Market Review & Outlook
Malaysia Market Review: The FBM KLCI ended its winning streak on Thursday, closing just shy of the flat line (-0.1%) as selling pressure in utility heavyweight Tenaga Nasional Berhad weighed on the index following an unfavourable Federal Court tax ruling. In contrast, lower liners closed higher. Sector-wise, the Technology (+4.0%), Real Estate Investment Trusts (+1.2%) and Industrial Products & Services (+1.0%) sectors led the gainers, while the Construction (-0.7%) and the Energy (-0.5%) sectors were the top laggards.
Global Markets Review: Wall Street closed higher on Thursday, with the S&P 500 (+0.8%) and Nasdaq (+1.0%) reaching fresh record highs, while the Dow also gained 0.8%. A stronger-than-expected June jobs report fuelled optimism that the US economy remains resilient despite trade and geopolitical uncertainties. In Europe, equities ended higher, supported by robust US non-farm payroll data, with banking stocks leading gains. Asian markets closed mixed. The benchmark Vietnam index rose to a three-year high as investors awaited further details on the newly announced US-Vietnam trade agreement. Japan’s Nikkei 225 closed flat, while Korea’s Kospi index gained 1.3%. In China, Shanghai Composite edged up 0.2%, while Hang Seng Index declined 0.6%.
Market Outlook: Investor sentiment has improved recently, as evidenced by increased trading volumes and broader market participation as well as the return of foreign inflows. This upturn follows a de-escalation of tensions in the Middle East and optimism surrounding trade agreements. With the US-China and US-Vietnam trade deals concluded well ahead of the 90-day tariff postponement deadline, we expect bargain hunting and increased risk appetite to persist in the near term. Investors’ attention will now turn to any final trade developments ahead of the tariff deadline next Wednesday.
Sector focus. Amid improving risk appetite, we expect the Utilities and Construction sectors to remain attractive. Technology sector may also see continued bargain hunting activities, supported by overnight gains in the Nasdaq.
FBMKLCI Technical Outlook
Technical Commentary: The FBM KLCI took a minor step backwards as the key index snapped a four-day winning session to remain above the SMA50 level. Indicators remained positive with the MACD Line hovered above the Signal Line, while the RSI floats above 50. Immediate resistance is located at 1,580, followed by 1,600. Support is envisaged around 1,530.
Company News (source: various)
The closing date for acceptance of the voluntary takeover offers by FGV Holdings Bhd's majority shareholders for the shares that are not already owned by the offeror has been extended to Aug 15 from July 7.
Dialog Group Bhd has signed a memorandum of understanding (MOU) with Petroliam Nasional Bhd (Petronas) aimed at expediting gas production at the Mutiara Cluster, located offshore Sabah.
Kelington Group Bhd also signed a collaboration with Petronas to explore carbon emissions management solutions.
Perdana Petroleum Bhd has secured a three-year charter contract through its subsidiary to provide offshore support vessel services to PTTEP Sabah Oil Ltd.
TIME dotCom Bhd has appointed Loh Jenkim as its new group CEO, following the redesignation of Afzal Abdul Rahim as the executive vice-chairman, effective Sept 23, 2025.
Zen Tech International Bhd is seeking to acquire a 30% stake in shariah-compliant payment gateway provider Souqa Fintech Sdn Bhd.
Econpile Holdings Bhd has secured two contracts worth RM57.94 million for construction services as well as material supply and delivery for a proposed development in Ara Damansara, Selangor.
LB Aluminium Bhd is acquiring a 6.74-acre leasehold industrial land together with buildings in Banting, Selangor, for RM22 million.
Theta Edge Bhd has proposed to raise up to RM19.58 million through a private placement of up to 23.59 million new shares, representing 20% of its enlarged share capital.
Trading in Kim Hin Industry Bhd shares will be suspended on Friday, pending an announcement.
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.
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Currency | Buy Rates (RM) | Sell Rates (RM) |
---|---|---|
USD | 4.205369 | 4.238678 |
EUR | 4.976337 | 4.981240 |
CNY | 0.589525 | 0.590110 |
HKD | 0.535971 | 0.539711 |
SGD | 3.304965 | 3.328185 |