Malaysian Market Review. The FBM KLCI fell (-0.39%) to 1,741.72 on Thursday as profit-taking in selected heavyweights weighed on the benchmark amid the ongoing corporate earnings season. However, market breadth remained slightly positive, with 612 advancers against 596 decliners, while 568 counters were unchanged. Sector-wise, Construction (+1.29%), Energy (+1.28%) and Technology (+1.20%) led the gains, while Transportation & Logistics (-0.90%), Plantation (-0.86%) and Consumer Products & Services (-0.63%) were the top laggards.
Global Markets: U.S. equities rebounded overnight, with the Dow Jones Industrial Average rising (+0.20%), the S&P 500 gaining (+0.72%) and the Nasdaq Composite surging (+1.57%), supported by strong gains in technology and semiconductor stocks following Nvidia's stronger-thanexpected earnings and upbeat revenue outlook. Nvidia jumped (+8.7%), while semiconductor names including Broadcom and Intel also rallied. In Europe, the STOXX Europe 600 ended lower, as gains in technology stocks following Nvidia's results were offset by weakness across consumer, chemical and auto stocks. Across Asia, markets ended mixed, with South Korea's Kospi rising (+1.53%), while Japan's Nikkei 225 fell (-0.20%) and Hong Kong's Hang Seng Index declined (- 0.34%) (CNBC).
Market Outlook. We expect the FBMKLCI to trade higher today, with pre-Merdeka buying interest potentially providing further support ahead of the National Day celebrations. Investors will continue to digest the latest corporate earnings and company developments, with individual stock performance likely to remain driven by the results. Globally, Nvidia's stronger-than-expected earnings and upbeat outlook could provide further support to technology and semiconductor sentiment, while attention will shift to Federal Reserve Chair Kevin Warsh's Jackson Hole speech later today for clues on the U.S. interest rate outlook. Overall, we expect the market to remain supported by improving technology sentiment and pre-Merdeka positioning, although investors are likely to remain selective amid ongoing earnings releases and external uncertainties.
Sector focus. We expect the Technology sector to remain in focus following Nvidia's strongerthan-expected earnings and upbeat outlook, which could further lift sentiment towards AI-related and semiconductor counters. Meanwhile, Plantation stocks may attract interest amid firmer crude palm oil prices.
FBMKLCI Technical Outlook
Technical Commentary: The FBM KLCI remains below the key 1,750–1,760 resistance zone after retreating from its intraday high, while still holding above its 9- and 20-day moving averages. A decisive breakout above 1,755 would strengthen the bullish momentum and pave the way towards the 1,770–1,775 area. On the downside, 1,720 is the immediate support, followed by 1,700 should further profit-taking emerge. Overall, the near-term bias remains positive, although the index needs to clear the 1,750–1,760 resistance zone to sustain its upward momentum.
Company News
Tenaga Nasional Bhd reported a 23% decline in 2QFY26 net profit due to forex losses despite stronger electricity sales, and declared a 25 sen interim dividend. (The Edge)
Inari Amertron Bhd posted its weakest quarterly results in 14 years, with 4QFY26 net profit plunging 88% due to the fire incident at its Philippine plant and lower revenue. (The Edge)
Sunway Bhd reported a 16.7% increase in 2QFY26 net profit, supported by stronger property and healthcare contributions, and declared a three sen interim dividend. (The Edge)
Berjaya Food Bhd narrowed its FY2026 net loss significantly, supported by improved Starbucks operations, cost optimisation and store rationalisation. (The Edge)
Time dotCom Bhd posted its strongest quarterly earnings in a decade, with 2QFY26 net profit rising 29% on higher data revenue and forex gains, and declared a 5.41 sen special dividend. (The Edge)
IOI Properties Group Bhd more than doubled its FY2026 dividend to 16 sen per share after fullyear net profit more than doubled and revenue hit a record RM4.44 billion. (The Edge)
Capital A Bhd posted its second consecutive quarterly profit following the disposal of its aviation business, with stronger aircraft maintenance and logistics operations offsetting softer travel demand. (The Edge)
IHH Healthcare Bhd reported a 29.3% increase in 2QFY26 net profit, supported by sustained demand, a more complex patient mix and price adjustments, and declared a 5.5 sen interim dividend. (The Edge)
Press Metal Aluminium Holdings Bhd posted record 2QFY26 earnings, with core Patami rising 42% on higher realised metal prices, and declared a 2.5 sen interim dividend. (The Edge)
Petron Malaysia Refining & Marketing Bhd remained loss-making in 2QFY26 as its Port Dickson refinery shutdown forced greater reliance on imports, marking its second consecutive quarterly loss. (The Edge)
Chin Hin Group Bhd reported a 63.9% decline in 2QFY26 net profit due to a fair value loss on other investments, despite stronger revenue from its property, construction and building materials businesses. (The Edge)
Malayan Flour Mills Bhd posted a 53% increase in 2QFY26 net profit, driven by better flour and grain trading margins and stronger joint venture contributions, and declared a two sen interim dividend. (The Edge)
Hong Leong Bank Bhd maintained its FY2027 loan growth target of 6%-7%, adopting a more cautious stance amid inflationary pressures and strong deposit competition. (The Edge)
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| Currency | Buy Rates (RM) | Sell Rates (RM) |
|---|---|---|
| USD | 4.018207 | 4.049442 |
| EUR | 4.693354 | 4.696955 |
| CNY | 0.599831 | 0.600296 |
| HKD | 0.512802 | 0.516282 |
| SGD | 3.159941 | 3.181439 |