Opening Daily Highlight
Mixed
Banks Lead KLCI Higher
Mon, 12-Jan-2026 07:54 am
by Research Team • Apex Research

Malaysia Market Review: The FBM KLCI advanced 1.02% to close at 1,686.54 on Friday, led by gains in banking heavyweights alongside firmer regional markets. Market breadth was positive, with 617 advancers outpacing 468 decliners. Sector-wise, Technology (+2.35%), Finance (+1.54%) and Energy (+1.42%) outperformed, while Property (-0.22%), Construction (-0.10%) and Utilities (-0.03%) were the main laggards.

 

Global Markets. Wall Street closed higher on Friday, with the Dow (+0.48%), S&P 500 (+0.65%) and Nasdaq (+0.81%) advancing. Gains were underpinned by a softer-than-expected nonfarm payrolls print, reinforcing expectations of Fed easing, even as a lower unemployment rate signalled continued labour market resilience. European markets followed through on the positive global tone, with the STOXX 600 (+0.97%) and the FTSE 100 (+0.80%) rising. Asian equities advanced, led by Japan’s Nikkei 225 (+1.61%), while the Hang Seng Index (+0.32%) and KOSPI (+0.75%) posted modest gains.

 

Market Outlook. Malaysian equities are likely to remain range-bound, tracking movements in US markets as investors continue to assess the Fed’s rate trajectory amid mixed labour market signals. Sentiment may stay cautious, with geopolitical and policy uncertainties including US strategies on Venezuela and Greenland, as well as ongoing tensions in Iran continuing to cap upside.

 

Sector focus. We remain positive on selected power-ancillary and renewable energy counters, supported by consistent demand visibility and long-term energy transition trends. We also favour selective consumer staples, underpinned by resilient domestic consumption and government cash assistance. Meanwhile, oil & gas counters may see near-term volatility, tracking movements in global oil prices amid heightened geopolitical risks following recent US actions in Venezuela and ongoing tensions in Iran, which could drive energy prices higher.

 

FBMKLCI Technical Outlook

Technical Commentary: The FBM KLCI ended the week higher from its early session levels.  Indicators turned mixed, with the MACD line trading below the signal line while the RSI remaining above 50. The next resistance is located at 1,700, while support is envisaged around 1,640.   

 

Company News (source: various)

UEM Group Bhd’s plan to take UEM Edgenta Bhd private is advancing, with the board of UEM Edgenta set to table the proposed selective capital reduction and repayment exercise at RM1.10 a share for shareholders' approval.

 

MMAG Holdings Bhd disclosed that Future Star Sdn Bhd, a Penang-based holding company, has acquired a 462 million block of shares from Datuk Seri Farhash Wafa Salvador Rizal Mubarak, who disposed of the stake on Dec 31. 

 

KKB Engineering Bhd has secured a minor engineering, procurement and construction contract from PETRONAS Carigali Sdn Bhd valued at RM212 million.

 

Iconic Worldwide Bhd has secured projected rental revenue of more than RM75 million following the signing of a long-term tenancy agreement for a factory in Batu Kawan owned by its subsidiary, Iconic Medicare Sdn Bhd, strengthening its recurring income base.

 

Reneuco Bhd and five of its directors have been reprimanded by Bursa Securities over the company's failure to issue its 2023 annual report by the Jan 30, 2024 deadline.

 

ITMAX System Bhd saw its largest shareholder, Optimax Holdings Bhd founder Tan Sri Dr Tan Boon Hock, sell a 2.824% stake in it for RM138.12 million.

 

Global Oriental Bhd said it is disposing of 18 retail units in its Pavilion Embassy project in Kuala Lumpur for RM35 million to pare its borrowings.

Sentiment: Positive
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