Oil breaks US$100, Wall Street retreats and bond yields rise, inflation is becoming the market’s biggest risk again Global markets are starting Thursday in a more defensive position. Brent crude has broken above US$100 a barrel , U.S. Treasury yields are pushing higher, and Wall Street fell for a third straight session as investors reassess whether central banks may need to keep tightening rather than easing. For Malaysian investors, the key chain today is increasingly clear: Oil → inflation → interest rates → bond yields → USD/MYR → Bursa valuations. 30-second market snapshot Market / Asset Latest 🇺🇸 S&P 500 7,636.36, -0.48% 🇺🇸 Dow Jones 52,380.66, -0.77% 🇺🇸 Nasdaq 26,253.34, -0.64% 🇲🇾 FBM KLCI 1,714.34, virtually flat 💵 USD/MYR ~4.06 🇺🇸 U.S. 10Y Treasury ~4.84% 🇺🇸 U.S. 2Y Treasury ~4.42% 🥇 Gold ~US$4,396/oz 🛢️ Brent crude US$101.21/bbl 🛢️ WTI crude US$96.05/bbl ₿ Bitcoin ~US$79,300 🇯🇵 Nikkei ~64,760, -0.6% this morning Brent jumped about 3.4% Wednesda...
Malaysian glove manufacturers saw a significant surge in their share prices on Monday following the declaration of monkeypox (mpox) as an international health emergency for the second time on August 14.
Key Highlights:
Top Glove Leads the Charge: Shares in Top Glove Corp Bhd, the world’s largest glove producer, jumped 6 sen or 6.32% to RM1.01. It was the most actively traded stock on the local bourse, with a trading volume of 94.38 million shares, nearly doubling its 20-day average of 46.4 million.
Market Sentiment Boost: UOB Kay Hian highlighted that the news could drive increased trading activity in the Malaysian glove sector, as the potential for a surge in demand for medical products looms if the mpox outbreak intensifies.
Attractive Valuations: Despite the mpox news, UOB Kay Hian noted that glove stock valuations remain at "relatively attractive levels" with "palatable upside" based on fundamentals alone. The firm maintained its 'tactically overweight' rating on the sector and issued 'buy' recommendations for Top Glove, Hartalega Holdings Bhd, and Kossan Rubber Industries Bhd.
Sector-Wide Gains: Other major glove stocks also rallied, with Hartalega rising 15 sen or 5.58% to RM2.74, Kossan increasing 11 sen or 5.5% to RM2.03, and Supermax Corp Bhd climbing 4 sen or 4.6% to 87.5 sen. Trading volumes for these stocks remained below 10 million shares.
Increased Health Surveillance: In response to the mpox emergency, Malaysia's Ministry of Health announced enhanced surveillance at international entry points and mandated immediate reporting of suspected and confirmed mpox cases by all medical practitioners in government and private health facilities.
Outlook: The mpox emergency has sparked renewed interest in glove stocks, with analysts suggesting the sector may benefit from both the current health concerns and solid underlying fundamentals.
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