Malaysian Market Review. The FBM KLCI fell 0.17% to close at 1,611.16, snapping a two-day winning streak as continued selling pressure in blue-chip stocks weighed on sentiment in line with weaker regional markets. Market breadth was negative, with decliners outpacing advancers 574 to 443. Industrial Products & Services (-0.92%), Construction (-0.44%) and Technology (-0.34) led sectoral losses, while Health Care (+0.93%), Property (+0.47%) and REIT (+0.43%) bucked the downtrend.
Global Markets. Wall Street fell on Thursday as the AI trade came under renewed scrutiny, with the Nasdaq sliding 1.38% to 26,184.72, the S&P 500 down 0.30% to 7,720.39 and the Dow off 0.25% to 52,342.56, after Alphabet’s shares tumbled 12.64% on free-cash-flow concerns and Intel slumped 17.60% in after-hours trade on soft guidance, even as Microsoft’s results from a day earlier continued to provide some offset. The STOXX Europe 600 rose 0.77% to 649.11, as strong earnings from Shell, Adidas and Renault outweighed losses in Haleon and Lloyds, while the ECB held rates steady and Christine Lagarde announced she will step down as president next year. Asian markets were mixed as the region digested the same AI-spending concerns, with the Nikkei 225 still adding 1.10% to 64,659.47 on an Advantest-led rally, while the KOSPI fell 1.24% to 5,937.66 as Samsung Electronics dropped on disappointing shareholder returns, the Hang Seng declined 0.59% to 22,958.65 on AI hardware selling, and Indonesia’s JCI plunged 3.49%, weighed down by concerns over a potential MSCI downgrade and heavy selling in banking heavyweights. (CNBC).
Market Outlook. Wall Street’s AI trade came under renewed pressure as Alphabet and Intel’s disappointing updates dragged the Nasdaq down 1.38%, even as the Fed’s hold, 3.4% annualised Q3 GDP growth and still-elevated 3.6% core PCE inflation keep policy on a data-dependent footing, while the ECB’s own hold and Christine Lagarde’s announced departure add to the crosscurrents heading into the Bank of Japan’s Friday decision. Geopolitical risk also lingers, with US officials flagging potential action against Iran only after the 3 November midterm elections. Locally, uncertainty around 3Q26 corporate earnings and portfolio positioning ahead of the KLCI’s phased expansion from 30 to 50 constituents should keep flows choppy, compounded by the political overhang from Sarawak’s dissolved state assembly ahead of its 13th state election and the 14 November Melaka polls. We expect the FBM KLCI to remain range-bound with a selective defensive bias in the near term, as investors weigh external and domestic uncertainties, including lingering political uncertainty ahead of GE16.
Sector focus. Technology may see renewed pressure into Friday after the Nasdaq’s 1.38% overnight slide on renewed AI-spending concerns. Health Care could see continued support as investors rotate toward more defensive, earnings-resilient names amid the broader volatility.
FBMKLCI Technical Outlook
Technical Commentary: The FBM KLCI eased 0.17% to close at 1,611.16, slipping from an intraday high of 1,625.46 as the index remains capped below the descending trendline resistance in place since the January 2026 peak, keeping the broader downtrend intact even as price continues to consolidate within its recent range. The index continues to target the 1,650 level as the next resistance, a decisive break above which would mark a more meaningful improvement in momentum and open the path toward the 1,680 zone. On the downside, 1,600 serves as the immediate psychological support, followed by 1,580 if selling pressure intensifies.
Company News
Pharmacy chains operator Big Caring Group Bhd is looking to raise RM2.03 billion in Malaysia's second-largest listing this year. (The Edge)
Zetrix AI Bhd told Bursa Malaysia in response to its queries that a dissolution event was triggered after it breached a covenant requiring managing director Wong Thean Soon to remain its largest shareholder. (The Edge)
HeiTech Padu Bhd said it is no longer collaborating with Zetrix AI on the RM1.05 billion National Integrated Immigration System (NIISe) project, after both parties mutually agreed not to extend their teaming agreement. (The Edge)
SD Guthrie Bhd has partnered with YTL Power International Bhd and Bumi Assets Sdn Bhd to develop a 1,623-acre industrial park in Bukit Kerayong, Selangor. (The Edge)
Two companies, Mega Fortris Bhd and GIIB Holdings Bhd, linked to businessman Datuk Ng Meng Kee saw sharp declines in their share prices on Thursday, prompting Bursa Malaysia to query one of them. (The Edge)
JF Technology Bhd has proposed issuing up to 388.01 million free warrants to existing shareholders, giving them the option to buy more shares in the semiconductor test equipment maker over the next five years. (The Edge)
TSH Resources Bhd said its review of records to date has not identified any business relationship with any of the 10 companies named by Singapore’s National Environment Agency (NEA) regarding forest and peatland fires in Indonesia. (The Edge)
British American Tobacco (Malaysia) Bhd’s net profit dropped 66.54% to RM2.35 million for the third quarter ended Sept 30, 2026 (3QFY2026) from RM7.02 million a year earlier amid higher restructuring expenses. (The Edge)
Mi Technovation Bhd posted record earnings 3QFY2026 driven by higher sales volume, improved average selling prices and optimised product mix. (The Edge)
Axis Real Estate Investment Trust reported a 2.8% year-on-year decline in 3QFY2026 net property income (NPI) as property income weakened while operating expenses increased. (The Edge)
Chin Teck Plantations Bhd reported a 68.58% drop in net profit for its fourth financial quarter, dragged down by lower palm product sales and the absence of a sizeable land disposal gain recorded by its associate a year earlier. (The Edge)
Taghill Holdings Bhd has secured a RM166 million contract to undertake the main building works for a commercial development in Penang. (The Edge)
Newly-listed SLGC Bhd secured a RM50.24 million contract to undertake the construction of detached industrial factories and related infrastructure works in Telok Panglima Garang, Selangor. (The Edge)
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| Currency | Buy Rates (RM) | Sell Rates (RM) |
|---|---|---|
| USD | 4.043840 | 4.076443 |
| EUR | 4.515479 | 4.524729 |
| CNY | 0.608956 | 0.610200 |
| HKD | 0.515274 | 0.519484 |
| SGD | 3.155451 | 3.181015 |