Malaysia Market Review: The FBM KLCI closed 0.2% higher on Tuesday, extending its gains for a second straight day, supported by late buying interest in selected counters amid year-end window dressing activity. However, market breadth remained negative, with 534 decliners outpacing 466 advancers, reflecting subdued broader market sentiment. Sector-wise, Energy (+0.5%), Finance (+0.5%) and Healthcare (+0.5%) led the gains, while Consumer (-0.2%) and REIT (-0.2%) were the main laggards.
Global Markets Review: Wall Street closed lower overnight, with the Dow (-0.2%), S&P 500
(-0.1%) and Nasdaq (-0.2%) extending losses as investors remained cautious following Monday’s pullback in technology stocks. In Europe, the STOXX 600 rose 0.6% to a fresh record high, led by mining stocks amid firmer precious metal prices, particularly a rebound in silver. Asian markets ended mixed, tracking Wall Street’s weakness. Japan’s Nikkei 225 (-0.4%) and Korea’s KOSPI
(-0.2%) closed lower, while the Hang Seng gained 0.9%.
Market Outlook. We expect the FBM KLCI to trade range-bound today amid thin liquidity on the final trading day of the year. While the seasonal “Santa Claus rally” should continue to underpin sentiment, lower-liners may see some profit-taking in the absence of fresh catalysts. Globally, investors will remain focused on the Fed’s rate-cut trajectory. The latest FOMC minutes indicate that most officials view further rate cuts as appropriate should inflation continue to ease, although they remain split on the pace of easing. Overall, expectations of a Fed easing cycle should continue to support sentiment heading into 2026.
Sector focus. We remain positive on selective power-ancillary and renewable energy names, supported by long-term energy transition trends that underpin earnings resilience and ongoing investor rotation amid prolonged global trade uncertainty. While near-term volatility in the global technology sector may persist, the underlying AI theme remains intact heading into next year, which should continue to benefit selected local technology and AI-related stocks. Meanwhile, we favour domestic-oriented consumer staples, supported by a firmer ringgit and an improving domestic economic outlook.
Technical Commentary: The FBM KLCI continued to trend higher, posting another bullish candle and approaching its 2024 high resistance level. Indicators remained positive, with the MACD line trading above the signal line and the RSI remaining above 50. The next resistance is located at 1,700, while support is envisaged around 1,640.
Company News (source: various)
Apex Healthcare Bhd said the voluntary takeover offer for the pharmaceutical group has crossed the compulsory acquisition threshold, paving the way for the offeror to buy out the remaining shares and delist the company.
Chin Hin Group Bhd’s 95%-owned subsidiary, Kayangan Kemas Sdn Bhd, has initiated arbitration proceedings against Exyte Malaysia Sdn Bhd — the main contractor of the Intel Pelican Project in Bayan Lepas, Penang — seeking about RM201 million following a contract dispute.
Genting Bhd’s unit, Genting Vista Bhd, has issued its maiden series of medium-term notes, comprising RM3 billion in nominal value, under its new RM5 billion unrated MTN programme that was lodged with the regulator earlier this month.
Cypark Resources Bhd’s unit, Cypark Renewable Energy Sdn Bhd, has fully redeemed its outstanding Tranche 1 perpetual sukuk, amounting to RM235 million.
Sunview Group Bhd is acquiring a now-halted large-scale solar farm project in Pekan, Pahang, for RM70 million in cash.
UEM Sunrise Bhd has won its counterclaims in a long-running arbitration against the main contractor of the Imperia mixed development in Puteri Harbour, Johor, Ireka Corporation Bhd’s unit Ireka Engineering & Construction Sdn Bhd.
Citaglobal Bhd saw the emergence of Datuk Shabaruddin Ibrahim, group executive chairman of Mutiara Perlis Sdn Bhd — the master developer of the Perlis Maritime Corridor — as a substantial shareholder with a 9.003% stake.
Insas Bhd has ceased to be a substantial shareholder in ICT firm Omesti Bhd following a disposal of 197.35 million shares, equivalent to an 8.5% stake.
HeiTech Padu Bhd has secured a RM17.62 million contract from the Ministry of Health to supply ICT equipment and provide a network upgrade to Miri Hospital in Sarawak.
Solar District Cooling Group Bhd has proposed a bonus issue of warrants on the basis of one free warrant for every two shares held in the building management systems company.
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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.
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| Currency | Buy Rates (RM) | Sell Rates (RM) |
|---|---|---|
| USD | 4.035039 | 4.067446 |
| EUR | 4.764602 | 4.769598 |
| CNY | 0.579680 | 0.580325 |
| HKD | 0.518726 | 0.522630 |
| SGD | 3.145218 | 3.167815 |