MONEY MASTER

 Market Snapshot Malaysian technology counters surged on Monday, tracking a regional rally as dovish signals from the US Federal Reserve lifted optimism for a September rate cut. Bursa Malaysia Technology Index:  +2%, highest since  Feb 24, 2025 . Malaysian Pacific Industries (MPI):  Jumped as much as  9% to RM27.74 , despite lingering earnings concerns. The move comes as capital inflows into Asia intensified, with investors positioning for potential monetary easing in the US. Drivers of the Rally Fed Pivot Hopes: Fed Chair  Jerome Powell’s  Jackson Hole remarks — that the outlook “may warrant adjusting the policy stance” — reinforced bets for a  25bps September rate cut . Lower rates reduce funding costs for capital-intensive tech firms and support growth-sector valuations. Wall Street Lead: Sentiment was buoyed by strong gains in the  Magnificent Seven  (Alphabet, Amazon, Apple, Broadcom, Meta, Microsoft, Nvidia) last Friday. AI-relate...

RHB Investment Bank is staying bullish on Malaysia’s tech sector , maintaining its  OVERWEIGHT rating  as recovery momentum builds and valuations remain attractive. The sector is now trading at  below 20x forward P/E , well under its 5-year average—opening the door for a potential  re-rating . Why RHB Is Optimistic: Earnings Strength : Across the supply chain, companies are showing stronger revenue and giving  positive forward guidance . Engineering Support Services  report robust  order books , often a leading signal for  automated test equipment (ATE)  and  OSAT providers . EMS players  (Electronics Manufacturing Services) see  healthy visibility , backed by new project wins and customer interest. New tech rollouts, product launches, and demand recovery  are expected to boost the sector through 2H25. Malaysia’s Strategic Advantage: Short-term boost from  order diversion  and long-term gain from  manufactur...

Thailand's manufacturing production index (MPI) rose by 1.79% in July from a year earlier, marking its first increase in three months, according to the country's industry ministry. This growth surpassed a forecasted 0.7% decline predicted by a Reuters poll, signaling a potential recovery for the sector. The rise was attributed to stronger exports, increased tourism, and higher public spending. Key Takeaways: Positive Turn in Factory Output : The July MPI showed a 1.79% increase, a reversal from a 1.63% decline in June, indicating a recovery in Thailand's manufacturing sector. The deputy director general of the Office of Industrial Economics, Krit Chansuwan, expressed optimism, expecting further growth in August based on higher import levels, which is a positive sign for future manufacturing and exports. Boost from Exports and Tourism : Thailand's export sector saw a notable improvement, with a 15.2% rise in July compared to the previous year, marking the biggest increas...