Opening Daily Highlight
Mixed
Rate Cuts Bets Continue to Fuel Market Gains
Thu, 11-Sep-2025 07:27 am
by Research Team • Apex Research

Malaysia Market Review: The FBM KLCI climbed 0.3% to a two-week high of 1,590.8 on Wednesday, extending gains for a third straight session in tandem with Wall Street and regional peers. Market breadth was positive, with 525 gainers outpacing 481 losers. Sector-wise, Telecommunications (+1.7%), Utilities (+1.5%) and Healthcare (+0.8%) led the gains, while Industrial Products (-0.7%) and REITs (-0.5%) were the main laggards.

 

Global Markets Review: Wall Street ended mixed on Wednesday, with the S&P 500 and Nasdaq reaching fresh record highs, supported by strong gains in Oracle on upbeat revenue forecast. However, the Dow Jones slipped 0.5% from its peak. Sentiment was also buoyed by the latest US producer price index, which unexpectedly declined by 0.1% in August, easing concerns over sticky inflation and lifting prospects of steeper Fed rate cuts. In Europe, equities closed broadly higher, tracking Wall Street gains. Asian markets rallied on Wednesday, with Japan’s Nikkei 225 surging 0.9%, Hong Kong’s Hang Seng Index up 1.0%, and China’s Shanghai Composite gaining 0.1%. In China, consumer prices fell 0.4% in August, steeper than expected, raising hopes of fresh government support. 

 

Market Outlook. Investors remain focused on the Fed’s rate-cut trajectory ahead of next week’s FOMC meeting. Following the softer PPI reading, attention now turns to Thursday’s US CPI release for further guidance on policy outlook. To a lesser extent, geopolitical tensions in the Middle East also warrant close monitoring, given potential spillovers to commodity markets and global sentiment. Domestically, the FBM KLCI is expected to track positive regional momentum, with a dovish Fed stance likely to support risk appetite, portfolio flows, and liquidity in the local bourse.

 

Sector focus. Gold-related stocks may draw attention today as gold prices hit new highs, driven by investor expectations of a Fed rate cut next week. Meanwhile, the Energy sector could see buying activity, with Brent crude edging closer to US$70/bbl amid escalating geopolitical tensions after Poland intercepted drones over its airspace during a widespread Russian attack in western Ukraine on Wednesday.

 

Technical Commentary: Bullish momentum continues as the FBM KLCI extend its winning streak in Wednesday’s trading session. Indicators remained mix, with the MACD Line ending the day below the Signal Line, while the RSI floated above 50. Immediate resistance is located at 1,610. Support is envisaged at around 1,550.

 

Company News (source: various)

Sunway Bhd and its local partner have secured another residential site in Chuan Grove, Singapore after submitting the best bid at S$623.91 million (RM2.05 billion).       

 

Electronics manufacturing services firm VS Industry Bhd, which recently saw share disposals by key management, declined sharply in active trading on Wednesday. Its shares closed 10 sen or 15.63% lower at 54 sen, valuing the company at RM2.13 billion.

 

Pansar Bhd has clinched another contract from the Sarawak Public Works Department (JKR Sarawak), this time valued at RM216.998 million, for design and upgrading works under the Serian-Gedong-Samarahan dual carriageway highway project in the state.

 

Asia Digital Engineering Sdn Bhd (ADE), the maintenance, repair and overhaul (MRO) subsidiary of Capital A Bhd, has signed a deal to perform heavy maintenance checks on Air France’s Airbus A330 fleet.

 

Texchem Resources Bhd is disposing of a 34% stake in its indirect wholly owned Sea Master Food Sdn Bhd (SMF) to Japan’s Yamae Global Co Ltd for RM14.94 million, cash.

 

Automotive and commercial carpet maker Paragon Union Bhd is set to sell its automotive carpet manufacturing business to Oceancash Pacific Bhd for RM13.42 million.

 

Penang-based engineering supporting services provider UWC Bhd has posted a near seven-fold rise in net profit for its fourth financial quarter ended July 31, 2025 (4QFY2025), underpinned by a rebound in the semiconductor sector.

 

Furniture retailer SSF Home Group Bhd said on Wednesday it plans to make a fresh RM10 million investments in a venture capital fund.   

Sentiment: Positive
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Market Mover
Settlement Rates
Currency Buy Rates (RM) Sell Rates (RM)
USD 4.203518 4.235870
EUR 4.937352 4.946595
CNY 0.592446 0.592902
HKD 0.539617 0.543782
SGD 3.276423 3.301813