Malaysian Market Review. The FBM KLCI edged 0.03% higher to 1,679.53 on Thursday, extending its gains for a second consecutive session amid selective buying in key sectors. Market sentiment improved modestly, with market breadth turning slightly positive with 567 advancers against 559 decliners. Sector-wise, Health Care (+1.10%), Technology (+1.03%) and Industrial Products & Services (+0.84%) led gains, while Property (-2.39%), Telecommunications & Media (-1.07%) and REIT (-0.42%) were the main laggards.
Global Markets: U.S. equities rebounded strongly on Thursday, with the Dow Jones Industrial Average (+1.86%), S&P 500 (+1.75%) and Nasdaq Composite (+2.54%) all ending higher. Investor sentiment improved after President Trump cancelled planned strikes on Iran and indicated that a nuclear agreement with Tehran could be signed soon, easing concerns over further escalation in the Middle East. The de-escalation also weighed on oil prices, with Brent crude falling 6.18% to US$89.13 per barrel. Meanwhile, technology and semiconductor stocks led gains, supported by bargain hunting following the recent sell-off and growing optimism ahead of SpaceX’s highly anticipated IPO (CNBC). European equities also advanced, with the STOXX Europe 600 (+0.54%) ending higher despite the ECB raising interest rates by 25 basis points (CNBC). Asian markets closed mixed, with South Korea’s Kospi (+0.43%) rebounding from earlier losses, while the Nikkei 225 was broadly flat and the CSI300 (-0.55%) and Hang Seng Index (-0.65%) ended lower amid lingering geopolitical concerns (CNBC).
Market Outlook. Market sentiment is likely to remain positive today, supported by the strong overnight performance on Wall Street and the sharp decline in oil prices following signs of easing geopolitical tensions in the Middle East. Meanwhile, investor interest in AI-related investments is expected to remain strong ahead of the highly anticipated SpaceX IPO, which could continue to support sentiment towards technology-related counters. Domestically, Malaysia's fundamentals remain resilient despite external uncertainties, supported by healthy investment activity and sustained demand for AI-related electronics and services. However, local political uncertainties remain a key risk factor that could weigh on overall market sentiment.
Sector focus. Technology and Consumer sector may remain in focus amid improving risk appetite, easing geopolitical tensions and continued interest in AI-related investment themes. Meanwhile, Energy-related counters could face near-term selling pressure following the sharp decline in crude oil prices.
FBMKLCI Technical Outlook
Technical Commentary: The FBM KLCI remains at a critical juncture, hovering around the neckline of a bearish Double Top formation. A decisive break below this level could signal further consolidation or downside risk in the weeks ahead. Should the KLCI decisively breach the 1,670-neckline support, the index may extend its decline towards 1,640. On the upside, resistance is expected around the 1,700 mark.
Company News
Capital A Bhd said the Singapore court order to seize shares in BigPay and Teleport is not expected to result in any losses for the group, as the related claim has already been accounted for in its financial statements. (The Edge)
Coastal Contracts Bhd said a consortium led by its Mexican joint venture has secured a US$204.8 million contract from Pemex for the development and operation of a gas sweetening plant in Mexico. (The Edge)
Bermaz Auto Bhd reported that its 4QFY26 net profit more than doubled to RM46.62 million, driven by stronger Mazda sales and improved margins. (The Edge)
Titijaya Land Bhd has partnered with PNSB Construction Sdn Bhd to develop 1,202 affordable Rumah Idaman housing units in Selangor. (The Edge)
FACB Industries Incorporated Bhd said its shares will be suspended from July 22 after its public shareholding spread fell below Bursa Malaysia’s minimum requirement. (The Edge)
Kerjaya Prospek Group Bhd has partnered Aspen Vision Development Sdn Bhd to jointly develop a 34.84-acre mixed-use project in Prai, Penang. (The Edge)
Shin Yang Group Bhd's subsidiary has filed a lawsuit against Petroschiff Marine Logistics Sdn Bhd to recover RM2.96 million in alleged unpaid charter fees and related costs. (The Edge)
Malaysia Marine and Heavy Engineering Holdings Bhd's subsidiary has been sued for RM54.01 million over the alleged wrongful termination of a contract. (The Edge)
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| Currency | Buy Rates (RM) | Sell Rates (RM) |
|---|---|---|
| USD | 4.041952 | 4.074317 |
| EUR | 4.698349 | 4.703153 |
| CNY | 0.599835 | 0.600459 |
| HKD | 0.516063 | 0.519692 |
| SGD | 3.151132 | 3.173386 |