Market Review & Outlook
Malaysia Market Review: The FBM KLCI (-1.2%) dropped for a sixth consecutive session on Thursday, weighed down by continued selling in index heavyweights as investors adopted a risk-off stance. Lower liners also closed lower, in line with the broader market trend. Except for Telecommunications & Media (+0.7%) and Technology (+0.02%) sectors, all other sectors closed lower, led by Financial Services (-1.6%) and Healthcare (-1.3%) sectors.
Global Markets Review: Wall Street closed mixed on Thursday as investors grappled with fears of rising rates and worries about a ballooning US deficit. S&P 500 and the Dow were flat, while Nasdaq gained 0.3%. Meanwhile, European markets also declined, with the pan-European Stoxx 600 index closing 0.6% lower. Asian markets also traded lower, tracking overnight declines on Wall Street as investor sentiment soured on fears that a new US budget bill could substantially add to the country’s debt. Hong Kong’s Hang Seng Index plunged 1.2%, Japan’s Nikkei 225 slipped 0.8%, while South Korea’s Kospi dipped 1.2%.
Market Outlook: With optimism from the temporary tariff cuts between the world’s two largest economy beginning to fade, the local bourse has entered a consolidation phase in recent sessions. Lingering concerns over long-term fiscal sustainability and the looming US debt overhang continue to weigh on investor sentiment, leading to unabated foreign outflow recently. We anticipate selling pressure to persist in the absence of fresh catalysts. Investors will now shift their attention to the upcoming local corporate earnings season, which could offer fresh impetus to the market. We see more trade deals and a more fiscally responsible US as keys to sustain the stock market recovery.
Sector focus. Defensive sectors such as REITs could see renewed interest as investors adopted a risk-off stance.
FBMKLCI Technical Outlook
Technical Commentary: The FBM KLCI remained downbeat for the sixth straight session as the key index approaches the SMA50 level. Indicators turned negative with the MACD Line slipped below the Signal Line, while the RSI trended below 50. A potential consolidation may take precedence over the interim after the recent correction. Technically, the immediate resistance is located at 1,550, followed by 1,600. Support is envisaged around 1,500.
Company News (source: various)
CelcomDigi Bhd’s net profit increased a marginal 1.9% y-o-y to RM383.78 million for the first quarter ended March 31, 2025 (1QFY2025), compared with RM376.46 million, on prudent cost management in trimming operational expenditure and lower depreciation and amortisation.
Sunway Bhd’s net profit rose 11% y-o-y to RM190.6 million in 1QFY2025 from RM172.2 million, driven by faster progress in data centre jobs in its construction segment and property investments.
YTL Corp Bhd posted a 15.5% y-o-y drop in net profit for the third quarter ended March 31, 2025 (3QFY2025) to RM419.38 million from RM496.23 million, dragged by YTL Power International Bhd's weaker results, offset by a strong showing from Malayan Cement Bhd.
Press Metal Aluminium Holdings Bhd posted a 13.2% y-o-y increase in net profit for 1QFY2025 to RM461.77 million from RM408.03 million, driven by higher metal prices and stronger contributions from its associated companies.
Batu Kawan Bhd posted a 3.7% y-o-y increase in net profit for the second quarter ended March 31, 2025 (2QFY2025) to RM87.89 million from RM84.72 million, carried by higher palm product prices, offset by lower sales volume and fair value loss on unharvested oil palm.
Kuala Lumpur Kepong Bhd reported a 31.8% y-o-y increase in net profit to RM154.27 million for 2QFY2025 from RM117.07 million, on improved plantation profit.
UEM Sunrise Bhd reported a 150.51% y-o-y surge in net profit for 1QFY2025 to RM417.63 million from RM224.96 million, supported by higher revenue and lower finance costs.
Kossan Rubber Industries Bhd reported a 13% y-o-y rise in net profit for 1QFY2025 to RM35.7 million from RM31.45 million, thanks to higher sales of gloves and clean room products.
Dutch Lady Milk Industries Bhd reported a 6.1% y-o-y decline in 1QFY2025 to RM25.03 million from RM26.66 million, on lower operating profit.
Bumi Armada Bhd’s net profit fell 24% y-o-y to RM182.77 million for 1QFY2025 from RM240.54 million, mainly due to lower income from two key production vessels.
DRB-Hicom Bhd saw an 80.6% y-o-y dip in net profit for 1QFY25 to RM17.72 million from RM91.54 million, dragged by lower sales and higher costs at its automotive, postal and property segments.
Cahya Mata Sarawak Bhd’s net profit fell 33.8% y-o-y to RM25.34 million in 1QFY2025 from RM38.25 million, dragged by unfavourable foreign exchange (forex), and lower contribution from associates and joint ventures.
Prolintas Infra Business Trust posted a 70.5% y-o-y rise in net profit for 1QFY25 to RM3.56 million from RM2.09 million, thanks to higher toll revenue and the absence of one-off listing expenses.
MSM Malaysia Holdings Bhd’s net profit fell by 91% y-o-y to RM3.73 million in 1QFY2025 from RM41.71 million, on lower margins and reduced capacity utilisation despite a decrease in production costs.
Petron Malaysia Refining & Marketing Bhd's net profit rose 16.24% y-o-y for 1QFY2025 to RM81.03 million from RM69.71 million, supported by optimised production at its Port Dickson Refinery, cost-effective sourcing of finished products through Petron Singapore Trading Pte Ltd and effective hedging strategies for commodity and foreign exchange exposures.
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Currency | Buy Rates (RM) | Sell Rates (RM) |
---|---|---|
USD | 4.212042 | 4.248408 |
EUR | 4.921000 | 4.929487 |
CNY | 0.591903 | 0.592919 |
HKD | 0.540309 | 0.544492 |
SGD | 3.268153 | 3.293573 |