Opening Daily Highlight
Mixed
Navigating Renewed Volatility
Wed, 11-Jun-2025 07:38 am
by Research Team • Apex Research

Malaysia Market Review: FBM KLCI (-0.2%) closed slightly lower as key index constituents retreated due to an extended profit taking activities. Similarly, the lower liners also pulled back, while the healthcare sector (+1.5%) emerged as the top gainer, lifted by renewed buying interest in glove counters.

 

Global Markets Review:  Wall Street ended higher, led by the Nasdaq (+0.6%) as Tesla shares surged +5.7%. The S&P rose by +0.5%, while the Dow advanced +0.2%. Over in Europe, major indices also closed higher, with automotive and oil & gas sectors emerging as top performers. Meanwhile, Asian markets were mixed, as investors remained cautious ahead of further details from the ongoing U.S.-China trade talks.

 

Market Outlook: We continue to observe the weak sentiment in the local bourse, characterised by profit-taking and a retreat of foreign funds amidst global market volatility. We might see some bargain hunting emerging on the local market today, following yesterday’s pullback. However, we advise investors to remain cautious, especially in the absence of fresh catalysts. On the external front, markets will be closely watching the outcome of the ongoing US-China dialogue, which could shape near-term risk appetite. Investors are looking for signs of easing tensions or constructive engagement, particularly on trade, technology, and geopolitical fronts, which may help stabilise regional sentiment. Economic wise, investors will be closely monitoring the latest Malaysia unemployment as well as US inflation data.

 

Sector focus. The REIT sector that is defensive in nature may turn popular amid the potential renewed volatility. We also hold a bullish outlook on commodities-related stocks, particularly for gold as the bullion prices remain elevated.

 

Technical Commentary: The FBM KLCI formed a black candle on yesterday, finished lower but remained above SMA50 line. Indicators remained negative as MACD Line hovered below the Signal Line, while the RSI lingered below 50. Immediate resistance is located at 1,550, followed by 1,600. Support is envisaged around 1,500.

 

Company News (source: various)

Property outfit NCT Alliance Bhd, through its wholly owned subsidiary NCT Panorama Sdn Bhd, plans to acquire a 55.72% stake in Grorich Corp Sdn Bhd, which owns a parcel of land in Putatan, Sabah, for RM36 million.

 

Gold miner Niche Capital Emas Holdings Bhd has secured exclusive rights to develop and operate the KK Hill gold mining area in Jeli, Kelantan, through a joint venture with Enrich Mining Sdn Bhd.

 

Encorp Bhd has appointed Ahmad Harzimi Mohd Taib as its new group CEO, effective immediately.

 

Capital A Bhd is in the final stages of its regularisation plan to exit the Practice Note 17 (PN17) status, with only 15% to 20% of the process remaining, expected to be completed the latest by the end of July, according to its chief executive officer Tan Sri Tony Fernandes.

 

Clement Chen Kok Peng, who started as a trainee at Sunway Group over two decades ago, has been appointed as the new chief financial officer of Sunway Bhd, effective June 16.

 

Engineering solutions provider Destini Bhd has secured a three-year contract from Hibiscus Petroleum Bhd.

 

Underground utilities engineering solutions group UUE Holdings Bhd has secured RM92.4 million in deals from its long-standing customer, Komasi Engineering Sdn Bhd.

 

Harn Len Corp Bhd will pay a special dividend of three sen per share, totalling RM18.5 million, to its shareholders. 

 

Benalec Holdings Bhd has secured a two-year contract from TNB Fuel Services Sdn Bhd to transport up to 3.5 million tonnes of coal annually, with a 20% variation option.

 

Furniture exporter Synergy House Bhd is doubling down on its business-to-consumer (B2C) business to mitigate potential challenges from rising US tariffs and general macroeconomic uncertainties.

 

The Employees Provident Fund (EPF) acquired six million shares, or a 0.07% stake, in 99 Speed Mart Retail Holdings Bhd on June 4, according to an amended announcement from 99 Speed Mart.

 

Kumpulan Kitacon Bhd, via its subsidiary Kitacon Sdn Bhd, has secured an RM87.88 million contract from GLM Emerald West (Rawang) Sdn Bhd.

 

Sentiment: Neutral
Read more details in:

Disclaimer

The report is for internal and private circulation only and shall not be reproduced either in part or otherwise without the prior written consent of Apex Securities Berhad. The opinions and information contained herein are based on available data believed to be reliable. It is not to be construed as an offer, invitation or solicitation to buy or sell the securities covered by this report.

Opinions, estimates and projections in this report constitute the current judgment of the author. They do not necessarily reflect the opinion of Apex Securities Berhad and are subject to change without notice. Apex Securities Berhad has no obligation to update, modify or amend this report or to otherwise notify a reader thereof in the event that any matter stated herein, or any opinion, projection, forecast or estimate set forth herein, changes or subsequently becomes inaccurate.

Apex Securities Berhad does not warrant the accuracy of anything stated herein in any manner whatsoever and no reliance upon such statement by anyone shall give rise to any claim whatsoever against Apex Securities Berhad. Apex Securities Berhad may from time to time have an interest in the company mentioned by this report. This report may not be reproduced, copied or circulated without the prior written approval of Apex Securities Berhad.

Market Mover
Settlement Rates
Currency Buy Rates (RM) Sell Rates (RM)
USD 4.210973 4.249411
EUR 4.954495 4.965490
CNY 0.589445 0.590817
HKD 0.536642 0.541158
SGD 3.306006 3.333319