Malaysia Market Review: The FBM KLCI edged up 0.10% on Monday as investors maintained a measured, opportunistic stance rather than broad-based risk aversion ahead of the Chinese New Year holidays. Market breadth was positive, with 531 gainers outpacing 462 losers. Sector wise, Property (+1.50%) and Industrial Products (+1.25%) led advances, while Finance (-0.77%) and Telecommunications & Media (-0.65%) were the main laggards.
Global Markets. Wall Street ended higher on Wednesday, with the Dow (+0.26%), S&P 500 (+0.56%) and Nasdaq (+0.78%) supported by gains in key technology names, while investors digested minutes from the Federal Reserve’s latest policy meeting. The minutes indicated policymakers remain divided on the rate outlook, with scope for further cuts if inflation eases but overall caution persisting amid lingering inflation uncertainty. European equities also closed higher, driven by gains in defence and banking stocks as investors assessed corporate earnings and reports of a potential leadership transition at the European Central Bank. Amid the ongoing Chinese New Year holidays, several Asian markets remained closed, including the Shanghai Composite and Hang Seng, while the Nikkei 225 rose 1.02% on stronger-than-expected Japan export data and improved sentiment over potential Japan-US investment cooperation.
Market Outlook. Global sentiment remains cautiously constructive as Fed meeting minutes highlighted a divided policy outlook, with some officials open to further rate cuts if inflation continues to ease while others prefer holding rates steady amid lingering inflation risks. Technology stocks have stabilised following recent volatility, although investors remain watchful over the longer-term earnings impact of AI investments, while uncertainty surrounding US tariff cost burdens continues to cloud the policy outlook. Against this backdrop, the FBM KLCI is expected to trade range-bound around the 1,735–1,750 level, with investors likely to focus on assessing upcoming local corporate earnings, while persistent global uncertainties may cap near-term upside.
Sector focus.We favour the consumer sector, supported by ringgit strength that should ease imported cost pressures, alongside a tourism rebound under Visit Malaysia 2026 that is expected to lift domestic spending. Meanwhile, the banking and REITs sector remains favourable for its stable earnings visibility and attractive dividend yields.
FBMKLCI Technical Outlook
Technical Commentary: The FBM KLCI has consolidated around 1775 – 1720, suggesting a neutral bias in the near term. This is supported by the MACD line still trading below the signal line while the RSI, although remaining above 50, trends downwards weakly. The next resistance is located at 1,775, while support is envisaged around 1,720.
Company News (source: various)
Duopharma Biotech Bhd has received two letters of award worth a sum value of RM116.72 million to supply insulin products and insulin injections to the Ministry of Health (MOH) and its facilities.
Farmiera Bhd said a fire incident occurred at its broiler farm in Linggi, Negeri Sembilan, on Saturday (Feb 14).
GDB Holdings Bhd clarified that it has not issued, authorised or circulated any share investment scheme promising investors a 20% annual return.
IGB Bhd and its joint venture partner, Johor state-owned Southkey City Sdn Bhd, have agreed to extend the conditional period for their RM214.97 million purchase of two leasehold land parcels in Johor Bahru by three months.
Johan Holdings Bhd’s 80%-owned unit, Lumut Park Resort Sdn Bhd, is selling a hotel in Lumut, Perak, and three adjoining parcels of land for RM47.43 million in cash.
MISC Bhd’s joint venture company has secured a contract extension for its floating production, storage and offloading (FPSO) Ruby II offshore in Vietnam until Dec 31, 2027.
Seal Inc Bhd is relinquishing control over its 31.50-acre reclamation project in Penang to a unit of Penang property developer GSD Land (M) Sdn Bhd to reduce financial risk and funding pressure during the project’s long gestation period.
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| Currency | Buy Rates (RM) | Sell Rates (RM) |
|---|---|---|
| USD | 3.886447 | 3.913837 |
| EUR | 4.616449 | 4.621578 |
| CNY | 0.565905 | 0.566649 |
| HKD | 0.497162 | 0.500770 |
| SGD | 3.079707 | 3.101768 |