Opening Daily Highlight
Mixed
Eyes on Fed interest rate guidance
Wed, 20-Mar-2024 07:57 am
by Research Team • Apex Research

Market Review & Outlook

  • Malaysia Market Review. The FBM KLCI (-0.56%) closed lower, retreating after midday break as investors digested the interest rates hike by Bank of Japan may cause outflow of foreign fund from local markets. The lower liners closed mixed with Property sector (+1.03%) ranked as the top gainer and Utilities as the top loser following with the profit taking on YTL and YTLPower.
  • Global Markets Review. Wall Street's main indexes extended their recovery on Tuesday, driven by a decline in Treasury yields as investors awaited the Federal Reserve's decision scheduled later tonight. Similarly to European market, closed green, while regional Asia pacific stock market mostly closed red after BOJ raised its benchmark interest rate and abolished its yield curve control policy.
  • Market Outlook. We anticipate the local bourse to trade cautiously sideways, ahead of the Fed interest rate guidance and potential outflows of funds to Japan following the BOJ's hawkish move. The lower liners could be bracing for profit taking as well after enjoying a decent run over recent weeks. We expect to see buying interest on energy sector following with the extended gains on oil prices, hitting multi-month highs for the second consecutive session. We also favor gold-related counters, particularly after Poh Kong posted a stellar quarterly performance, coupled with the sustained high prices of gold.
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