Market Review & Outlook
Malaysia Market Review: The FBM KLCI ended higher on Monday with a 0.32% gain to 1,603.34, supported by sustained buying of heavyweight counters in the financials and utilities sectors. Nevertheless, market breadth was broadly negative with losers (523) outpacing gainers (484). Sector wise, Consumer (-0.32%) and Telecommunications & Media (-0.39%) were the primary decliners, while Construction (+1.73%), Industrial Products (+0.64%), and Energy (+0.54%) sectors were among the top gainers. Local institutions were net buyers whereas foreign investors turned net sellers.
Global Markets Review: US equity markets rallied at the start of the week, lifting all three major indices to fresh record highs. The optimism was partly contributed by Nvidia’s pledge to invest up to USD100bn in OpenAI, which drove a 4% gain in its share price. Gold also continues to rally, with prices hitting a new record above USD3,700 per ounce, supported by a surge in ETF inflows that reached a three-year high. Meanwhile, European stocks slipped on Monday, with STOXX 600 closing 0.1% lower, weighed down by defensive stocks such as Unilever and Nestle. Asian markets were mixed. Hong Kong’s Hang Seng Index fell 0.76%, while Japan’s Nikkei rose 0.99%. Indian’s benchmark Nifty 50 was down 0.12% as Indian tech stocks dropped after the US announced late Friday a USD100,000 visa fee for new H-1B visas.
Market Outlook. We reiterate our constructive stance on the KLCI, which is expected to be shaped by a mix of domestic and external events. The index is likely to open stronger today, tracking Wall Street’s record-high streak. Domestically, investors will be closely watching Malaysia’s August inflation data, due for release today, for potential monetary policy implications. On the international front, attention will be on key remarks from US Fed officials on 24 Sep, followed by the release of US initial jobless claims on 25 Sep and core PCE inflation on 26 Sep. Looking ahead, focus will also turn to the tabling of Budget 2026 on 10 Oct.
Sector focus. We expect Malaysian equities to register broad-based gains, with particular optimism in the technology sector tracking strong performances from US Nasdaq index and tech names such as Apple (+4.3%), Nvidia (+6.9%), and Tesla (+1.9%). Meanwhile, the construction, consumer, and renewable energy sectors are likely to remain in focus in the near term, supported by potential positive sentiment ahead of the tabling of Budget 2026 on 10 Oct.
FBMKLCI Technical Outlook
Technical Commentary: The FBM KLCI closed higher on Monday following early session strength. Indicators remained mix, with the MACD Line ending the day below the Signal Line, while the RSI floated above 50. The next resistance is located at 1,630. Support is envisaged at around 1,570.
Company News (source: various)
S P Setia Bhd has appointed Tan Hwa Min as deputy chief executive officer and Datuk Yuslina Mohd Yunus as chief operating officer (COO), as part of a broader leadership realignment at the group.
Solarvest Holdings Bhd has teamed up with Canadian investment giant Brookfield to develop 1.5 gigawatts in renewable energy projects in Malaysia.
Kelington Group Bhd has secured a contract worth S$33 million (RM108 million) to undertake engineering works at an advanced packaging facility project in Singapore.
ITMAX System Bhd via its 65%-owned unit Southmax Sdn Bhd has secured a RM50.97 million contract from the Batu Pahat Municipal Council (MPBP) for the provision of smart city solutions, including closed-circuit television systems with artificial intelligence features.
CBH Engineering Holding Bhd has secured a RM31.4 million contract to provide mechanical and electrical works for a proposed data centre project in Johor.
Independent adviser MainStreet Adviser Sdn Bhd has recommended that shareholders of Eurospan Holdings Bhd reject the mandatory general offer (MGO) from its new controlling shareholder Samuel Ng Heng Hong, as it deemed the offer “not fair and not reasonable”.
PTT Synergy Group Bhd has signed a framework agreement with two Chinese companies – OMH (Shandong) Co Ltd and AUBO (Shandong) Robotics Technology Co Ltd – to look into developing an automated warehousing facility in Malaysia worth RM2 billion.
Engineering services firm Kawan Renergy Bhd posted a 41.1% rise in net profit for the third quarter ended July 31, 2025 to RM7.49 million, up from RM5.31 million a year ago, supported by project deliveries and higher other income.
Agricultural systems maker Greenyield Bhd said it rejected the extraordinary general meeting (EGM) request to remove its group chief executive officer Tham Kin-On, as the proposal was not in the company’s best interest.
PJBumi Bhd has secured an integrated project management service contract worth US$6.55 million (RM27.6 million) for exploration and exploitation activities in Mogoi Wasian, Papua, Indonesia.
AWC Bhd has secured a contract valued at about RM13 million for a waste collection system in Singapore.
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Currency | Buy Rates (RM) | Sell Rates (RM) |
---|---|---|
USD | 4.212894 | 4.246402 |
EUR | 4.925348 | 4.934954 |
CNY | 0.592662 | 0.593823 |
HKD | 0.542079 | 0.546393 |
SGD | 3.250847 | 3.276896 |