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Local
Steady Gains in FBM KLCI
Tue, 23-Dec-2025 07:42 am
by Research Team • Apex Research

Malaysia Market Review: The FBM KLCI extended its upward momentum, climbing 0.3% to continue a three-day rally with lower liners following suit. Market breadth was slightly positive with 522 advancers edging out 515 decliners as foreign investors turned net sellers. Industrial Products (+1.3%), Construction (+1.2%) and Transportation (+0.8%) sectors led the gains, supported by strong performances in heavyweight counters such as Press Metal, Gamuda and MISC, while Plantation (-0.7%) and Telecommunications (-0.6%) were the main laggards.

 

Global Markets Review: Wall Street kicked off the holiday-shortened week on a strong note, with the S&P rallying 0.6%, the Nasdaq gaining 0.5% and the Dow climbing 0.5% with key stocks linked to artificial intelligence offering a boost to the broader market. Investors’ appetite for safe haven assets rose as gold surged to another record high to trade above USD4,400/oz amid expectations that the US central bank will cut interest rates further next year. Meanwhile, European shares slipped with the STOXX 600 down 0.1% as most sectors retreated. The food and beverage category dropped the most as China’s commerce ministry imposed anti-dumping measures on imports from the European Union. Asian equities advanced with the Nikkei 225 rising 1.8%, the Shenzhen Composite Index gaining 1.5% and the SET climbing 1.4%.

 

Market Outlook. Malaysian equities are expected to trade in a cautiously constructive manner over the near term, supported by steady domestic fundamentals but tempered by growing external volatility. While the FBM KLCI has shown resilience, the softer performance across the broader market suggests investors remain selective. Investors will be closely watching this week’s 3Q25 US GDP release and initial jobless claims for further guidance on the Federal Reserve’s policy direction. Buying interest in Malaysian equities is likely to be supported by year-end institutional rebalancing and selective accumulation in heavyweight and domestically oriented stocks.

 

Sector focus. We continue to hold a positive view 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 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 extended its advance for a third consecutive session, printing a bullish candle and holding above all major EMAs. Indicators remained positive, with the MACD line trading above the signal line and the RSI remaining above 50. The next resistance is located at 1,680, while support is envisaged around 1,640.

 

Company News (source: various)

AME Elite Consortium Bhd is selling five industrial properties in Johor to CapitaLand Malaysia Trust for RM220.8 million in cash.

 

A consortium led by South Korea’s LS Cable & System Ltd and MN Holdings Bhd has secured a RM177.36 million contract from Tenaga Nasional Bhd to upgrade a submarine power cable system.

 

Chemical trading company Analabs Resources Bhd saw its 2QFY2026 net profit fall 27.8% to RM12.58 million from RM17.43 million a year ago on weaker revenue across key segments and higher finance costs, with earnings per share down to 11.55 sen from 16 sen.

 

Catcha Digital Bhd has raised its stake in Headline Media Sdn Bhd — owner of digital platforms including WeirdKaya — to 80% from 30%, via the exercise of a call option under an October 2023 acquisition agreement.

 

Citaglobal Bhd said its unit Citaglobal Land Sdn Bhd (CLSB) has secured two infrastructure contracts worth RM82.7 million.

 

Plantation group Kim Loong Resources Bhd is acquiring a 75% stake in Kim Loong Mills (Sarawak) Sdn Bhd, which owns 51.73 hectares of land in Selanjan district intended for a palm oil mill, in a related-party transaction.

 

George Kent (M) Bhd has been awarded a RM34.5 million contract by Prasarana Malaysia Bhd (Prasarana) for the design, supply, delivery, testing and commissioning, and warranty of one unit of rail profiling machine for the Kelana Jaya LRT line.

 

A consortium led by Coastal Contracts Bhd has secured a RM4.64 billion gas processing contract from Mexico’s national oil and gas firm, Pemex.

 

Tenaga Nasional Bhd has created two new senior leadership roles to strengthen governance and succession planning.

 

Evergreen Max Cash Capital Bhd has secured four new pawnbroking licences, bringing its nationwide network to over 100 outlets.

 

ITMAX System Bhd is acquiring a 70% stake in AI technology firm Tapway Sdn Bhd for RM5.6 million to expand into commercial and private-sector applications.

 

Betamek Bhd has secured a six-year RM176 million contract from Perodua to supply electronic components for a new vehicle model, boosting the group’s long-term revenue visibility.

 

Yinson Holdings Bhd has secured a 15-year power purchase agreement worth about NZ$500 million (RM1.2 billion) for output from its New Zealand wind farm, set to begin construction early next year.

 

Construction firm Crest Builder Holdings Bhd has secured a RM73.9 million subcontract from HAB Construction Sdn Bhd to handle electrical and extra low-voltage system installation and maintenance for the CloutHaus mixed-use development in Jalan P Ramlee.

 

Bintulu Port Holdings Bhd has secured another one-year extension to continue operating Bintulu Port, Sarawak’s main port for liquefied natural gas (LNG), as it finalises a new port operation agreement.

Sentiment: Positive
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Market Mover
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CNY 0.579532 0.580122
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