Malaysia Market Review: The FBM KLCI (+0.85%) rebounded after two days of losses to close higher on Tuesday, driven by bargain-hunting in blue-chip heavyweights, particularly within the banking sector and in line with the upbeat regional market performance. Market breadth was positive, with 710 advancers outpacing 403 decliners. Sector-wise, Industrial Products (+1.96%), Technology (+1.36%) and Finance (+1.11%) led gains, while Healthcare (-0.60%) was the sole laggard.
Global Markets. U.S. equities closed higher on Tuesday, with the Dow (+0.10%), S&P 500 (+0.25%) and Nasdaq (+0.47%) extending their rebound from a four-week sell-off amid the U.S.-Iran conflict (CNBC). In Europe, the STOXX 600 gained +0.67%, supported by broad-based buying despite oil prices rising above USD100/bbl on renewed supply concerns (CNBC). Meanwhile, Asian markets closed mixed, with early gains driven by a rebound in U.S. AI-related stocks and upbeat guidance from Nvidia fading into the close (Wall Street Journal). The Nikkei 225 slipped -0.09%, the Hang Seng edged up +0.13%, while the Shenzhen Composite declined -1.87%.
Market Outlook. Tensions at the Strait of Hormuz are still keeping oil markets on edge, although expectations that major economies may tap strategic petroleum reserves, alongside U.S. President Donald Trump’s call to safeguard the critical route, have provided some relief to investors. Against this backdrop, global equities are still likely to remain volatile with a cautious undertone, characterised by intermittent relief rallies but capped by uncertainty over growth and geopolitics, while the FBM KLCI is expected to trade range bound with a slight positive bias, supported by firmer oil prices and rotational interest in defensives, though upside may be limited by mixed regional cues and lingering external headwinds. Investor focus will also be on the outcome of the ongoing Federal Open Market Committee (FOMC) meeting, with Triple Witching on Friday likely to heighten market volatility as derivatives expirations spur heavier trading and short-term price swings.
Sector focus.We favour the export-oriented sectors amid ongoing geopolitical tensions and currency volatility. Higher oil prices could support the energy and plantation sectors, while defensive yield plays such as REITs and utilities remain attractive as investors seek stability in a volatile environment.
FBMKLCI Technical Outlook
Technical Commentary: The FBM KLCI continues to trade above its prevailing uptrend line. This suggests that the broader bullish structure remains intact for now. As long as the index holds above the 1,685–1,690 support zone, the prevailing uptrend is likely to remain intact. A decisive break below this level would weaken the technical structure and may signal a deeper corrective phase.
Company News (source: various)
AWC Bhd has secured a RM26.14 million contract from the Health Ministry to provide hospital support services at Hospital Shah Alam. (The Edge)
Axis REIT aims to convert its remaining loans to sustainability-linked financing and explore more of such funding as the real estate investment trust expands its portfolio. (The Edge)
Deleum Bhd has appointed former MSM Malaysia Holdings Bhd group chief executive officer Syed Feizal Syed Mohammad as an independent and non-executive director of the oil and gas services provider, effective immediately. (The Edge)
Gas Malaysia Bhd has appointed MMC Corp Bhd group chief executive officer Datuk Mohd Nazrul Izam Mansor and Petroliam Nasional Bhd (PETRONAS) veteran Datuk Md Shah Mahmood to its board of directors. (The Edge)
Ge-Shen Corp Bhd saw businessman Datuk Keh Chuan Seng cease to be a substantial shareholder after his latest stake disposal in the plastic injection moulding and metal stamping company. (The Edge)
Hextar Capital Bhd has bagged a RM75.9 million subcontract to undertake geotechnical and earthworks for a housing project for families of Armed Forces personnel in Tawau, Sabah. (The Edge)
Khee San Bhd has confirmed the completion of its regularisation plan and is now eyeing an exit from its Practice Note 17 (PN17) status as well as a return as the market leader in the confectionery industry. (The Edge)
MMAG Holdings Bhd said it delayed announcing the freeze on several of its bank accounts since October last year because the matter did not have any material impact on its operations. It said the group’s operations has continued smoothly, using unaffected bank accounts to meet its needs. (The Edge)
NexG Bhd’s freshly reinstated executive chairman and chief executive officer Datuk Abu Hanifah Noordin has withdrawn his suit against former company directors following their mass resignation last week. (The Edge)
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| Currency | Buy Rates (RM) | Sell Rates (RM) |
|---|---|---|
| USD | 3.904824 | 3.932412 |
| EUR | 4.518520 | 4.523835 |
| CNY | 0.569767 | 0.570393 |
| HKD | 0.498103 | 0.501644 |
| SGD | 3.058844 | 3.080621 |