Market Review & Outlook
Malaysia Market Review: The FBM KLCI (-0.17%) ended slightly lower as profit-taking outweighed optimism in selective sectors. Market breadth, however, was positive, with 530 gainers against 509 decliners, while the lower liners also advanced. Sector-wise, energy (+0.57%) led the gains, while utilities (-1.15%) was the weakest performer.
Global Markets Review: Wall Street closed mixed on Friday, with the S&P 500 (+0.01%) and Dow Jones (+0.51%) posting gains while the Nasdaq (-0.28%) ended lower. Despite the government shutdown entering its third day, markets remained focused on expected Federal Reserve rate cuts. The September nonfarm payrolls report was delayed, but the ISM services survey showed employment shrinking for a fourth month, supporting easing hopes. In Europe, equities extended their five-day rally, with the STOXX 600 (+0.5%) supported by gains in healthcare, banking and mining shares. Raiffeisen Bank surged 7.4% after reports that the EU may lift sanctions on a Russian oligarch linked to the bank’s losses in Russia. Asian markets mostly advanced. The Nikkei 225 rose 1.85% on optimism over Sanae Takaichi’s election as Prime Minister, which is expected to support a cautious approach to Bank of Japan rate hikes. The Hang Seng, however, declined 0.54% amid concerns over the impact of the US government shutdown.
Market Outlook. The FBM KLCI is expected to maintain a positive trajectory in the near term, supported by optimism over anticipated US Federal Reserve rate cuts. The index has rebounded strongly from earlier lows, though short-term RSI readings suggest mild pullbacks may occur, providing room for healthy consolidation. Overall, the market remains poised for further gains, with any near-term dips offering tactical accumulation opportunities. Globally, sentiment is buoyed by expectations of US monetary easing, reinforced by recently weak U.S. employment data. Domestically, attention turns to the upcoming 2026 Budget announcement on 10 October, which could serve as a key market catalyst.
Sector focus. We expect buying interest to stay concentrated in the construction, consumer, and renewable energy sectors in the near term, supported by optimism ahead of the Budget 2026 announcement on 10 October. In addition, we maintain a positive outlook on gold-related stocks, underpinned by sustained demand for safe-haven assets amid global macro uncertainty.
FBMKLCI Technical Outlook
Technical Commentary: The FBM KLCI attempted to extend its rally, briefly testing the 1,660 level before retreating to close lower on Friday. Indicators remained positive, with the MACD Line trading above the Signal Line, while the RSI floated above 50. The next resistance is located at 1,660. Support is envisaged at around 1,600.
Company News (source: various)
Malakoff Corp Bhd’s subsidiary, Malakoff Evergreen Sdn Bhd, has signed a 30-year power purchase agreement with Syarikat SESCO Bhd to develop and operate a 100MWac solar plant in Bintulu, Sarawak, slated to begin operations on May 1, 2028.
NexG Bhd has secured a RM732.72 million six-year contract from the Home Ministry to supply MyKad, MyTentera and MyPoca cards to the National Registration Department from June 1, 2026 to May 31, 2032.
CTOS Digital Bhd has appointed Tan Ming Yew, 43, as its new chief financial officer effective Oct 13, replacing Chiam Hsing Chee who resigned on Sept 28 after serving more than two years.
Solarvest Holdings Bhd and Press Metal Aluminium Holdings Bhd, through their joint venture Mukah Solar Powerplant Sdn Bhd, will develop a 100MWac solar plant in Mukah, Sarawak, for RM380 million under a power purchase agreement with Syarikat SESCO Bhd, with operations expected by Nov 30, 2027.
MBSB Bhd has committed RM1.3 billion through a syndicated Islamic financing facility to support Weststar Aviation Services Sdn Bhd’s expansion, including helicopter acquisitions, working capital, corporate needs and forex management.
G Capital Bhd’s subsidiary, G Capital Water Solutions Sdn Bhd, has been appointed as non-revenue water specialist for the Perlis NRW reduction programme (Phase 1) under a RM300,000 contract from Senie Associates Sdn Bhd, the consulting engineer for Pengurusan Aset Air Bhd.
SC Estate Builder Bhd said Fortune Frontline Sdn Bhd has emerged as its second-largest shareholder with an 18.8% stake after subscribing to one billion shares via a private placement on Oct 1 through a pledged securities account under City Exotic Sdn Bhd.
Plytec Holding Bhd has withdrawn its application to transfer to the Main Market of Bursa Malaysia, citing its financial and operational position and the strategic timing of the move; the application was originally submitted to the Securities Commission Malaysia on June 30.
Bursa Malaysia has rejected KNM Group Bhd’s PN17 regularisation plan, citing unsustainable prospects and unresolved financial issues, with trading to be suspended on Oct 13 and potential delisting by Nov 5 unless appealed.
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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 |