Market Review & Outlook.
Malaysia Market Review: The FBM KLCI closed 0.3% higher, reversing earlier losses as buying interest in industrial and consumer stocks lifted the index. Gains were led by Press Metal, Sime Darby and YTL Power, while banking heavyweights were largely flat. Sector performance was mixed, with Consumer (+1.1%) and Transport (+0.9%) providing support, while weakness in Energy (-0.6%) and Financial Services (-0.1%) weighed modestly on the index.
Global Markets Review: Wall Street rebounded on Thursday as a cooler-than-expected US CPI print eased inflation concerns and lifted expectations for a more dovish rate path, while strong Micron earnings helped revive the AI trade and drove a tech-led rally, with the Nasdaq outperforming. European stocks finished in positive territory as investors positioned ahead of key central bank decisions. Meanwhile, Asian equities mostly declined, led by losses in Japan’s Nikkei (-1.0%) and South Korea’s KOSPI (-1.5%), as technology stocks remained under pressure amid valuation and AI capex concerns.
Market Outlook. We expect the FBM KLCI to trade positively today, supported by improved global risk sentiment following softer US inflation data, a tech-led rebound on Wall Street, and the European Central Bank’s decision to keep its key interest rates unchanged. At the same time, the Federal Reserve appears increasingly attentive to emerging cracks in the labour market rather than price pressures, with Fed Governor Chris Waller having signalled support for potential rate cuts, which should continue to underpin risk appetite. Locally, buying interest is likely to be supported by year-end institutional rebalancing and selective accumulation in heavyweight and domestically oriented stocks. Looking ahead, attention will be on the Bank of Japan’s policy decision later today, as it could influence currency movements and broader global risk sentiment.
Sector focus. We remain positive on selective power-ancillary and renewable energy names, underpinned by long-term energy transition trends that support earnings resilience. In addition, improving global tech sentiment following stronger than expected Micron earnings has helped stabilise the AI theme, which could provide a near-term sentiment tailwind for selected local technology and AI related stocks.
Technical Commentary: The FBM KLCI resumed its upward momentum, printing a bullish candle after a brief pause in the prior session, signalling renewed buying interest. Indicators remained positive, with the MACD line trading above the signal line and the RSI remaining above 50. The next resistance is located at 1,660, while support is envisaged around 1,600.
Company News (source: various)
Gamuda Bhd secured two additional Australian contracts worth a combined RM8.0bn for the Sydney Metro West stations and Carmody’s Hill Wind Farm, lifting its total order book to RM46.0bn, above its FY2026 target of RM45.0bn. The wins follow its recent RM2.7bn Marinus Link undersea cable contract, further strengthening overseas earnings visibility.
Muhibbah Engineering (M) Bhd won a RM700.0m-RM850.0m PETRONAS Carigali contract for minor EPCC works on wellhead platforms under the Sepat Integrated Redevelopment Project offshore Terengganu. The project starts in Dec 2025 and is scheduled for completion by 1Q2029.
Sunway Construction Group Bhd secured a RM570.0m contract from a US-based technology multinational for core and shell works of a data centre in Johor, with completion targeted by 4Q2026. YTD wins of RM4.6bn lifted its outstanding order book to RM6.1bn.
CTOS Digital Bhd will dispose of its entire 26% stake in Experian Information Services (Malaysia) for RM80.0m cash, translating into an estimated RM18.0m gain over its acquisition cost.
Binastra Corp Bhd delivered record 3QFY2026 results, with net profit rising 55% YoY to RM37.5m and revenue jumping nearly 40% to RM371.5m, driven by stronger project execution and contributions from its M&E unit. The group is supported by an outstanding RM4.6bn order book.
AEON Credit Service (M) Bhd posted a 47.9% YoY surge in 3QFY2026 net profit to RM91.8m, supported by higher revenue, lower impairment losses and stronger recoveries. Total financing receivables grew 12.9% YoY to RM14.6bn, though management remains cautious on asset quality.
United Malacca Bhd reported record 2QFY2026 net profit of RM55.4m, up 79% YoY, driven by higher FFB output, firmer CPO and PK prices, and lower costs. Revenue rose 31% YoY to RM240.5m, and the Group declared a seven sen interim dividend.
MCE Holdings Bhd saw 1QFY2026 net profit decline 13.6% YoY to RM4.2m, impacted by softer sales and higher staff costs ahead of commissioning its MCE Auto Hub. Revenue fell 4.6% YoY to RM39.5m, reflecting weaker customer orders.
Binasat Communications Bhd secured a RM52.5m, 60-month contract from the Marine Department’s Light Dues Board to provide managed internet and SD-WAN services for maritime navigation aids nationwide, running from Jan 2026 to Jan 2031.
Aneka Jaringan Holdings Bhd won a RM31.2m contract for substructure works on a 57-storey serviced apartment project in George Town, Penang. Construction starts immediately, with completion targeted by Jan 2027.
Advancecon Holdings Bhd secured a RM19.3m contract for earthworks and site preparation for an industrial development in Ijok, Selangor. The project runs until June 2027, adding to its RM754.0m order book as at June 2025.
Yinson Holdings Bhd, via Yinson Renewables, acquired rights to the 94.6MW Mt Cass Wind Farm in New Zealand, marking its first wind project under construction and entry into the country. The project is expected to commence construction in 2026 and begin operations in 2028, generating 300GWh annually.
CIMB Group Holdings Bhd plans to engage Bank Negara Malaysia to participate in the Digital Asset Innovation Hub, while also committing to the tokenised sukuk pilot with Khazanah and the Securities Commission.
Disclaimer
The report is for internal and private circulation only and shall not be reproduced either in part or otherwise without the prior written consent of Apex Securities Berhad. The opinions and information contained herein are based on available data believed to be reliable. It is not to be construed as an offer, invitation or solicitation to buy or sell the securities covered by this report.
Opinions, estimates and projections in this report constitute the current judgment of the author. They do not necessarily reflect the opinion of Apex Securities Berhad and are subject to change without notice. Apex Securities Berhad has no obligation to update, modify or amend this report or to otherwise notify a reader thereof in the event that any matter stated herein, or any opinion, projection, forecast or estimate set forth herein, changes or subsequently becomes inaccurate.
Apex Securities Berhad does not warrant the accuracy of anything stated herein in any manner whatsoever and no reliance upon such statement by anyone shall give rise to any claim whatsoever against Apex Securities Berhad. Apex Securities Berhad may from time to time have an interest in the company mentioned by this report. This report may not be reproduced, copied or circulated without the prior written approval of Apex Securities Berhad.
| Currency | Buy Rates (RM) | Sell Rates (RM) |
|---|---|---|
| USD | 4.071594 | 4.103148 |
| EUR | 4.788661 | 4.792351 |
| CNY | 0.580700 | 0.581157 |
| HKD | 0.523467 | 0.527018 |
| SGD | 3.153405 | 3.174965 |