Opening Daily Highlight
Mixed
Ending The Week On Volatile Manner
Fri, 11-Apr-2025 07:12 am
by Research Team • Apex Research

Market Review & Outlook

Malaysia Market Review: Trump's tariff pause triggered a sharp recovery in the FBM KLCI (+4.5%) as investors snap up most of the oversold stocks. Market sentiment was largely positive, with Technology sector post a significant jump of 11.5% recovery and followed by Energy sector (+7.7%) following the rebound in crude oil prices.

Global Markets Review: Wall Street’s recovery took a pause on Thursday, reversing some of Wednesday's gains, weighed by concerns over high China tariffs. The S&P 500 (-3.4%), Dow Jones (-2.5%), and Nasdaq (-4.3%) all pared some of previous gains, with tech stocks leading the decline. However, European markets surged broadly, with the STOXX600 (+3.7%) rising across all sectors, reacting positively to Trump's temporary tariff reversal. Meanwhile, Asian markets also saw significant gains, with the Nikkei 225 soaring 9.1%, followed by the HSI (+2.06%), KOSPI (+6.6%), CSI 300 (+1.31%), and Shanghai Composite (+1.16%).

Market Outlook: We believe profit taking activities may seep into the market following the sharp fall in Wall Street. The underlying concerns over tariffs implications may continue to weigh onto investors mind, particularly the Technology sector which has demonstrated an impressive rebound yesterday. We reckon investors may stay cautious as the market could experience volatility throughout the day as uncertainties prevails. On a brighter note, foreign funds have turned net buying position for the first time in 38 trading days as the aforementioned players also scrambled to bargain hunt onto beaten down stocks. Meanwhile, investors will be closely monitoring the release of the US PPI data later tonight which may provide clearer signals over the current US economy. Back home, several key economic data such as retail sales, unemployment rate and industrial production data will be in focus.

Sector focus. Following Wall Street's weakness, a pullback could be on the table. We suggest reducing exposure in sectors that have delivered substantial gains yesterday such as the Technology sector. Amid global uncertainties, we favour defensive stocks like REITs, Utilities, and Healthcare for the time being.

 

FBMKLCI Technical Outlook

Technical Commentary: The FBM KLCI formed a gap up to close sharply higher and recovered all its past two sessions of losses. Indicators, however, remained negative with the MACD Line hovered below the Signal Line, while the RSI recovered from the oversold territory. A potential mild pullback may be on the cards today. Immediate resistance is located at 1,470. Support is envisaged around 1,400.

 

Company News

Chin Hin Group Bhd secured RM307.0m financing from AmBank for property and infrastructure projects in Klang Valley, Sabah, and Sarawak.

HeiTech Padu Bhd signed MOUs with Huawei/MyEG for smart government AI cloud services and with Maiyue Technology for AI computing power cloud services.

MSM Malaysia Holdings Bhd is being sued by Ranhill Water Technologies for RM3.4m over a failed project and has counterclaimed for up to RM4.4m plus monthly losses.

Toyo Ventures Holdings Bhd’s discussions with Vietnam on the Song Hau 2 power plant termination will continue beyond the initial timeframe.

YNH Property Bhd’s RM1.1 bn JV review found overlapping directors/shareholdings creating an interconnected network that influenced decisions. Many JV firms shared addresses and company secretaries.

Sentiment: Positive
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Market Mover
Settlement Rates
Currency Buy Rates (RM) Sell Rates (RM)
USD 4.397877 4.428426
EUR 5.020163 5.029642
CNY 0.602907 0.603502
HKD 0.566843 0.571304
SGD 3.340119 3.366686