Market Review & Outlook
Malaysia Market Review: The FBM KLCI (+1.0%) extended its upward momentum as bargain-hunting activities lifted all key index constituents. Market breadth was robust, with 872 gainers against 338 decliners, while the lower liners also sustained their positive run. Across sectors, all 13 major groups ended in the green, led by Technology (+5.7%), which spearheaded market gains.
Global Markets Review: Wall Street extended its rally on Thursday, as investors remained unfazed by the second day of the US government shutdown, with many expecting it to be short-lived while continuing to rotate into tech giants. Meanwhile, Trump intensified his rhetoric against Democrats, threatening to fire federal workers and cancel billions in federal funding to blue states. He also met with Russell Vought, who is spearheading White House’s Office Management and Budget, to discuss which Democrat agencies should face cuts. In Europe, equities advanced to close at fresh record highs, while Asian markets also moved higher, riding on the upbeat momentum from the AI led rally.
Market Outlook. The FBM KLCI continued to build on its positive momentum, underpinned by optimism over the widely anticipated interest rate cut from the US Federal Reserve. The lower liners also advanced as investors selectively accumulated beaten-down stocks. Nevertheless, we do not rule out the possibility of a short-term pullback, with the RSI heading into overbought territory, although such a correction would be deemed healthy. Globally, attention will be on a slew of PMI releases later today, which will provide fresh insights into industrial and business activity worldwide. On the domestic front, focus is turning to the upcoming Budget 2026 announcement on 10 October, which is expected to set the policy tone and outline potential market catalysts.
Sector focus. We see bargain-hunting opportunities in the construction and renewable energy sectors, which are poised to benefit from policy measures and spending priorities in the upcoming Budget 2026. Meanwhile, the Technology sector may advance in tandem with the gains in Nasdaq overnight.
FBMKLCI Technical Outlook
Technical Commentary: The FBM KLCI’s upward momentum continued as it registered five consecutive days of gains while breaking above its previous resistance of 1,630. Indicators remained positive, with the MACD Line trading above the Signal Line, while the RSI floated above 50. The next resistance is located at 1,650. Support is envisaged at around 1,600.
Company News (source: various)
Public Bank Bhd has launched a RM10 billion commercial paper programme to help raise short-term funds over the next seven years.
RHB Bank Bhd announced the launch of a combined RM5 billion in commercial paper and sukuk murabahah programmes to raise funds in both ringgit and foreign currencies.
Petronas Gas Bhd will reorganise its structure to separate regulated and non-regulated businesses, aiming to improve transparency, sharpen focus, and allow more flexible capital management.
Steel products maker Mayu Global Group Bhd said it has yet to receive details on the circumstances or allegations that led to the Malaysian Anti-Corruption Commission (MACC) summoning a director of its 80%-owned subsidiary, Sunrise Manner Sdn Bhd, and freezing the subsidiary's bank accounts.
Epicon Bhd said that a unit of Tan Chong Motor Holdings Bhd is seeking RM26.15 million from the company in relation to a settlement agreement involving bus lease and maintenance debts.
The mandatory general offer (MGO) for Eurospan Holdings Bhd by its new controlling shareholder, Samuel Ng Heng Hong, has closed with the acceptances pushing his stake in the furniture manufacturer to 84.11%.
A consortium between Gadang Holdings Bhd and JS Solar Holdings Bhd has secured a RM52 million contract to undertake the engineering, procurement, construction and commissioning (EPCC) of a 15MWac large-scale solar photovoltaic (LSSPV) power plant in Tawau, Sabah.
Property developer Tanco Holdings Bhd said it has teamed up with China Civil Engineering Construction Corp (CCECC) to explore engineering, procurement and construction works and financing opportunities for transportation infrastructure projects in Malaysia.
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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 |