Market Review & Outlook
Malaysia Market Review: The FBM KLCI ended largely flat, supported by late-session buying as investors remained cautious ahead of the two-day FOMC meeting. With a near-90% probability of a 25-bp Fed cut already priced in, risk sentiment stayed contained as market participants awaited clearer policy guidance on 2026 rate path. Market breadth was negative, with 573 losers outpacing 476 gainers. Sector performance was mixed, with Construction (-0.99%) leading the decliners, while Healthcare (+1.10%) emerged as the top gainer.
Global Markets Review: Wall Street closed mixed on Tuesday, with the Dow (-0.38%) and S&P 500 (-0.09%) easing, while the Nasdaq (+0.13%) posted marginal gains, as investors stayed on the sidelines ahead of the Fed’s highly anticipated policy decision. Markets widely expect the central bank to deliver another 25-bp rate cut, following similar moves in September and October. In Europe, the Stoxx 600 was broadly unchanged (-0.03%), as investors maintained a cautious posture ahead of the Fed’s policy decision. Japan’s Nikkei 225 inched up 0.34%, as bargain-hunting emerged despite lingering concerns over a potential BOJ rate hike. Meanwhile, China’s Shanghai Composite slipped 0.37%, with gains capped despite upbeat trade data and renewed policy assurances from top policymakers to stabilise growth.
Market Outlook. Markets are now firmly priced for a 25-bp Fed rate cut at this week’s FOMC, with investor attention squarely on the policy tone and 2026 rate guidance, which could drive near-term volatility. While regional sentiment remains uneven amid BOJ tightening risks and cautious China signals, the broader U.S. easing bias and year-end portfolio rebalancing flows should continue to provide near-term support for the FBM KLCI.
Sector focus. We remain constructive on power-ancillary and renewable-energy plays, supported by a firm macro backdrop, sustained data-centre demand, and the ongoing energy transition. Selective accumulation is also expected in rate-sensitive and export-oriented names amid rising conviction of a U.S. easing cycle.
FBMKLCI Technical Outlook
Technical Commentary: The FBM KLCI ended the session in positive territory but formed a hanging man candlestick, signalling potential short-term resistance. Indicators remain negative, with the MACD line trading below the signal line, while the RSI stays below 50. The next resistance is located at 1,660, while support is envisaged around 1,600.
Company News (source: various)
Khazanah Nasional Bhd has disposed of a 2.33% stake or 135.65 million shares in utility giant Tenaga Nasional Bhd.
Johor Regent Tunku Ismail Sultan Ibrahim announced the launch of RMJDT, a ringgit-backed stablecoin issued on Zetrix AI Bhd’s layer-1 blockchain, which forms the backbone of the Malaysia Blockchain Infrastructure (MBI).
Distributor of Fortune 500 companies’ consumer goods, healthcare, materials, and technology DKSH Holdings (Malaysia) Bhd said its controlling shareholder, DKSH Resources (Malaysia) Sdn Bhd, plans to take the company private through a RM249.1 million, or RM6.15 a share, selective capital reduction and repayment (SCR) exercise. DKSH Resources currently owns 74.3% of the company.
Dagang NeXchange Bhd has filed an appeal after the High Court dismissed its unit's judicial review application against the Malaysia Competition Commission (MyCC) over a finding of abuse of dominance.
Jentayu Sustainables Bhd has cautioned that the legal challenge filed against its Dec 4 extraordinary general meeting (EGM), if prolonged, may result in delays to the implementation and financing timeline of its Project Oriole hydropower development in Sabah.
FBG Holdings Bhd has secured a RM206.2 million contract to construct a hotel apartment block or Tower 2 for Johor Bahru City Square as part of its redevelopment by owner, Allgreen Properties Ltd.
Techstore Bhd has bagged an RM89.68 million contract to provide digital radio and on-board live detection systems for the Kelana Jaya light rail transit line.
Southern Score Builders Bhd has secured an RM87.8 million subcontract to handle electrical works for a data centre project.
Engineering services firm AWC Bhd has won a RM52.3 million contract for the facilities management and maintenance of Putra Mosque in Putrajaya.
Newly listed marine transportation company Orkim Bhd plans to replace its ageing tankers gradually, through new purchases or new builds, to keep its fleet at an average age of 12 years over the next five years. Nearly half of its 18 vessels are 10-18 years old.
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| Currency | Buy Rates (RM) | Sell Rates (RM) |
|---|---|---|
| USD | 4.099305 | 4.130054 |
| EUR | 4.790634 | 4.797896 |
| CNY | 0.582395 | 0.582732 |
| HKD | 0.526820 | 0.530780 |
| SGD | 3.161615 | 3.185502 |