Opening Daily Highlight
Mixed
Cautious Optimism Prevails
Fri, 17-Oct-2025 07:55 am
by Research Team • Apex Research

Market Review & Outlook

Malaysia Market Review: The FBM KLCI (+0.05%) edged up slightly on Thursday, closing at 1,612.29 pts amid volatility from prevailing US–China trade tensions. Market breadth was mixed, with 541 gainers against 574 losers, while lower liners also ended broadly higher. Across sectors, Telecommunications (+2.32%) led the gainers, whereas Construction (-1.77%) was the main laggard.

 

Global Markets Review: Wall Street ended lower on Thursday, with the S&P 500 (-0.63%), Nasdaq (-0.47%), and Dow Jones (-0.65%) reversing early gains as financial shares weakened amid renewed concerns over bad loans. Regional banks reported higher loan losses and fraud exposure, raising worries about credit quality in the private-credit space. Sentiment was further dampened by the ongoing US–China trade impasse, offsetting optimism from TSMC’s stronger-than-expected results, which had earlier lifted AI-related names such as NVIDIA. Gold breached the USD4,300/oz mark for the first time, benefiting from safe-haven demand amid trade tensions and the US government shutdown. In Europe, equities advanced, with the STOXX 600 (+0.68%) supported by upbeat earnings. The DAX (+0.38%) gained on industrial strength, while France’s CAC 40 (+1.38%) rose on political relief and luxury-sector momentum. The FTSE 100 (+0.12%) edged higher as steady GDP data offset lingering inflation concerns in the UK. Across Asia, markets closed mixed, led by the Nikkei 225 (+1.27%) and KOSPI (+2.49%) on tech strength, while Hong Kong (-0.09%) and China ended mixed amid persistent US–China trade tensions.

 

Market Outlook. We expect the FBM KLCI to trade range-bound today as investors digest mixed global cues. Wall Street’s tone remains choppy despite hints of upcoming Fed rate cuts and solid results from major US banks. With limited economic data due to the US government shutdown, markets are turning their focus toward bank earnings and management guidance for macro cues. Renewed US–China trade tensions and lingering credit concerns among regional banks may cap gains, though resilience in tech and steady corporate results could lend selective support.

                                                                                                                                  

Sector focus. We remain positive on selected Power Ancillary and Renewable Energy names, underpinned by accelerating data centre investments and supportive policy initiatives driving growth in the power segment.

 

FBMKLCI Technical Outlook

Technical Commentary: 

The FBM KLCI closed slightly higher on Thursday, forming an inverted hammer candlestick, signalling potential buying interest emerging after earlier weakness. Indicators remained mixed, with the MACD Line trading below 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)

Propel Global Bhd has secured a RM70 million contract for civil and structural works on a data centre in Johor Bahru.

 

CBH Engineering Holding Bhd has secured a RM20.67 million contract for high-voltage early works at a 275kV substation in a Johor data centre.

 

Chin Hin Group Property Bhd will develop a RM1.15 billion residential project in Taman Connaught, Cheras, via its unit Avion Connaught Sdn Bhd.

 

Malakoff Corp Bhd has appointed Atlantic Blue Sdn Bhd, a unit of Solarvest Holdings Bhd, as the EPCC contractor for its 470-megawatt solar project in Perak under the LSS Petra 5+ Programme.

 

NexG Bhd has secured a RM12.18 million extension to its Road Transport Department contract, its fourth government deal in under two months.

 

Lianson Fleet Group Bhd has lowered the share-based purchase price for two Vietnam port firms — Yinson Port Ventures and Yinson Premier — to RM15.8 million and RM6.4 million respectively.

 

Mudajaya Group Bhd has announced plans for a 5-to-1 share consolidation. Post-exercise, its share base will shrink from 2.657 billion to 531.48 million, with theoretical pricing adjusted from 10 sen to 50 sen. 

 

KTI Landmark Bhd clarified that it has not been awarded the RM70 million Wisma Budaya redevelopment in Kota Kinabalu. 

 

Zecon Bhd has signed a non-binding two-year MOU with Edra Power Holdings Sdn Bhd and Neutrinos Engineering Pte Ltd to explore developing an integrated energy complex in Kuching’s Kota Petra Green Technology Park.

 

Farm Price Holdings Bhd has completed its RM4.5 million acquisition of two Johor-based grocers after a court lifted an injunction blocking the sale of Hong Yun Vegetables & Fruits’ assets.

Sentiment: Neutral
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