Malaysian Market Review. The FBM KLCI rose 0.13% to close at 1,613.87, as late buying in heavyweight stocks, in line with a rebound in regional technology shares, lifted the index ahead of the US Federal Reserve’s rate decision. Market breadth was positive, with advancers outpacing decliners 658 to 418. Technology (+1.83%), Industrial Products & Services (+1.20%) and Construction (+0.86%) led sectoral gains while Property (-0.48%) and REIT (-0.40%) lagged.
Global Markets. Wall Street edged higher on Wednesday, with the S&P 500 up 0.28% to 7,743.98, the Nasdaq adding 0.27% to 26,549.85 and the Dow rising 0.19% to 52,475.10, as the Federal Reserve held its benchmark rate at 3.75%-4.00% in a 10-2 vote, with Governor Lisa Cook and Cleveland Fed President Beth Hammack dissenting in favour of a 25-basis-point hike, while Oracle’s 10.58% surge on an upbeat free-cash-flow outlook and SK Hynix’s 13.3% jump on strong earnings lifted the Philadelphia Semiconductor Index 1.75% ahead of Thursday’s Alphabet and Microsoft results. The STOXX Europe 600 ended little changed, as disappointing earnings from Thyssenkrupp and Adyen and a recent rise in oil prices offset optimism ahead of Thursday’s ECB rate decision. Asian markets rallied on the same chip-earnings momentum, with the Kospi surging 6.63% to 6,012.44 on SK Hynix’s 11.4% jump and Samsung’s 9.1% gain ahead of its own results, the Nikkei 225 up 1.08% to 63,954.19, the Hang Seng adding 0.23% to 23,094.83 after recovering from early losses, and the Shanghai Composite rising 0.91% to 3,681.47 on broad tech-led buying. (CNBC).
Market Outlook. We expect the KLCI to remain under pressure amid a cautious market environment. In the US, investor sentiment may be swayed by major technology earnings and 3 November midterm elections, while persistent US-Iran tensions continue to cloud the outlook. Locally, uncertainty surrounding 3Q26 corporate earnings and portfolio adjustments ahead of the phased expansion of the KLCI from 30 to 50 constituents could weigh on market sentiment. Political uncertainty is also coming into focus, following the dissolution of Sarawak’s State Legislative Assembly on 26 October ahead of its 13th state election, alongside the Melaka polls scheduled for 14 November. These developments could keep investors cautious as they assess the implications for political alignments, policy continuity and the outlook ahead of GE16.
Sector focus. Technology should extend its momentum into Thursday after a chip-earnings-fuelled rally sent the Kospi surging 6.63% and the Nikkei 1.08%, even as Wall Street’s after-hours Big Tech reactions turned mixed. REITs and Property may remain under pressure in the near term following the FOMC’s cautious stance, as persistent inflation and the possibility of further monetary tightening could keep US bond yields elevated, weighing on sentiment towards rate-sensitive assets.
FBMKLCI Technical Outlook
Technical Commentary: The FBM KLCI closed at 1,613.87 (+0.13%), holding above its EMA9 for a second straight session while remaining below its EMA20, EMA120 and SMA200, keeping the broader downtrend intact even as the index consolidates near recent highs. The index continues to target the 1,630 level as the next resistance, a decisive break above which would mark a more meaningful improvement in momentum. On the downside, 1,610 held as support after yesterday’s low of 1,609.44 briefly tested the level, with 1,600 and then 1,580 as the next support levels should selling pressure resume.
Company News
The Malaysian billionaire families behind Maxis Bhd and U Mobile Sdn Bhd are reviving plans to combine the companies in a deal that could create the country’s biggest wireless operator by market value, Bloomberg reported, citing people with knowledge of the matter. (The Edge)
The Securities Commission Malaysia has paid a visit to Zetrix AI Bhd’s headquarters in Petaling Jaya as part of an investigation involving the company, according to sources familiar with the matter. (The Edge)
Bursa Malaysia Bhd’s net profit grew nearly 10% to RM70.21 million for the third quarter ended Sept 30, 2026 (3QFY2026) from RM63.85 million a year earlier, thanks to higher trading activities. (The Edge)
CTOS Digital Bhd’s net profit rose 11.5% to RM27.54 million for 3QFY2026 from RM24.69 million a year earlier supported by higher revenue and contributions from associate companies despite disruptions to some of its credit reporting services following a cybersecurity incident. (The Edge)
PT Bank CIMB Niaga Tbk, the 91.45%-owned Indonesian subsidiary of CIMB Group Holdings Bhd, reported a 14.7% year-on-year decline in net profit for the nine months ended Sept 30, 2026, (The Edge)
Jati Tinggi Group Bhd on Wednesday reported a more than two-fold increase in quarterly net profit from a year earlier, driven by higher revenue from power infrastructure and underground cable projects, particularly those linked to data centres. (The Edge)
Oriental Interest Bhd has called off its proposed RM280 million acquisition of two motorcycle financing and retail businesses. (The Edge)
Pantech Group Holdings Bhd’s net profit for the second quarter ended Aug 31, 2026 grew 33.1% to RM19.39 million from RM14.57 million a year earlier due to stronger contributions from its manufacturing division. (The Edge)
Berjaya Property Bhd's unit Berjaya Construction Bhd will undertake design-and-build works for the Sanglang Port development project in Perlis. (The Edge)
Titijaya Land Bhd is selling its logistics hub in Bayan Lepas, Penang, to government-linked property investor Pelaburan Hartanah Bhd for RM300 million. (The Edge)
T7 Global Bhd has secured a three-year contract to provide hook-up and commissioning (HUC) services in Peninsular Malaysia from a PETRONAS-Eni joint venture. (The Edge)
Kanger International Bhd's trading suspension looms after Bursa Malaysia Securities rejected its request for more time to issue its interim audited financial statements. (The Edge)
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| Currency | Buy Rates (RM) | Sell Rates (RM) |
|---|---|---|
| USD | 4.060894 | 4.093374 |
| EUR | 4.534187 | 4.538781 |
| CNY | 0.611365 | 0.611983 |
| HKD | 0.517846 | 0.521482 |
| SGD | 3.168276 | 3.190617 |