Opening Daily Highlight
Mixed
Unabated volatility
Fri, 12-Jan-2024 09:27 am
by Research Team • Apex Research

Market Review & Outlook

  • Malaysia Market Review. The FBM KLCI (-0.26%) took another step back, dragged down by extended profit taking in gaming and Petronas-related heavyweights yesterday. The lower liners were also downbeat, while the energy sector (+1.46%) outperformed following the higher crude oil prices.
  • Global Markets Review. Wall Street finished mixed after a volatile trading session following the hotter-than-expected inflation data that rose 3.4% yoy in December 2023 vs consensus expectations of 3.2% yoy rise. European stock markets, extended their decline, but Asia stock markets closed mostly upbeat.
  • Market Outlook. We opine that the recent pullback to be healthy for recent gains to be absorbed before further strides were to take charge again. The lower liners may also extend their retreat with selective sectors comes in focus. Following the hotter-than-expected inflation data in the US, investors remain sceptical over the timing of prospects interest rate cuts and this may limit any potential recovery in the equities markets. Still, near term focus lies onto the barrage of US corporate earnings releases with banking giants such as JP Morgan, Bank of America, Citigroup and Wells Fargo kicking off the reporting season later tonight. Meanwhile, we expect the sharp gains in crude oil prices as a result of Iran seizing a tanker in the Gulf of Oman to see improved trading activities within the energy sector.


FBM KLCI Technical Review & Outlook

  • Technical Commentary:The FBM KLCI formed another bearish candle after reversing all its intraday gains yesterday. Still, indicators remained positive as the MACD Line hovered above the Signal line, while the RSI slipped out from the overbought territory. Immediate resistance is located at 1,500. Support is pegged at 1,445.

Company News

  • Sabah-based gold miner Borneo Oil Bhd has ended its gold-mining venture with Syarikat Ratna Pura Sdn Bhd (SRP) and Ricco Mining Sdn Bhd in Mukim Keratong, Rompin, Pahang, as part of its plans to downsize its mining operations in the state.
  • The value of Fajarbaru Builder Group Bhd’s contract for the planning phase of the redevelopment of military facilities at the Royal Malaysian Air Force base in Butterworth, Penang has been revised to a higher sum of RM16.26 million from RM7.36 million previously.
  • Atlan Holdings Bhd's net profit rose 9.48% to RM6.47 million in the third quarter ended Nov 30 (3QFY2024) from RM5.91 million a year ago on the back of higher revenue from the automotive segment.
  • Hume Cement Industries Bhd (HCIB) has accepted an offer to sell its plot of land in the Prai Industrial Estate in Penang for RM39.8 million cash that will bring it an estimated net gain of RM32 million.
  • UEM Sunrise Bhd unveiled an enhanced version of its virtual concierge app named hUb prop at Kiara Bay Sales Gallery, Kepong here on Thursday.
  • JAG Capital Holdings Bhd’s mandatory general offer (MGO) for KUB Malaysia Bhd is not due to any valuation issues, according to Plantation and Commodities Minister Datuk Seri Johari Abdul Ghani.
  • EVD Bhd has suspended executive director of operations Mah Seong Huak from his duties with immediate effect in the specific areas of project management and engineering; project tender and budget; project system engineering; and business development.


Sentiment: Neutral
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Market Mover
Settlement Rates
Currency Buy Rates (RM) Sell Rates (RM)
USD 4.210973 4.249411
EUR 4.954495 4.965490
CNY 0.589445 0.590817
HKD 0.536642 0.541158
SGD 3.306006 3.333319