (+1.6%) led the gains, while the Technology sector topped the laggard (-0.5%).
Global Markets Review. The US stock market stumbled on Monday as investors geared up for the US presidential election and the potential Federal Reserve rate cut later this week. Trading was choppy throughout the day. Similarly, European markets were broadly in the red, with the STOXX 600 index closed down by 0.3%, led by drop in technology stocks. Meanwhile, Asian markets were mostly higher as China’s leader began a major meeting expected to bring in major spending initiatives to boost the economy.
Market Outlook. Market sentiment is expected to be subdued as investors wait for the outcome of the US presidential election. Lower liners may remain lackluster as most of the investors stay on the sidelines. Still, the recent pullback is deemed attractive to attract bargain hunting for longer-term investment horizon perspective. Besides the US presidential election on 5 Nov, market will monitor closely the Federal Reserve’s interest rate decision on 7 Nov. The CME FedWatch tool currently shows 99.7% probability of a 25bps cut in the upcoming meeting. The Energy sector may some see buying interest as OPEC+ delayed their planned increase of 180k barrels per day output in December by another month. 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
Plantation group SD Guthrie Bhd has teamed up with property developer AME Elite Consortium Bhd to develop a green industrial park within the Johor-Singapore Special Economic Zone (JS-SEZ).
TGI Fridays Malaysia's operations in the country will continue to operate as usual and remain unaffected by the recent bankruptcy filing of TGI Fridays Inc in the US, says Techna-X Bhd, which owns Craveat International Sdn Bhd — the master franchisee and developer for TGI Fridays Malaysia.
The six-year dispute between Star Media Group Bhd and property developer JAKS Resources Bhd over the development of a parcel of land in Section 13, Petaling Jaya, which started in 2018, has come to an end, with both parties inking an agreement to settle the issue.
Datasonic Group Bhd is buying a 51% stake in Innov8tif Holdings Sdn Bhd from Revenue Group Bhd for RM40 million, cash.
Dayang Enterprise Holdings Bhd has bagged a contract from Shell for the provision of pan-Malaysia offshore maintenance, construction, modification (MCM) and hook-up commissioning (HUC) services.
Carimin Petroleum Bhd said it has secured a five-year contract from Shell for the provision of pan-Malaysia maintenance, construction, modification (MCM), and hook-up and commissioning (HUC) services.
MN Holdings Bhd, an underground utilities and substation engineering specialist, has secured various contracts worth RM315 million since its new financial year started on July 1, 2024, pushing its order book to RM625.8 million.
Builder Tuju Setia Bhd has secured a construction contract worth RM411 million to build serviced apartments and landed residential units in Kelana Jaya for the Sunway Serene 2 development project.
Bina Puri Holdings Bhd has bagged a RM113.3 million contract to build water pipelines under the Serian Regional Phase 2 project in Sarawak.
Newly-listed Elridge Energy Holdings Bhd said it has entered into a deal to supply biomass feedstock to a Japanese trading company for 15 years.
MCE Holdings Bhd, a manufacturer of automotive electronic and mechatronic parts, is partnering with Nanjing Chuhang Technology Co Ltd to exclusively develop, manufacture and market a sensing radar technology for autonomous driving application for global markets, excluding China.
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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 |