Market Review & Outlook
Malaysia Market Review: The FBM KLCI (+0.29%) defied regional weakness to finish higher, lifted by advances in PCHEM and CIMB. PCHEM climbed after news that China and South Korea intend to scale back petrochemical output, easing fears of a supply glut. Overall market sentiment was muted, with breadth remaining largely balanced, while lower liners traded firmly in the positive territory. By sector, Utilities (+2.23%) led the gains, while Telecommunications & Media (-1.32%) was the biggest decliner.
Global Markets Review: Wall Street closed weaker on Thursday, with the S&P 500 (-0.4%) extending its losing streak to a fifth consecutive session, while the Nasdaq (-0.34%) posted back-to-back declines and the Dow slipped (-0.34%). Attention now turns to Powell’s remarks at the Fed’s annual Jackson Hole economic symposium for further policy cues. In Europe, the STOXX 600 edged up (+0.23%), after the US confirmed 15% tariffs on EU pharmaceuticals and autos, with implementation at the reduced rate contingent on Brussels lowering its industrial duties. Asian markets ended mixed, with Japan’s Nikkei 225 (-0.65%) slipping. Profit-taking emerged in semiconductor and technology names after recent strong gains. In contrast, South Korea’s Kospi (+0.37%) advanced, while China’s Shanghai Composite (+0.13%) also registered modest gains.
Market Outlook: Markets should trade sideways to slightly defensive today as investors await guidance from Powell at Jackson Hole. Rate-cut expectations are being scaled back following recent economic data, while geopolitical and tariff-driven risks continue to unsettle the market. In Malaysia, despite decent 2Q2025 GDP growth, external uncertainties are expected to cap near-term upside, with trading likely to remain selective and defensive, favouring domestic-oriented and yield-supportive sectors. Corporate earnings continue to be a key driver of stock-specific moves, with investors focusing on results guidance and management commentary to gauge earnings sustainability into 2H25.
Sector focus. We remain constructive on selective domestic power ancillary and renewable energy counters, supported by structural tailwinds from accelerating data centre expansion and the ongoing energy transition. These secular themes should demonstrate resilience against prevailing global trade headwinds.
FBMKLCI Technical Outlook
Technical Commentary: FBM KLCI advanced in another attempt to challenge the 1,600 resistance trendline. Indicators remained positive, with the MACD Line ending the day above the Signal Line, while the RSI floated above 50. Immediate resistance is located at 1,600, followed by 1,640. Support is envisaged at around 1,550.
Company News (source: various)
7-Eleven Malaysia Holdings Bhd’s net profit for 2QFY2025 was flat at RM19.96 million versus RM20.5 million in 2QFY2024, weighed by higher operating, selling and distribution expenses.
Binastra Corp Bhd has secured a RM132 million contract from Exsim Lumba Kuda Sdn Bhd to carry out piling works for a new 63-storey serviced apartment project in Johor Bahru.
Bintulu Port Holdings Bhd’s net profit for 2QFY2025 fell 13% y-o-y to RM34.74 million from RM39.85 million, dragged by higher operating costs, as revenue slipped 2.2% y-o-y to RM194.82 million from RM196.9 million on lower liquefied natural gas cargoes.
Citaglobal Bhd has secured a RM168.88 million contract from the Public Works Department (JKR) to upgrade a 7.25-kilometre stretch of the Federal Route 3 (FT3) highway along the Kota Bharu-Kuala Terengganu corridor.
Dayang Enterprise Holdings Bhd’s net profit for 2QFY2025 dropped 41.7% y-o-y to RM76.64 million from RM131.44 million, as revenue sank in tandem, due to lower vessel utilisation rates caused by a delay in oil majors' contract commencement.
Deleum Bhd’s net profit for 2QFY2025 declined 12.4% y-o-y to RM19.59 million from RM22.38 million, as its power and machinery segment was weighed down by foreign exchange losses and elevated operating expenses.
Duopharma Biotech Bhd’s net profit for 2QFY2025 rose 21.1% y-o-y to RM20.2 million from RM16.7 million, as lower production costs lifted margins.
Dutch Lady Milk Industries Bhd’s net profit for 2QFY2025 increased 6.2% y-o-y to RM23.4 million from RM22.04 million, buoyed by lower one-off costs related to its transition to a new manufacturing facility and the absence of accelerated depreciation last year.
Gas Malaysia Bhd’s net profit for 2QFY2025 dropped 9.9% y-o-y to RM99.12 million from RM110.05 million, despite higher sales volume and pipeline tolling fee, as natural gas selling prices dipped.
ITMAX System Bhd’s net profit for 2QFY2025 rose 20.4% y-o-y to RM23.07 million from RM19.16 million, lifted by a 9.8% surge in top line thanks to digital infrastructure offerings such as video surveillance, analytics and subscription services.
Ivory Properties Group Bhd announced that Bursa Securities has rejected its application for a further extension of time to submit its regularisation plan.
Kelington Group Bhd’s net profit for 2QFY2025 jumped 23.3% y-o-y to RM32.89 million from RM26.67 million, driven by a more profitable mix of projects.
Magnum Bhd’s net profit increased 36.7% y-o-y to RM62.13 million from RM45.44 million, mainly due to lower prize payout and savings in interest expenses due to a reduced amount of outstanding medium-term notes.
Matrix Concepts Holdings Bhd’s net profit for the first quarter ended June 30, 2025 (1QFY2025) rose 3.7% y-o-y to RM62.94 million from RM60.69 million, boosted by stronger property sales and lower selling and marketing expenses.
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Currency | Buy Rates (RM) | Sell Rates (RM) |
---|---|---|
USD | 4.209019 | 4.241387 |
EUR | 4.930101 | 4.933938 |
CNY | 0.592333 | 0.592792 |
HKD | 0.540178 | 0.543866 |
SGD | 3.276713 | 3.298990 |