Daily Market Report (26 March 2021)
  • It was another volatile session on Wall Street as all 3 major indices closed higher following a weak opening.
  • US equities are at a crossroads now between economic recovery and the loss of stimulus hence we can expect continued volatility ahead.
  • The DJI Average gained 199 points to above the 32,600 level, a swing of almost 500 points after losing 350 points at one point.
  • Though we can expect regional markets to experience some volatility, we noticed some foreign funds are trickling into Asia hence most will close firmer today.
  • Back home, the FBM KLCI may see ongoing consolidation and hover within a tight range of 1,595-1,605 today as investors will monitor developments on the UMNO Assembly over the weekend.
  • On a positive note, we noticed some accumulation from foreign funds yesterday.
Daily Market Report (25 March 2021)
  • Sentiments on Wall Street remain jittery as all three major indices slumped following strong earlier sessions.
  • Despite the lower 10-year Treasury yield, the sell-off on tech stocks were unrelenting as the Nasdaq lost 2% or 266 points while the DJI Average declined 3 points after a 300-point gain.
  • As such, we reckon regional markets to continue with their consolidation amid the heightened volatility today.
  • On the home front, we expect the FBM KLCI to possibly experience bargain hunting momentum to continue albeit in a more muted manner.
  • Therefore, we believe the index to again trend within a narrow range of within the 1,595-1,605 range today.
Daily Market Report (24 March 2021)
  • Wall Street slumped as fears on delay of global economic recovery mounts amid the increase in Covid-19 cases in some countries.
  • The DJI Average lost 308 points to close below the 32,500 mark whilst the Nasdaq declined by almost 150 points.
  • In view of this, we believe regional markets to remain in a consolidation mode as volatility heightens.
  • On the home front, we reckon the FBM KLCI may see bargain hunting to emerge albeit cautiously following yesterday’s weak performance closing below the 1,600 level.
  • Nonetheless as feared, market undertone is weak with investors now are becoming more cautious thus we expect the index to trend between the 1,590-1,600 range today due to the absence of clear buying catalysts.
Daily Market Report (23 March 2021)
  • Wall Street rebounded as traders flocked back as buyers amid the declining US 10-year Treasury yields. With the 10-year yields dipping below the 1.7%, the DJI Average gained 103 points whilst the Nasdaq jumped by more than 1.2%.
  • As market volatility heightened, we reckon regional markets may see muted performances today.
  • On the local front, we expect the FBM KLCI to strengthen today following yesterday’s weak closing. Therefore, we expect the index to inch higher and test the 1,620 level today.
  • However, we notice market undertone remains quite weak from the lack of buying catalysts and the absence of any meaningful inflows from the foreign funds thus we continue to advocate investors to maintain BUY on Weakness.
  • Meanwhile, we are also keeping an eye on the relationship between China and the US.
Daily Market Report (22 March 2021)
  • US equities fell following the Feds decision not to extend the capital breaks expiring end-March for banks during the pandemic era. As such, the DJI Average lost 234 points to close at around the 32,600 level.
  • Nonetheless, the Nasdaq gained 99 points despite the US 10-year Treasury yields surged beyond the 1.70%.
  • Along with the mixed trading pattern on Wall Street, we believe regional markets to remain mixed today.
  • Back home, we reckon the FBM KLCI to see some selling pressure following last Friday’s strong closing as bargain hunting emerged when the index hovered near the 1,615 level.
  • Therefore, we believe the index to again test the 1,620 level today with a more meaningful support around the 1,610/15 range.