Market Daily Report: KLCI lower as Trump-Kim summit collapses, China reports worst PMI in three years

KUALA LUMPUR (Feb 28): The FBM KLCI fell 5.72 points or 0.33% to close at 1,707.73 as slimmer trade resolution hopes and weaker Chinese factory data dampened global investor sentiment. News that the US-North Korean summit in Hanoi collapsed with no agreement reached had also affected world market dynamics.

Across Asian stock markets, Japan’s Nikkei 225 closed 0.79% lower while South Korea’s Kospi was down 1.76%. In China, the Shanghai Stock Exchange Composite fell 0.44% while Hong Kong's Hang Seng lost 0.43%.

In Malaysia, Malacca Securities Sdn Bhd senior analyst Kenneth Leong told theedgemarkets.com the market weakness today was mainly attributable to US President Donald Trump and North Korean leader Kim Jong Un's summit, which was cut short with no agreement reached.

“Besides, the weak China factory data also contributed to the weakness today, after its Purchasing Managers' Index shrank to a three-year low at 49.2 (in February 2019),” Leong said. 

 

Reuters reported that Asian stocks fell on Thursday as investors dialled back some of their recent optimism about a China-US trade deal while news that the US-North Korean summit in Hanoi ended early rattled confidence late in the trading day.

It was reported tha US Trade Representative Robert Lighthizer said on Wednesday it was too early to predict an outcome in talks between Washington and Beijing.

It was reported that Lighthizer told US lawmakers that US issues with China are "too serious" to be resolved with promises from Beijing to purchase more US goods and any deal between the two countries must include a way to ensure commitments are met.

On the US-North Korean summit, it was reported that the White House said today Trump and Kim did not reach an agreement at the end of two days of meetings but had constructive discussions on denuclearisation.

Across Bursa Malaysia today, 2.57 billion shares worth RM2.97 billion were traded. Top decliners included Nestle (M) Bhd and AirAsia Group Bhd.

AirAsia Group, which also ended among top-active stocks, closed 27 sen down at RM2.77. The stock saw some 75 million shares traded.


Source: The Edge

Market Daily Report: KLCI down 5.55 points amid India-Pakistan tension, US-China trade talk uncertainty

KUALA LUMPUR (Feb 27): The FBM KLCI closed 5.55 points or 0.32% lower today at 1,713.45 after the India-Pakistan geopolitical tension hit world stock markets and as US-China trade talk uncertainty affected sentiment.

Reuters reported that Asian shares and Wall Street stock futures turned negative on Wednesday after Pakistan said it had shot down two Indian jets in its territory, sending investors out of riskier markets and into more conservative choices such as the yen. It was reported that Islamabad said on Wednesday it had carried out airstrikes in Indian-controlled Kashmir and shot down two Indian jets in its own airspace, capturing one of the pilots as the risk of conflict between the nuclear-armed neighbours escalates.

It was reported that Indian bonds, stocks and the rupee all sold off. The flare up in geopolitical risks hit broader sentiment, driving investors out of stocks and into safe-haven assets with US stock futures slipping and the Japanese yen gaining.

As global investors took cue from the India-Pakistan geopolitical tension, they were still mindful of the uncertainty from US-China trade talks. In Malaysia, Areca Capital Sdn Bhd chief executive officer Danny Wong Teck Meng told theedgemarkets.com that "uncertainty from US-China trade talks is still present". 

Across Bursa Malaysia today, 2.19 billion shares with a value of RM2.07 billion were traded.
Top decliners included British American Tobacco (M) Bhd, Nestle (M) Bhd and Hong Leong Financial Group Bhd.



Source: The Edge

Market Daily Report: FBM KLCI slips as China-US trade optimism dissipates

KUALA LUMPUR (Feb 26): The FBM KLCI fell 5.58 points or 0.32% today with Asian peers as optimism on US-China trade talks appeared short-lived. Malaysian shares also contended with lower crude oil prices.

At 5pm today, the KLCI closed at 1,719.00 as investors were mindful that although US President Donald Trump said on Sunday he would delay a tariff hike on US$200 billion of Chinese imports, there is no guarantee that the delay will translate into a formal agreement that will benefit trade activities.

Investors are “coming back to their senses,” Inter-Pacific Securities Sdn Bhd research head Pong Teng Siew told theedgemarkets.com today.

Reuters reported today that Trump said on Sunday he would delay a tariff hike on US$200 billion of Chinese imports in the clearest sign yet that both sides were making progress in the talks, but he also sounded a note of caution, saying a deal "could happen fairly soon, or it might not happen at all".

It was reported that today's losses in Asian stock markets came as JPMorgan analysts urged investors to "curb some of their enthusiasm" over the trade talks, saying the extension to the deadline was a "foregone conclusion".

 Across Bursa Malaysia today, 2.64 billion shares worth RM2.21 billion exchanged hands as oil and gas-related equities closed down amid lower crude oil prices. Top decliner Petronas Dagangan Bhd closed down RM1.60 at RM26.80.

On oil markets, Reuters reported that oil inched down today to extend losses of more than 3 percent from the previous session, easing after Trump called on OPEC to rein in its efforts to boost prices. It was reported that Brent futures were at US$64.66 a barrel at 0533 GMT, down 10 cents, or 0.2 percent, from their last close.


Source: The Edge

Market Daily Report: FBM KLCI up as US delays tariff on Chinese goods

KUALA LUMPUR (Feb 25): The FBM KLCI closed 3.16 points or 0.18% higher today at its intraday high on bargain hunting and after news reports indicated US President Donald Trump as saying he will delay an increase in tariffs on Chinese goods, due to productive trade talks.

At 5pm, the KLCI closed at 1,724.58 points on bargain hunting, after falling to its intraday low 1,717.41. The KLCI closed higher, lifted by KLCI stocks, including Petronas Dagangan Bhd and Malaysia Airports Holdings Bhd.

Petronas Dagangan and Malaysia Airports ended among Bursa Malaysia top gainers.

The KLCI could have also taken cue from Mainland China shares, which closed substantially higher today on news of the tariff delay. The Shanghai Stock Exchange Composite rose 5.6%, while the CSI300 gained 5.9%. 

 

Reuters reported a surge in Shanghai shares led Asia higher on Monday, after Trump confirmed he would delay a planned hike in tariffs on Chinese imports, as talks between the two sides made "substantial progress".

In Malaysia, Areca Capital Sdn Bhd chief executive officer Danny Wong Teck Meng told theedgemarkets.com that the postponement of the much-watched tariff was well-accepted by global investors.

“But we still have to keep a close watch; there is still uncertainty on the final decision,” Wong said.
Across Bursa Malaysia, 2.62 billion shares were traded for RM2.15 billion. Leading gainer Petronas Dagangan closed up RM1.60 at RM28.40.

Gamuda Bhd ended among top active stocks and leading decliners, on news the Malaysian Government has begun talks with Gamuda to negotiate the acquisition of four highway concessions that Gamuda has a majority stake in, with the aim of abolishing toll collection at these highways.
Gamuda fell 18 sen to RM2.86 today, with some 42 million shares traded.


Source: The Edge

Market Daily Report: FBM KLCI tumbles after four consecutive days of gains

KUALA LUMPUR (Feb 22): The FBM KLCI closed 9.26 points or 0.54% lower today on profit taking after four consecutive days of gains and following overnight US share losses on Thursday.

At 5pm today, the KLCI closed at 1,721.42 after falling to its intraday low of 1,716.17. Malacca Securities Sdn Bhd senior analyst Kenneth Leong told theedgemarkets.com that the weakness in the KLCI mainly stemmed from the overnight pullback in US shares and profit taking in selected KLCI stocks.

“This (KLCI) pullback is considered healthy especially after the KLCI gained close to 40 points over the past week,” said Leong.

Among the 30 KLCI constituents today, Top Glove Corp Bhd was the top decliner in percentage terms, followed by Maxis Bhd. Top Glove closed 27 sen or 5.29% down at RM4.83 while Maxis fell 16 sen or 2.82% to RM5.51. 

 

On Monday, the KLCI ended up at 1,692.74 followed by daily gains, which took the index to 1,730.68 yesterday.

Overnight on Thursday in the US, Reuters reported that the Dow Jones Industrial Average fell 103.81 points, or 0.4 percent, to 25,850.63, the S&P 500 lost 9.82 points, or 0.35 percent, to 2,774.88 and the Nasdaq Composite dropped 29.36 points, or 0.39 percent, to 7,459.71. It was reported that weak economic reports pressured US stocks on Thursday after the market's recent run of gains, and a drop in healthcare shares added to the bearish momentum.

Mainland China shares, however closed substantially higher today. It was reported that Mainland Chinese stocks climbed on Friday to post their best weekly gains in years, led by gains in brokerage firms, amid hopes of a Sino-US trade deal before the March 1 deadline, after which the United States plans to hike tariffs on Chinese goods.

The blue-chip CSI300 index rose 2.3 percent, to 3,520.12 points, its highest closing level since July 26, 2018, while the Shanghai Composite Index ended up 1.9 percent at 2,804.23 points, its highest close since September 2018.


Source: The Edge

Market Daily Report: FBM KLCI up at 11th hour; HLFG spikes to record finish

KUALA LUMPUR (Feb 21): The FBM KLCI closed 4.5 points or 0.26% higher today at its intraday high on bargain hunting and amid apparent signs of progress in China-US trade talks.

At 5pm, the KLCI closed at 1,730.68  after trading mostly in the red throughout the day. The KLCI closed higher on bargain hunting after falling to its intraday low at 1,719.67.

Hong Leong Investment Bank Bhd head of retail research Loui Low told theedgemarkets.com that buyers were seen coming in again today when trading resumed after Bursa Malaysia's afternoon break. 
   
“I (will) give it another day for the positive trend to continue,” said Low, noting that the positive sentiment among investors will, however, depend on the outcome of Malaysia's current corporate financial reporting season.

Across Bursa Malaysia today, 3.71 billion shares worth RM3 billion were traded. KLCI stocks Nestle (M) Bhd and Hong Leong Financial Group Bhd (HLFG) closed among Bursa Malaysia top gainers.

At a glance, the KLCI had earlier today erased losses in the final trading hour to close higher after an 11th-hour spike in the share prices of Nestle and HLFG. Nestle ended up 40 sen at RM150.40 while HLFG added 30 sen to a record close at RM20.12.

Global share markets took cue from apparent signs of progress in China-US trade talks. Reuters reported that Asian shares pulled ahead to fresh 4½-month highs and US equity futures rose after a Reuters report, quoting sources familiar with China-US trade negotiations, indicated that the US and China have started to tackle the stickiest issues in their trade war.

It was reported that investors have been cheered over recent days by signs of progress in Sino-US trade talks after the trade war between the economic giants roiled financial markets over the past year. It was reported that the US and China have started to outline commitments in principle on the most contentious issues in their trade dispute, marking the most significant progress yet toward ending a seven-month trade war.


Source: The Edge

Market Daily Report: KLCI climbs 19.62pts to four-month high on ECRL news

KUALA LUMPUR (Feb 20): The FBM KLCI jumped 19.62 points or 1.15% on positive sentiment following gains on Wall Street overnight and news of a potential revival of the East Coast Rail Link (ECRL) project.

The index closed at a four-month high of 1,726.18 after hitting an intraday high of 1,727.25. This is the third consecutive day of gains for the KLCI.

Inter Pacific Securities research head Pong Teng Siew told theedgemarkets.com that local funds were reacting to news that Malaysia and China could come close to an agreement in the reinstatement of the ECRL project, which immediately drew attention back to the construction sector.

Bursa Malaysia's construction index grew 6.74 points or 3.68% to 189.93, making it the top gainer in percentage terms among the bourse's indices. 

 

"This is probably driven by the development that Malaysia and China would come to some kind of agreement which will be a big boost to the construction sector," said Pong.

Among the KLCI component stocks, Axiata Group Bhd was the top gainer, followed by Genting Bhd.

Axiata closed 20 sen or 4.87% higher at RM4.31, while Genting rose 31 sen or 4.31% to RM7.50.
Total turnover on Bursa was 3.82 billion shares worth RM3.27 billion. Gainers led losers by 724 to 252, while 346 counters remained unchanged.

Elsewhere in Asia, Japan's Nikkei 225 grew 0.6%, South Korea's Kospi rose 1.09% while Hong Kong's Hang Seng was up 1.01%.

Reuters reported that Asian stocks advanced to 4½-month highs today as investors bet that Chinese and US trade negotiators would be able to secure a deal to de-escalate their year-long tariff war.
The newswire noted US President Donald Trump's remarks yesterday that trade talks with China were going well and suggested he was open to pushing off the March 1 deadline to complete negotiations.

US tariffs on US$200 billion (RM813.86 billion) worth of Chinese imports are scheduled to rise to 25% from 10% if no trade deal is reached by March 1.


Source: The Edge

Market Daily Report: KLCI up 13.82 points, breaches 1,700 for first time in three weeks

KUALA LUMPUR (Feb 19): The FBM KLCI today closed 13.82 points or 0.82% higher on what appeared to foreign investor demand for Malaysian stocks.

At 5pm, the KLCI closed at 1,706.56 after rising to its intraday high of 1,710.14. The KLCI closed today above the 1,700-point level for the first time in about three weeks since Jan 25 when the index ended at 1,701.03.

Today, Areca Capital Sdn Bhd chief executive officer Danny Wong Teck Meng told theedgemarkets.com the uptrend in the KLCI was likely due to foreign buying.

“I suppose that this is actually some kind of evidence that the foreign (fund) inflow is continuing and they are buying in now," said Wong. 

 

Petronas Chemicals Group Bhd topped gainers among the 30 KLCI component stocks followed by Top Glove Corp Bhd.

Petronas Chemicals closed 33 sen or 3.85% higher at RM8.90 while Top Glove rose 15 sen or 3.01% to RM5.14.

Across Asia, Reuters reported that Asian shares hovered near four-month highs on Tuesday as investors took heart from some progress in Sino-US trade talks, while the yen slipped as the Japanese central bank said it won't rule out further policy easing.

It was reported that trade talks dominated headlines with a new round of negotiations between the United States and China expected in Washington on Tuesday, and follow-up sessions at a higher level later in the week. Reports of progress in the talks have rekindled hopes among investors that the two countries can reach a compromise in their trade war by a March 1 deadline, although few details from the talks have emerged.



Source: The Edge

Market Daily Report: KLCI reverses early gains to close lower as foreign selling weighs

KUALA LUMPUR (Feb 15): The FBM KLCI reversed earlier gains to end 0.01% lower, along with key Asian markets on Friday, amid foreign selling of local equities.

At 5pm, the benchmark index closed at 1,688.83, down 0.23 points from Thursday's close of 1,689.06. Earlier in the day, the FBM KLCI hit an intraday high of 1,693.85 after opening 3.23 points higher at 1,692.29.

Across Asia, Japan's Nikkei 225 fell 1.13% and South Korea's Kospi lost 1.34%, while Hong Kong's Hang Seng dropped 1.87% and China's Shanghai Stock Exchange Composite declined 1.37%.

CNBC reported that major Asian stock markets closed lower on Friday, following the release of US retail data overnight, which raised concerns over a slowing American economy. Investors await developments from the ongoing US-China trade negotiations in Beijing. 

 

Back to the local equity market, TA Securities technical analyst Steven Soo told theedgemarkets.com that the KLCI had been trading sideways today, as foreign selling pressure weighs on Malaysian blue chips.

He expects the benchmark index to continue to be range bound in the near term, pending positive catalysts that could push the KLCI through the 1,705-point resistance level.

Across Bursa Malaysia, market breadth was negative with 457 losers against 326 gainers, while 430 counters traded unchanged. A total of 3.06 billion shares were traded today, valued at RM1.99 billion.

Among the gainers are consumer-related stocks like Fraser & Neave Holdings Bhd, Heineken Malaysia Bhd and Carlsberg Brewery Malaysia Bhd. As for losing counters, Nestle (Malaysia) Bhd, IHH Healthcare Bhd and QL Resources Bhd were among the top on the list.

The most-active stocks included oil and gas-related companies Sapura Energy Bhd, Bumi Armada Bhd and Hibiscus Petroleum Bhd.



Source: The Edge

Market Daily Report: FBM KLCI up at intraday high; Sapura Energy volume tops 612 million shares

KUALA LUMPUR (Feb 14): The FBM KLCI closed up 3.76 points or 0.22% while trading volume across Bursa Malaysia rose to 3.89 billion shares as investors took cue from factors including higher crude oil prices. At 5pm, the KLCI ended at its intraday high at 1,689.06.

Analysts said higher crude oil prices supported gains among oil and gas-related shares on Bursa Malaysia. These include top-active stock Sapura Energy Bhd, the share-trade volume of which jumped to over 612 million units.

TA Securities Holdings Bhd technical analyst Steven Soo told theedgemarkets.com that "oil and gas stocks are bouncing back strongly mainly driven by the rise in oil prices".

Reuters reported that oil prices rose by around 1% on Thursday, with Brent crude futures hitting a 2019-high, buoyed by hopes that the Sino-US tariff dispute could end soon and as China's trade figures including crude imports beat forecasts. 

 

It was reported that international Brent crude oil futures were at US$64.35 per barrel at 0754 GMT, up 74 cents, or 1.1%, from their last close. It was reported that Brent hit a 2019-high of US$64.43 per barrel earlier in the session while US West Texas Intermediate (WTI) crude futures were at US$54.46 per barrel, up 57 cents, or 1.1%, from their last settlement.

Across Bursa Malaysia today, trading volume rose to 3.89 billion shares valued at RM2.29 billion. Yesterday, 2.63 billion shares were traded for RM1.88 billion.

Today, Bursa Malaysia's energy index closed up 37.85 points or 4.15% at 949.53 as oil and gas shares took cue from higher crude oil prices.

Sapura Energy's trading volume jumped to some 612 million shares from about 29 million units yesterday. Today, the stock climbed three sen to close at 30.5 sen.

Bumi Armada Bhd was the second most-active stock today with some 303 million shares traded. The stock rose two sen to 24.5 sen.



Source: The Edge

Market Daily Report: FBM KLCI slips after big caps sidelined in favour of smaller plays

KUALA LUMPUR (Feb 13): The FBM KLCI slipped 2.11 points or 0.13% to close at 1,685.30 today after investors appeared to have sidelined big capitalisation (big cap) stocks in favour of smaller plays.

At 5pm, Bursa Malaysia's small cap index rose 73.27 points or 0.58% to 12,607.9.

“Despite the external (share market) rally, local Government-Linked Companies are possibly being sidelined as investors are still waiting for local leads,” Stephen Soo, senior technical analyst at TA Securities Holdings Bhd told theedgemarkets.com.

Across Bursa Malaysia, 2.63 billion shares were traded for RM1.88 billion as 435 gainers outpaced 313 decliners. 

 

Soo said oil and gas stocks Bumi Armada Bhd and Barakah Offshore Petroleum Bhd rose in heavy trade amid higher crude oil prices. Bumi Armada shares closed unchanged at 22.5 sen with some 171 million units transacted while Barakah rose 0.5 sen to 14 sen with about 142 million shares changing hands.

Other top-active stocks included property developer Eastern & Oriental Bhd, which saw some 43 million shares transacted. The stock rose 3.5 sen to 88.5 sen.

Asian stock markets closed substantially higher today after US shares climbed overnight on Tuesday.
Today, Japan’s Nikkei 255 closed up 1.34%, South Korea's Kospi added 0.5% while Hong Kong's Hang Seng was 1.16% higher. Reuters reported that Asian stocks reached a more than four-month high on Wednesday, lifted by optimism that the US and China might be able to hammer out a deal to resolve their nearly year-long trade dispute.

Overnight in the US, it was reported that shares at Wall Street rallied on Tuesday as investors were heartened by a tentative congressional spending deal to avoid another partial Federal government shutdown and by optimism surrounding US-China trade negotiations.



Source: The Edge

Market Daily Report: FBM KLCI down amid cautious China-US trade talk sentiment

KUALA LUMPUR (Jan 12): The FBM KLCI today closed 1.15 points or 0.07% lower as investors stayed cautious amid a new round of China-US trade talks.

At 5pm, the KLCI closed at 1,687.41. The index, which was mainly in the red today, cut losses after falling to its intraday low at 1,683.73.

“The bigger caps (bigger market capitalisation stocks) and major shares will still depend on external issues, and now with another round of negotiations between the US and China, investors are still in a cautious sentiment,” Areca Capital Sdn Bhd chief executive officer Danny Wong Teck Meng told theedgemarkets.com.

The KLCI cut losses after equity indices across Asia closed higher with US stock futures. Japan's Nikkei 225 climbed 2.61% while South Korea's Kospi rose 0.45%. In China, Hong Kong’s Hang Seng was up 0.1% while the Shanghai Stock Exchange Composite increased 0.68%. 

 

It was reported that S&P 500 e-mini futures were up nearly 0.5 percent. Reuters reported that Asian shares gained on Tuesday as investors hoped a new round of US-China trade talks would help to resolve a dispute that has dented global growth and some corporate earnings. It was reported that US and Chinese officials expressed hopes the new round of talks, which began in Beijing on Monday, would bring them closer to easing their months-long trade war.

It was reported that Beijing and Washington are trying to hammer out a deal before a March 1 deadline, without which US tariffs on US$200 billion worth of Chinese imports are scheduled to increase to 25 percent from 10 percent.


Source: The Edge

Market Daily Report: KLCI up as China shares gain amid new round of trade talks

KUALA LUMPUR (Feb 11): The FBM KLCI closed up 2.04 points or 0.12% at 1,688.56 on bargain hunting and after Malaysian equities tracked China share gains amid a new round of China-US trade talks.

At 5pm, the KLCI closed at 1,688.56 after the index fell to its intraday low at 1,681.64. In China, the Shanghai Stock Exchange Composite closed up 1.36% while Hong Kong's Hang Seng added 0.71%. Mainland China shares resumed trading today after a week-long break.

Reuters reported that the Hong Kong stock market closed firmer on Monday, led by a rally in Mainland Chinese shares, as Beijing and Washington launched another round of bilateral trade talks.
It was reported that a new round of trade talks began in Beijing on Monday, with higher-level talks involving US Trade Representative Robert Lighthizer and Treasury Secretary Steven Mnuchin on Thursday and Friday. It was reported that if the negotiations do not progress sufficiently by March 1, the US has said it intends to raise tariffs on US$200 billion of imports from China to 25 percent from 10 percent. 

In Malaysia, Inter-Pacific Securities Sdn Bhd research head Pong Teng Siew told theedgemarkets.com that liquidity in the market is expected to gradually improve with the help of foreign buying in the KLCI.

“In the next few days, it is very possible that investors will come back to the market, provided we do not get hit by any bad news,” Pong said.

TA Securities Holdings Bhd technical analyst Steven Soo told theedgemarkets.com that despite the KLCI closing in positive territory today, TA is projecting that selling interest will be greater than buying interest in the local market going forward.

Soo said this is mainly due to investors eyeing the progress of the China-US trade talks.


Source: The Edge

Market Daily Report: KLCI slides after Thursday's rebound amid US-China trade concerns

KUALA LUMPUR (Feb 8): The FBM KLCI erased a portion of gains it made in the previous day (Thursday) to end 0.41% lower today, due to worries over the US-China trade dispute, as investors question the two nations' ability to reach a trade deal before the next round of tariffs kick in.

At 5pm, the benchmark index was down 6.87 points or 0.41% to close at 1,686.52 points, partly offsetting the 9.8-point rebound it recorded in the previous day.

Hong Leong Investment Bank (HLIB) said the KLCI is likely to engage in an extended consolidation with key supports seen near 1,676 points and 1,666 points.

It is of the view that while the US Federal Reserve's dovish stance and improving technical readings could spur the KLCI towards the 1,700 to 1,705 levels, the slide in US markets and the uncertainty of the upcoming corporate earnings season could cap further upside.

 “Overall, we expect an extended range bound mode until further clarity from the US-China meeting next week,” the research house said.
Trading activity at Bursa Malaysia picked up today with some 2.48 billion shares traded, valued at RM1.72 billion. Despite KLCI's slide, market breadth remained positive, as gainers outnumbered decliners at 399 versus 290, while 409 counters stayed unchanged.

Leading the decliners were British American Tobacco (Malaysia) Bhd, Fraser & Neave Holdings Bhd and Tenaga Nasional Bhd, while gainers were led by Time dotCom Bhd.

The most actively-traded stock was Sapura Energy Bhd, which gained 1.5 sen to 28 sen, after 467.33 million shares were traded.

Asian stocks were also largely down: Japan’s Nikkei fell 2.01%, South Korea’s Kospi declined 1.2%, while Hong Kong’s Hang Seng slipped 0.16%.

Reuters reported Asian stocks lost ground on Friday, as investors worried about a broadening global economic slowdown, with sentiment not helped by the absence of any positive sign for a resolution in the US-China trade row.

MSCI’s broadest index of Asia-Pacific shares outside Japan shed 0.5%, easing back from a four-month peak touched the previous day. The index was down 0.1% on the week, it said.



Source: The Edge

Market Daily Report: FBM KLCI rebounds 0.58% after 17-point decline since late January

KUALA LUMPUR (Feb 7): While the FBM KLCI saw muted trading activities during the first half of the session today, the benchmark index picked up in the latter part and ended up gaining 0.58% amid light trading across the region due to the Chinese New Year holidays.

At 5pm, the benchmark index settled 9.78 points or 0.58% higher at 1,693.39 points, after declining 17.42 points or 1.02% over the past five trading days.

Hong Leong Investment Bank (HLIB) said the potential trade deal between US and China and the dovish shift in the US Federal Reserve’s monetary stance could support gains in the local index to recover to the 1,700 to 1,705 levels in the near term.

“However, we see stiff resistance near 1,713 to 1,726, as we are likely to experience a tepid February reporting season,” it said in a note.

Meanwhile, HLIB retained its target of 1,750 points for the FBM KLCI in 2019, adding that while Malaysia’s long-term reform story is appealing, the near term headwinds are strong as the country balances between growth and fiscal prudence.

Today, Bursa Malaysia saw some 1.43 billion shares traded, valued at RM1.21 billion. Gainers outnumbered decliners at 426 to 238, while 378 counters were unchanged.

Leading the gainers were blue chip counters such as Tenaga Nasional Bhd, Nestle (Malaysia) Bhd and Petronas Gas Bhd, while the decliners were led by Fraser & Neave Holdings Bhd.

In Asia Pacific, markets were mixed as South Korea’s Kospi ended flat, while Japan’s Nikkei 225 fell 0.59%. Australia’s ASX 200 gained 1.1% while New Zealand’s NZX 50 gained 0.66%.
China markets were closed for the Chinese New Year holiday celebrations.

Reuters reported that Asian share markets edged up to four-month highs on Thursday with Australian equities the star performer while the New Zealand dollar sank after disappointing jobs data prompted investors to narrow the odds of a future rate cut.

MSCI’s broadest index of Asia-Pacific shares outside Japan added 0.2%, rising to its highest since early October after ending almost unchanged on Wednesday, it said.



Source: The Edge

Market Daily Report: KLCI barely stays in positive zone as most gains given up

KUALA LUMPUR (Feb 4): The FBM KLCI barely stayed in the positive zone at market close today, as most of the gains from earlier in the day were given up.

The local bourse will resume trading on Thursday (Feb 7) after the two-day Chinese New Year holiday.

At 12.30pm, the FBM KLCI erased much of its gains and was up a mere 0.08 points to 1,683.61.
Gainers led losers by 385 to 280, while 322 counters traded unchanged. Volume was 1.04 billion shares valued at RM880.66 million. 

 

The gainers included United Plantations Bhd, Carlsberg Brewery Malaysia Bhd, Heineken Malaysia Bhd, Malaysian Pacific Industries Bhd, Hong Leong Industries Bhd, Hong Leong Bank Bhd, LPI Capital Bhd, Nestle (M) Bhd and AirAsia Bhd.

The actives included Bumi Armada Bhd, Tatt Giap Group Bhd, Sapura Energy Bhd, Iris Corp Bhd, Seacera Group Bhd, Hubline Bhd and Carimin Petroleum Bhd.

The losers included Petronas Dagangan Bhd, Petronas Gas Bhd, Kuala Lumpur Kepong Bhd, Maxis Bhd, Berjaya Media Bhd, Hong Leong Financial Group Bhd, Genting Plantations Bhd and MISC Bhd.

Asia stocks hovered near four-month highs on Monday after a mixed performance on Wall Street at the close of last week, while the US dollar firmed against the yen following strong US job and manufacturing data, according to Reuters.

MSCI's broadest index of Asia-Pacific shares outside Japan was almost flat. It had scaled a four-month peak on Friday along with a surge in its global peers, the newswire said.

Affin Hwang Capital Research said the FBM KLCI Index is anticipated to drift sideways in a quiet market.

"Technically, the index has been hovering sluggishly sideways since November 2018 and just barely reclaimed its support above EMA20d (20-day exponential moving average).

"Anticipate the FBM KLCI Index to congest sideways in a quiet market," the research firm said.


Source: The Edge