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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: Little change on FBM KLCI as investors awaiting fresh buying impetus

  KUALA LUMPUR (Sept 30): The FBM KLCI was almost unchanged at the end of the trading day at 1,504.82 points, barely 0.92 points higher as the benchmark index bounced back from an intra-day low of 1,497.78 points. Buying interest in Malayan Banking Bhd (Maybank) and Public Bank Bhd lent support to the FBM KLCI. However, most stocks finished the day in the negative zone, with 638 losers against 296 gainers. Trading volume was at 5.64 billion shares worth RM2.64 billion. The earlier strong buying interest appeared to have lost steam, particularly among retail investors, amid lack of fresh catalyst. Inter-Pacific Securities Sdn Bhd head of research Victor Wan commented: “It [market today] is basically very flat.” Leading the gainers today were Nestle (M) Bhd, Greatech Technology Bhd, Ajinomoto (M) Bhd, and Hong Leong Financial Group Bhd. Among the most traded counters were XOX Bhd, which was down 13.3% or two sen at 13 sen, Kanger International Bhd, which shed 14.3% or thre...

Market Daily Report: KLCI drops on profit taking in glove shares, World Bank downgrade

  KUALA LUMPUR (Sept 29): The FBM KLCI closed down 7.76 points or 0.51% at 1,503.90 today, partly due to profit taking in rubber glove manufacturers' shares and as investors continue to weigh the impact of the resurgence in global Covid-19 infections on global markets. At a glance, the KLCI ended lower after volatile trade as investors appeared to reevaluate Covid-19's economic impact on Malaysia after The World Bank said today its 2020 economic growth forecast for Malaysia, as measured by real gross domestic product (GDP), had been lowered to a contraction of 4.9% from the previously estimated 3.1% decline. Rakuten Trade Sdn Bhd research vice president Vincent Lau told theedgemarkets.com: “The sentiment was dampened on The World Bank projecting our (Malaysia) GDP to shrink by 4.9% this year and also profit taking on the glove stocks." It was reported that investors are also looking ahead to the first US presidential debate later today ahead of the US preside...

Market Daily Report: KLCI ends higher as fund managers window dress

  KUALA LUMPUR (Sept 28): The FBM KLCI closed 2.52 points or 0.17% higher at 1,511.66 today on fund managers' quarter-end window dressing and as broader global markets took cue from the rising number of Covid-19 cases. Across Bursa Malaysia at 5pm, trading volume stood at 5.17 billion securities worth RM3.51 billion. There were 569 gainers and 458 decliners. Top gainers included PPB Group Bhd besides rubber glove manufacturers Kossan Rubber Industries Bhd and Hartalega Holdings Bhd. Leading gainer PPB's share price closed up RM1.06 or 5.76% at RM19.46 while Hartalega's ended up 42 sen or 2.47% at RM17.42. PPB and Hartalega are constituents of the 30 stock KLCI. Rakuten Trade Sdn Bhd research vice president Vincent Lau told theedgemarkets.com that PPB share price's rise today was due to "window dressing and bargain hunting activities". On the KLCI, Lau said the index's rise also took cue from Asian stock indices' gain today. In view of th...

Market Daily Report: KLCI up on fresh buying after Malaysia retained on FTSE Russell watch list

  KUALA LUMPUR (Sept 25): The FBM KLCI rose today as market sentiment was boosted by Malaysia’s retention on the FTSE Russell World Government Bond Index (WGBI) watch list, and on continued buying interest in rubber glove stocks. The KLCI closed 8.34 points 0.56% higher at 1,509.14 after staying in positive territory throughout the day, moving between 1,505.05 and 1,516.00 TA Securities Holdings Bhd senior technical analyst Stephen Soo said glove counters attracted further buying amid a continued increase in Covid-19 cases globally. He told theedgemarkets.com that the interest in glove counters was further boosted by the news that the Employees Provident Fund is on a shopping spree for glove stocks.   Soo expects the glove sector to continue to be in the spotlight next week amid a continued rise in Covid-19 cases globally. He, however, expects the KLCI to move sideways as investors turn cautious in the wake of domestic political uncertainty and concerns over the...

Market Daily Report: Two glove stocks lift KLCI to above 1,500-level but trading volume shrinks 30% on Bursa

   KUALA LUMPUR (Sept 24): Renewed buying interest in glove counters helped to lift the FBM KLCI to close higher at 1,500.80, up 4.32 points, bucking the trend of its regional peers. The two component stocks — Top Glove Corp Bhd gained 53 sen or 6.61% to close at RM8.55 while Hartalega Holdings Bhd jumped RM1.40 or 9.7% to close at RM15.90. The two counters were the top percentage gainers among the 30 component stocks. It is worth noting that the largest market cap stock, Malayan Banking Group Bhd, saw its market capitalisation slip below RM80 billion today, after its share price closed down eight sen or 1.12% to its six-month low of RM7.09. Other index-linked banking stocks such as CIMB Group Holdings Bhd, RHB Bank Bhd and Public Bank Bhd were not spared from the sell-down. CIMB shares closed five sen or 1.61% lower at RM3.05 while RHB BANK ended five sen or 1.08% lower at RM4.59 and Public Bank was down 12 sen or 0.77% at RM15.52. Other glove counters were a...

Market Daily Report: KLCI drops 0.62% amid news of possible change in govt

  KUALA LUMPUR (Sept 23): The FBM KLCI dropped 0.62% today amid news of a potential change in the Malaysian government, while other uncertainties including concerns over global economic recovery had spooked investors in Asia. At 5pm, the index posted a 9.3-point fall to close at 1,496.48 points, dragged by declines in blue chip heavyweights including Public Bank Bhd, Malayan Banking Bhd and CIMB Group Holdings Bhd. “There are concerns that there might be a change in government, which has likely affected sentiment,” said Kenanga Investment Bank head of research Koh Huat Soon. Datuk Seri Anwar Ibrahim today claimed that he had garnered “formidable and convincing” support from Members of Parliament (MPs) to form a new government to replace the ruling Perikatan Nasional (PN) government, although he did not state the actual number of MPs that support him. He added that he had received consent to have an audience with Yang di-Pertuan Agong Al-Sultan Abdullah Ri’ayatuddin A...

Market Daily Report: KLCI bucks Asian stock gauge drop as Covid-19 concerns linger

   KUALA LUMPUR (Sept 22): The FBM KLCI ended 6.35 points or 0.42% higher at 1,505.78 today, partly helped by banking stocks' price rise, to buck Asian equity indices drop as the rising global number of Covid-19 infections raised economic growth concerns. Across Bursa Malaysia at 5pm, 6.54 billion securities were traded for RM3.92 billion. There were 600 decliners versus 429 gainers. Leading gainers included Hong Leong Financial Group Bhd (HLFG) and Public Bank Bhd. Top gainer HLFG's share price closed up 50 sen or 3.58% at RM14.46 while Public Bank ended 18 sen or 1.15% higher at RM15.86. The KLCI, like HLFG and Public Bank, had closed higher after opening lower today. Areca Capital Sdn Bhd CEO Danny Wong Teck Meng told theedgemarkets.com that "bargain-hunting emerged" in the Malaysian stock market today to lift the KLCI above the 1,500-point level. Globally, it was reported that Asian shares were broadly weaker Tuesday as possible delays in expanded US st...

Market Daily Report: KLCI falls below 1,500 as global Covid-19 cases rise

  KUALA LUMPUR (Sept 21): The FBM KLCI finished 7.2 points or 0.48% lower at 1,499.43 as Asian equity indices alongside US stock futures amid rising number of global Covid-19 infections leading to world economic growth concerns. In Malaysia, Rakuten Trade Sdn Bhd research vice president Vincent Lau said the drop in the KLCI mirrored weaknesses in Asian share indices as US equity futures sank amid concerns of second lockdowns in Europe due to the rising number of global Covid-19 infections. Across Bursa Malaysia today, there were 873 decliners versus 274 gainers. Volume stood at 7.03 billion securities valued at RM3.55 billion. Globally, it was reported that Asian shares slipped today on fears the global economy might sputter for a while due to a resurgence of coronavirus infections in Europe, while fading hopes for US fiscal stimulus also weighed. Concerns over the resurgence of Covid-19 infections also partly hit crude oil markets. Reuters reported that oil prices f...

Market Daily Report: KLCI reverses gains at 11th hour as Nestle, banks drag

    KUALA LUMPUR (Sept 18): The FBMKLCI bucked regional trend and closed 6.44 points or 0.43% lower today at 1,506.63, after an 11th-hour fall following a sharp drop in the share prices of a couple of banking component stocks.   The benchmark index dipped into the red zone shortly after the opening bell this morning, but quickly rebounded and spent most of the trading day in the positive territory.   The gains, however, were erased when declines at Public Bank Bhd and Malayan Banking Bhd dragged the index into the red, as the trading hours drew to a close.   Public Bank, which was the fourth top decliner across the bourse today, closed 56 sen or 3.39% lower at its almost three-week low of RM15.94, while Maybank retreated 16 sen or 2.17% to settle at RM7.21.   Also weighing on the index was Nestle (Malaysia) Bhd, which sank RM1.60 or 1.14% to close at RM139. It was the biggest loser of the day.   Affin Hwang Investment Bank Bhd remi...

Market Daily Report: KLCI advances for third straight day as Hartalega, banks lift

  KUALA LUMPUR (Sept 15): The FBM KLCI marked its third consecutive trading day of gains today, lifted in particular by advances at Hartalega Holdings Bhd and banking stocks. The benchmark index settled 1.32% or 19.92 points higher at 1,531.28 on market close, after trading between 1,503.19 and 1,532.04 throughout the day. Malacca Securities Sdn Bhd senior analyst Kenneth Leong told theedgemarkets.com that the gains seen in the local bourse was driven mainly by Hartalega, after the group told shareholders of its positive prospects during the annual general meeting held earlier today.  Among the 30 constituents of the FBM KLCI, Hartalega led the gainers with an increase of 8.46% or RM1.10 to close at RM14.10. Banking stocks also contributed to the KLCI's advancement, Leong said, as their share prices climbed while the market turned more optimistic on bank borrowings. The expectation is that fewer borrowers would default on their loan repayments once the loan mora...

Market Daily Report: Stocks up as Covid-19 vaccine hopes support sentiment

  KUALA LUMPUR (Sept 14): The FBM KLCI closed up 6.51 points or 0.43% at 1,511.36 today with world share indices as news on the resumption of AstraZeneca’s clinical trials of its Covid-19 vaccine raised hopes. Across Bursa Malaysia at 5pm, 9.57 billion securities were traded for RM6.47 million. There were 732 gainers versus 300 decliners. MIDF Amanah Investment Bank Bhd research head Imran Yassin Yusof told theedgemarkets.com that gains in the local bourse today were "mainly on bargain hunting on glove counters". Leading gainers included rubber glove manufacturers Supermax Corp Bhd and Top Glove Corp Bhd.  Supermax’s share price closed up RM1.50 or 20% at RM9 while Top Glove added 82 sen or 10.57% to RM8.58. Bursa-listed pharmaceutical shares also gained as investors took cue from the progress in AstraZeneca’s Covid-19 vaccine trials. Pharmaniaga Bhd’s share price closed up 15 sen or 3.46% at RM4.49 while Duopharma Biotech Bhd rose 10 sen or 3.33% to RM3.10. Glob...

Market Daily Report: KLCI slips on glove counters sell-off, OPR surprise

    KUALA LUMPUR (Sept 10): The FBM KLCI slid 0.44%, dragged by glove makers’ continued sell-off, while Malaysian shares drifted lower as investors digested Bank Negara Malaysia’s decision to maintain its policy interest rate at 1.75%. Having taken cue from the overnight rally in Wall Street to open at its intra-day high of 1,504.03 points, the benchmark index retreated in mid-morning and hovered in the red to close down 6.6 points to 1,490.12 points. KLCI’s biggest decliners were Hartalega Holdings Bhd (down RM1.12 or 8.62% to RM11.88), Top Glove Corp Bhd (down 70 sen or 9.79% to RM6.45) and Petronas Dagangan Bhd (down 40 sen or 1.89% to RM20.78). Elsewhere in Asia, Japan’s Nikkei 225 gained 0.88%, South Korea’s Kospi rose 0.87% while Hong Kong’s Hang Seng Index fell 0.64%. Malaysia’s Central Bank announced at 3pm today that it will maintain the overnight policy rate (OPR) at 1.75%. Street consensus had been split, with half of research houses expecting another 2...

Market Daily Report: KLCI sees final hour reprieve, powered by Tenaga, Maybank

  KUALA LUMPUR (Sept 8): The FBM KLCI closed up 2.94 points or 0.19% at 1,519.32 today after a final hour spike helped the index erase earlier losses, which pushed the equity gauge below 1,500 amid a confluence of factors including lower crude oil prices and anticipation of Bank Negara Malaysia's (BNM) interest rate decision this week. Today, the KLCI closed higher at 5pm after a spike, helped by the sharp rise in share prices of constituents including Tenaga Nasional Bhd and Malayan Banking Bhd (Maybank) in the final trading hour, as share prices of rubber glove manufacturers fell. Across Bursa Malaysia at 5pm, 9.04 billion securities were traded for RM4.57 billion. There were 867 decliners versus 309 gainers. The KLCI finished up after falling to its intraday low at 1,494.19, as KLCI-linked rubber glove manufacturers Top Glove Corp Bhd and Hartalega Holdings Bhd’ share prices slumped. Inter-Pacific Securities Sdn Bhd Victor Wan said the KLCI’s consolidation ...

Market Daily Report: Malaysian stocks pare earlier losses to close slightly higher

    KUALA LUMPUR (Sept 7): Malaysian shares ended higher today, recouping much of their earlier losses, buoyed by last-minute gains in certain component stocks including Nestle Malaysia Bhd. The benchmark FBM KLCI started the day in positive territory but slipped into the red after the midday break, touching an intraday low of 1,507.57 points. It remained in the red throughout most of the second half of the day before promptly returning to positive territory about 10 minutes before closing time. At 5pm, the index was up 0.52 points or 0.03% at 1,516.38. Based on Bloomberg data, the leaders among the component stocks were Nestle, which gained RM1.40 to close at RM141, as well as Kuala Lumpur Kepong Bhd (KLK) and PPB Group Bhd, which gained 44 sen and 20 sen to close at RM23 and RM18.80 respectively. The laggards were led by Top Glove Corp Bhd, which fell 10 sen to RM8.28. HLIB Research senior analyst Ng Jun Sheng said the KLCI is expected to extend range-bound con...

Market Daily Report: KLCI closes slightly higher on bargain hunting after sharp falls in line with regional declines

    KUALA LUMPUR (Sept 4): The FBM KLCI closed marginally higher on mild bargain hunting in the later part of the trading session.  But overall sentiment remained tepid in line with the decline at regional markets, following Wall Street’s sharp fall overnight. The index ended the day 0.46 points or 0.03% higher at 1,515.86, after opening sharply lower and remaining in the red for the most part of the session. MIDF Research head of research Imran Yassin Md Yusof told theedgemarkets.com that the heavy selldown in early trading was a spillover effect from the overnight plunge on Wall Street. The market sentiment remained bearish thereafter until the bargain hunting activities ahead of the close. Imran said the KLCI is likely to tread on cautious mode next week amid the selldown on the US markets and with Bank Negara Malaysia's Monetary Policy Committee set to decide whether a further interest rate cut is needed. On the broader market today, losers led gainers...

Market Daily Report: FBM KLCI tumbles as Bursa decliners top 800

  KUALA LUMPUR (Sept 3): The FBM KLCI closed down 22.14 points or 1.44% at 1,515.40 today while the number Bursa Malaysia decliners rose past 800 on profit-taking and as investors took cue from China share losses. Across Bursa at 5pm, there were 874 decliners and 315 gainers. Trading volume stood at 9.41 billion shares valued at RM5.43 billion. Inter-Pacific Securities Sdn Bhd head of research Victor Wan told theedgemarkets.com the KLCI fell today as investors took profit after yesterday’s gain. “I was surprised looking at how steep the selloff was at the KLCI today as I was initially anticipating the buying momentum in the technology-driven rally seen yesterday [to] continue today. “Also, I was expecting there will be more upside for the KLCI following the [end of the] corporate second quarter earnings [reporting season, during] which most of them (companies) should have reflected their worst due to the (Covid-19) pandemic-induced slump,” Wan said. Yesterday, it was ...

Market Daily Report: KLCI lags tech rise as investors dump healthcare shares

    KUALA LUMPUR (Sept 2): The FBM KLCI closed up 16.11 points or 1.06% at its intraday high of 1,537.54 today while Bursa Malaysia's technology index rose by a larger quantum as the healthcare gauge fell in an apparent tack change where investors price in an earnings recovery after businesses were hit by the COVID-19 pandemic. At 5pm, the technology index, which tracks shares of companies like electronic component manufacturers, ended up 2.97% to become the largest percentage gainer among Bursa indices. The healthcare index, which includes rubber glove manufacturers and pharmaceutical companies, fell the most after the gauge closed down 2.72%. “The KLCI has been down amid the expected weak 2020 second quarter results season. Everyone is now expecting a recovery in third quarter earnings, and it is a matter of how far the recovery will be,” Inter-Pacific Securities Sdn Bhd head of research Victor Wan said. Across Bursa today, 11.6 billion securities were traded fo...

Market Daily Report: KLCI slips 0.25% as market enters consolidation mode

    KUALA LUMPUR (Sept 1): The FBM KLCI slipped 0.25% today as investors opted for selective rebalancing among their portfolios following the end of the results season last week. The benchmark index closed the day 3.78 points lower at 1,521.43, dragged by losses in Public Bank Bhd, CIMB Group Holdings Bhd, Malayan Banking Bhd and Petronas Dagangan Bhd (PetDag). Public Bank and PetDag were the two biggest losers on Bursa Malaysia, followed by glove maker Supermax Corp Bhd. On the other side, Hong Leong Bank Bhd and Hong Leong Financial Group Bhd were the top gainers among KLCI component stocks. They also emerged as the second- and third-biggest gainers across Bursa, after Malaysian Pacific Industries Bhd. Overall, market breadth had a slightly negative bias with 612 decliners against 542 gainers, while 391 counters traded unchanged. "Until there is more uncertainty, the market will likely remain in consolidation mode," HLIB Research senior analyst Ng Jun Seng tol...