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Russia Holds Key Rate at 21% Amid Surging Inflation

The Bank of Russia unexpectedly maintained its key interest rate at a record-high  21% , defying analysts’ expectations of another significant hike as inflation remains stubbornly elevated. The decision marks a shift toward a more measured approach in balancing economic growth and price stability. Key Details Inflation Concerns: Annual inflation climbed to  8.9%  in November, well above the central bank’s  4% target , with inflation expectations reaching  13.9%  in December. Policy Rationale: The central bank cited the significant tightening of monetary conditions after October’s  200-basis point hike  as sufficient to resume disinflationary processes. Governor Elvira Nabiullina emphasized avoiding both economic overheating and severe slowdowns. Economic Overheating: Elevated government spending on the war in Ukraine and social programs, coupled with labor shortages and rising wages, have fueled strong domestic demand, exacerbating price pressures...

Market Daily Report: KLCI down 0.48% after Trump warned China on trade spat

KUALA LUMPUR (July 31): The FBM KLCI fell 7.82 points or 0.48% today to settle at 1,634.87 points after Asian share markets closed down as fresh trade war concerns emerged due to threats from US President Donald Trump to China. Global investors are also anticipating the widely-expected US intrest rate cut as they evaluated the impact of a no-deal Brexit on currency markets. Across Asian stock indices today, Japan's Nikkei 225 closed down 0.86%, South Korea's Kospi fell 0.69% while Hong Kong's Hang Seng dropped 1.31%. Reuters reported that Asian shares fell on Wednesday to a six-week trough, rattled by fresh trade war concerns following threats from Trump to Beijing, while increasing worries about a no-deal Brexit kept the pound under pressure. It was reported that as trade talks between the world's two biggest economies continued in Shanghai on Tuesday, Trump warned China against trying to wait out his first term in office t...

Market Daily Report: FBM KLCI ends at intraday high, TM falls

KUALA LUMPUR (July 25): The FBM KLCI closed up 4.17 points or 0.25% today at its intraday high after a spike in the final trading minutes following a sharp rise in the share prices of components Press Metal Aluminium Holdings Bhd and Kuala Lumpur Kepong Bhd (KLK). Telekom Malaysia Bhd (TM) shares fell. At 5pm, the KLCI closed at 1,656.58. Press Metal ended up 20 sen or 4.49% at RM4.65 while KLK rose 18 sen or 0.76% to RM23.82. From a global viewpoint, the KLCI closed up after volatile trade as anticipation of the US and European Central Bank interest rate cut besides the corporate financial reporting season for the April-to-June quarter moved to the forefront of investor’s minds. Reuters reported that Asian shares rose after a cautious start, while the euro hovered near two-month lows as soft economic data fuelled hopes the European Central Bank could cut rates at its meeting on Thursday.    In Malaysia, Areca Capital Sdn Bhd chief executive offi...

Market Daily Report: FBM KLCI ends in the red but Bursa small caps rise

KUALA LUMPUR (July 24): The FBM KLCI closed 3.26 points or 0.2% lower at 1,652.41 today, possibly on foreign selling and as investors appeared to favour Bursa Malaysia small market capitalisation (small cap) stocks as they evaluated world economic and political newsflow. Globally, it was reported that prospects of fresh China-US trade negotiations lifted sentiment, while investors awaited a possible US interest rate rate cut this month. Analysts said today Brexit is also among investors' list of concerns. At 5pm, the KLCI closed down after rising to its intraday high at 1,659.38 and falling to its intraday low at 1,651.36. Bursa's small-cap index ended up 82.1 points or 0.6% at 13,779.4 while the energy index, which tracks oil and gas-related shares, climbed 12.78 points or 1.15% to 1,123.75. “Expect the KLCI to continue to underperform. However small cap stocks like oil & gas and construction (companies) will continue to garner interest as reta...

Market Daily Report: FBM KLCI pares gains on lack of fresh catalysts

KUALA LUMPUR (July 23): The FBM KLCI closed 0.27 point or 0.02% higher at 1,655.67, after Asian share markets rose on expectation the US Federal Reserve and European Central Bank will cut interest rates. The KLCI had earlier risen to its intraday high at 1,658.35 and fell to its intraday low at 1,654.02. At 5pm, the KLCI pared gains due the lack of fresh catalysts, analysts said, as central bank easing is no longer a fresh theme. Across Asian stock indices today, Japan’s Nikkei 225 closed up 0.95% while South Korea’s Kospi gained 0.39%. In China, the Shanghai Stock Exchange Composite rose 0.45% while Hong Kong’s Hang Seng climbed 0.34%. Reuters reported expectations that the European Central Bank and Federal Reserve will cut interest rates, boosted stocks globally, while the pound sagged on worries that likely new prime minister Boris Johnson would lead Britain into a no-deal exit from the European Union. But with central bank easing no longer a fresh t...

Market Daily Report: FBM KLCI closes 0.17% lower amid regional decline

KUALA LUMPUR (July 22): The FBM KLCI index closed a marginal 0.17% lower today to 1,655.40 points, in line with regional markets weathering uncertainties stemming from a number of factors, including the US-China trade war, US Federal Reserve rate cut, and an increase in oil prices. A total of 2.65 billion shares were traded across Bursa Malaysia today, worth RM1.544 billion. Top actives included Sapura Energy Bhd, KNM Group Bhd and Green Packet Bhd. Top gainers included Pentamaster Corp Bhd, United Plantations Bhd, and Kuchai Development Bhd, while British American Tobacco (Malaysia) Bhd, Batu Kawan Bhd and Ayer Holdings Bhd topped the losers’ list. There were 284 advancers and 461 decliners, while 488 counters finished unchanged. As of 9:05 GMT, WTI Crude rose 1.76% or 98 cents to US$56.72 a barrel. In China, the Shanghai Composite fell 1.27% or 37.23 points to 2,886.97, while Hong Kong’s Hang Seng Index slipped 1.28% or 48.95 points to 3,773.67. Sma...

Market Daily Report: KLCI snaps three-day losing streak on US rate cut hint

KUALA LUMPUR (July 19): The FBM KLCI closed 9.26 points or 0.56% higher today on bargain hunting and after markets took New York Federal Reserve President John Williams' speech as a hint of a potential US rate cut at the upcoming July meeting. Higher crude oil prices also supported share price gains across Bursa Malaysia. At 5pm today, the KLCI settled higher at 1,658.19 with Asian share markets. The KLCI snapped a three-day losing streak on bargain hunting to close higher, helped by gains in index-linked stocks including Tenaga Nasional Bhd, Petronas Chemicals Group Bhd and CIMB Group Holdings Bhd. Rakuten Trade Sdn Bhd deputy head of research Vincent Lau told theedgemarkets.com that the KLCI’s performance today was "mainly due to bargain hunting and expectations of a rate cut by the US Federal Reserve".  Across Bursa Malaysia, most-actively traded stocks included Scomi Group Bhd, with a volume of 132.21 million shares. Scomi Group closed u...

Market Daily Report: KLCI finishes at intraday low on Trump's new tariff threat

KUALA LUMPUR (July 18): The FBM KLCI finished 8.6 points or 0.52% lower today while small market capitalisation (small cap) stocks fell by a larger quantum as world markets reacted to US President Donald Trump’s renewed threat of imposing more tariffs on Chinese goods. At 5pm, the KLCI finished at its intraday low at 1,648.93 while Bursa Malaysia's small cap index fell 144.66 or 1.06% to 13,541.35. Across Bursa, there were more than 500 decliners versus some 200 gainers after broad-based selling across the exchange. Top decliners included KLCI stocks Petronas Chemicals Group Bhd, Tenaga Nasional Bhd and Public Bank Bhd. Inter-Pacific Securities Sdn Bhd research head Pong Teng Siew told theedgemarkets.com that the Malaysian share market performance today was due to the overnight 115.78-point or 0.42% drop in the US' Dow Jones Industrial Average on worries that the trade tension is here to stay.   “Today was not a good day and prospects look very be...

Market Daily Report: KLCI down 0.68% amid renewed trade war concerns; i-Stone up

KUALA LUMPUR (July 17): The FBM KLCI closed down 11.41 points or 0.68% today in line with Asian share markets' decline after US president Donald Trump threatened to impose tariffs on another US$325 billion of Chinese goods. At 5pm, the KLCI closed at 1,657.53 as volume across Bursa Malaysia topped 3.8 billion shares. Volume rose amid broad-based selling across the exchange and as investors bought newly-listed i-Stone Group Bhd shares. Areca Capital Sdn Bhd chief executive officer Danny Wong said there has been no development on the US-China trade war, which continues to affect investment sentiment. “The (KLCI) decline is in line with the fall in regional markets (today) and the US markets overnight. The main issues affecting sentiment like the trade war and other uncertainties, are still there and there has been no real development so far,” said Wong.    Malaysia's ongoing corporate reporting season for the April-to-June quarter also led to sel...

Market Daily Report: KLCI declines, lower liners up amid external uncertainties

KUALA LUMPUR (July 16): The FBM KLCI closed down 3.43 points or 0.21% as investors appeared to favour Bursa Malaysia's lower liner and small market-capitalisation (small cap) stocks over large cap entities amid external uncertainties. Analysts said these uncertainties include a potential US interest rate cut and the outlook of the US-China trade dispute. At Bursa, the KLCI closed at 1,668.94 at 5pm while the FBM70 index rose 41.84 points or 0.28% to 14,950.68. Sector wise, the Energy Index climbed 17.44 points or 1.58% to 1,123.74 to become the largest percentage gainer across Bursa indices as investors grappled with external uncertainties. "The outlook for the local market is still a bit uncertain. There are a few factors in the background that are affecting investor sentiment, including a potential cut in US interest rates and the US-China trade dispute," said an analyst with a local research house.    Globally, Reuters reported that alth...

Market Daily Report: KLCI reverses losses at 11th hour after seeing red for most of the day

KUALA LUMPUR (July 15): The FBM KLCI was lifted by last minute gains in index-linked counters, closing 0.17% higher after spending most of the day in the red. The index had dipped into the red shortly after it opened and had spent the rest of the session slowly inching up towards positive territory, before closing 2.92 points higher at 1,672.37, lifted by increases in blue chip stocks such as Genting Malaysia Bhd and Dialog Group Bhd. The higher close was in line with gains seen in other Asian markets, supported by encouraging data from China. Analysts are largely expecting the KLCI to fall this week, amid a lack of catalysts for the local market in the near term. Hong Leong Investment Bank head of retail research Loui Low said bearish technical indicators are pointing to further consolidation this week and that any technical rebound to be capped. "Key supports are situated at 1,655, 1,647 and 1,633 territory. Conversely, a...

Market Daily Report: FBM KLCI tumbles as investors take profit, CIMB falls

  KUALA LUMPUR (July 12): The FBM KLCI today closed 9.81 points or 0.59% lower on profit taking in an overbought Malaysian stock market and as investors took cue from US equity gains. CIMB Group Holdings Bhd shares fell. At 5pm, the KLCI closed down at 1,669.45 on profit taking after the KLCI rose to its intraday high at 1,682.04. “The market is using Wall Street as a guideline as it has set new highs. So, investors are now in a profit-taking position,” Hong Leong Investment Bank Bhd head of retail research Loui Low told theedgemarkets.com today. Earlier today, TA Securities Holdings Bhd wrote in a note: "While blue chips trade sideways on overbought momentum, resurgent trading interest in oil & gas related lower liners and small caps should encourage retail participation." Across Bursa Malaysia, the exchange saw 2.94 billion shares worth RM2.28 billion traded. Among the KLCI's 30 component stocks, CIMB was the biggest percentage declin...

Market Daily Report: FBM KLCI ends higher on 11th hour bargain hunting

KUALA LUMPUR (July 11): The FBM KLCI rebounded to close in positive territory today on bargain hunting at the eleventh hour. The benchmark index recovered from its intraday low of 1,674.70 in the afternoon session, before settling at 1,679.26 for a gain of 0.29 points or 0.02% from yesterday. Inter-Pacific Securities Head of Research Pong Teng Siew said the US Federal Reserve's suggestive rate cuts may have provided a positive backdrop for investors looking to get back in the market. "It is the last minute bargain hunting that helped push the index up," Pong told theedgemarkets.com . Top gainers among index-linked stocks included Dialog Group Bhd and Maxis Bhd, which rose 2.66% and 1.77% respectively. Pong pointed out that the overall market breadth was positive with more gainers than losers at 501 versus 329. Total volume was also higher at 3.18 billion shares worth RM2.21 billion. Most actively traded stocks were energy-related, including ...

Market Daily Report: KLCI falls as investors await US rate cut hint; Petronas stocks down

KUALA LUMPUR (July 10): The FBM KLCI closed 3.9 points or 0.23% lower today at 1,678.97 on profit taking and as global investors awaited Federal Reserve chairman Jerome Powell remarks during his two-day testimony starting Wednesday (July 10) before Congress. Petronas-linked counters led the KLCI's drop. In the US, the Federal Reserve is also scheduled to announce on Wednesday its June policy meeting minutes. Powell's remarks and the meeting minutes will be closely watch for hints on the confirmation and extent of the widely-expected US interest rate cut this July 30 and 31. US rate cuts are seen boding well for Asian markets, in anticipation that fund managers will shift their money into higher-yielding Asian assets like currencies, stocks and bonds. But anticipation of a smaller-than-expected US rate cut tempers such positive sentiment. Areca Capital Sdn Bhd chief executive officer Danny Wong Teck Meng told theedgemarkets.com that investors are hol...

Market Daily Report: FBM KLCI snaps four-day losing streak

KUALA LUMPUR (July 9): The FBM KLCI has closed 5.23 points or 0.31% higher today on bargain hunting, after four straight days of losses as world markets trimmed expectations on the pace of US interest rate cuts. In Malaysia, stock bargain hunting appeared to coincide with improved sentiment after Bank Negara Malaysia maintained the overnight policy rate (OPR) at 3% today. At 5pm, the KLCI closed at its intraday high of 1,682.87 after a spike in the final trading minutes. "The rebound today in the KLCI should be because of the improved sentiment in the market as the central bank has maintained the OPR at 3%," Rakuten Trade Sdn Bhd deputy head of research Vincent Lau told theedgemarkets.com. Among the 30 KLCI component stocks, Maxis Bhd was the top percentage gainer, closing 11 sen or 1.96% higher at RM5.71, followed by Press Metal Aluminium Holdings Bhd, which ended up six sen or 1.4% at RM4.36. Malaysian shares had today bucked Asian equity mark...

Market Daily Report: https://www.theedgemarkets.com/article/fbm-klci-down-markets-trim-us-rate-cut-forecast

KUALA LUMPUR (July 8): The FBM KLCI closed 4.89 points or 0.29% lower today at 1,677.64, after news on strong US jobs data trimmed market expectation on the pace of US interest rate cuts. Such sentiment hit markets across Asia. US rate cuts are seen boding well for Asian markets, in anticipation fund managers will shift their money into higher-yielding Asian assets like currencies, stocks and bonds. But anticipation of a smaller-than-expected US rate cut tempers such positive sentiment. Malacca Securities Sdn Bhd senior analyst Kenneth Leong told theedgemarkets.com that the KLCI dropped today, in tandem with the fall across Asian stock markets. Leong noted weaker regional sentiment weighed on the KLCI down today, amid "factors, including the Japan-South Korea trade spat and Hong Kong protest". The KLCI cut losses at 1,677.64 at the 5pm market close, after falling to its intraday low at 1,672.88. Globally, Japan's Nikkei 225 closed down 0.9...

Market Daily Report: FBM KLCI lower on profit taking, TNB falls

KUALA LUMPUR (July 5): The FBM KLCI closed 4.95 points or 0.29% lower today at 1,682.53 after profit taking marked the course of the trading day against a backdrop of an overbought Malaysian stock market. Tenaga Nasional Bhd (TNB) shares fell. TA Securities Holdings Bhd senior technical analyst Steven Soo told theedgemarkets.com that profit taking was present among KLCI stocks as investors and traders sought to secure their investment positions before Bursa Malaysia closes for the weekend. Soo said the Malaysian stock market is slightly overbought. The US jobs data, due later in the day, was also a factor that was being watched closely by investors, according to him.    “A rate cut has been priced in by the market. What the jobs data will indicate is the quantum by which the Federal Reserve cuts interest rates,” he said. US rate cuts are seen boding well for Asian markets in anticipation that fund managers will shift their money into higher-yiel...

Market Daily Report: FBM KLCI extends losses amid weaker oil prices

  KUALA LUMPUR (July 4): The FBM KLCI closed 2.57 points or 0.15% lower today on continued profit taking in an overbought Malaysian stock market and as lower crude oil prices hit local shares. At 5pm, the KLCI closed down at 1,687.48 on profit taking after rising to its intraday high at 1,690.81. The KLCI closed lower today to extend losses after yesterday's 0.95 point or 0.06% drop. Today, analysts said Malaysian shares exhibited overbought momentum after recent gains. "The local market should consolidate due to overbought momentum after recent gains and as investors await further leads from data on slowing global economies and US trade policies," TA Securities Holdings Bhd wrote in a note today. Lower crude oil prices did not help either. Malacca Securities Sdn Bhd senior analyst Kenneth Leong said the KLCI extended losses today amid renewed volatility in crude oil prices.    “This is also coupled with the uncertainly over global trade,” Le...

Market Daily Report: FBM KLCI retreats as investors take profit

  KUALA LUMPUR (July 3): The FBM KLCI today closed 0.95 point or 0.06% lower on profit-taking after Asian stock indices fell as investors evaluated global trade conflicts between the US and its major trading partners China and Europe. At 5pm, the KLCI closed at 1,690.05 points after cutting losses in the final trading minutes. The KLCI had earlier fallen to its intraday low at 1,683.24. “There is nothing much to be worried about, especially after the last couple of days of upside,” Rakuten Trade Sdn Bhd head of research Kenny Yee told theedgemarkets.com today. Yesterday, the KLCI closed up 7.38 points at 1,691 on expectation of a trade truce between the US and China and as higher crude oil prices supported market sentiment. The KLCI extended gains yesterday after rising 11.49 points on Monday (July 1). Today, the KLCI could have also taken cue from Asian stock indices' drop. Japan's Nikkei 225 closed down 0.53%, South Korea's Kospi fell 1.23% w...

Market Daily Report: FBM KLCI up again as builders support broader market

KUALA LUMPUR (July 2): The FBM KLCI closed up 7.38 points or 0.44% today at 1,691 on expectation of a trade truce between the US and China and as higher crude oil prices supported market sentiment. Across Bursa Malaysia, positive newsflow on the local construction sector involving the proposed East Coast Rail Link (ECRL) supported broader market sentiment, according to analysts. "At this juncture, the market is generally more optimistic following news from the G20 meeting, pointing [out] that both presidents (from the US and China) may continue trade talks," Hong Leong Investment Bank Bhd head of retail research Loui Low told theedgemarkets.com today. The KLCI extended gains today after rising 11.49 points yesterday.    Today, Low also said investors are looking beyond external factors as newsflow on the Malaysian construction sector indicates a more exciting outlook for the second half of this year. "On the local front, domestic catalysts...

Market Daily Report: KLCI rises 11.49 points as US-China trade reprive spurs relief rally

KUALA LUMPUR (July 1): The FBM KLCI had today closed 11.49 points or 0.69% higher, as trade volume across Bursa Malaysia topped three billion shares amid what appeared to be a global relief stock market rally, after the US and China agreed to restart trade talks at the G20 meeting in Japan over the weekend. At Bursa Malaysia today, the KLCI closed up at its intraday high at 1,683.62, led by Petronas Chemicals Group Bhd, while the index for small market capitalisation stocks rose 282.78 points or 2.18% to 13,278.84. Broad-based buying across Bursa Malaysia saw the the exchange registering a volume at 3.32 billion shares, worth RM2.18 billion. There were over 600 gainers versus some 200 decliners across the exchange. Malacca Securities Sdn Bhd head of research Victor Wan told theedgemarkets.com that the KLCI saw a "relief rally" after US-China's agreement to resume trade negotiations, supported Asian share gains. China's Shanghai Stock Exchang...