Market Reports

Daily Market Report (21 Dec 2020)
Daily Market Report (21 Dec 2020)
  • U.S. markets were higher as expectations on the USD900bn stimulus bill and US1.4 trillion spending plan is set to be voted as the Covid-19 numbers continued to surge and increased movement restrictions.
  • U.S. futures opened higher hence regional markets will see also see stronger start for the week today.
  • On our local front, last week saw KLCI index succumbed to profit taking as news of the upliftment of regulated short selling dampened sentiments.
  • Nonetheless, we feel that impact is minimal as intra-day short selling is still not permitted and is extended to 28 Feb 2021, we see buying opportunities and would recommend to buy on any weakness or pullback.
  • Brent Crude Oil remained strong as it stayed above the USD51 per barrel, expect to see oil & gas related counters to be in focus.  

 

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Daily Market Report (16 Dec 2020)
Daily Market Report (16 Dec 2020)
  • Fresh optimism over the U.S. stimulus package had pushed Wall Street higher with the Nasdaq charting record high. The DJI Average jumped by 340 points to remain above the 30,000 mark.
  • As such, we reckon regional markets to reverse yesterday’s weakness and to end up mostly higher today. On the local front, we believe the late buying euphoria from the approval of Budget 2021 to be short lived as we see profit taking activities to emerge.
  • Thus, we envisage the FBM KLCI to trend within the 1,660-1,670 range today.
  • Meanwhile, keep an eye at the plantation sector as crude palm oil (CPO) remains strong at above the RM3,600/metric tonne. If this persists, December would be the best month for CPO this year.
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Daily Market Report (15 Dec 2020)
Daily Market Report (15 Dec 2020)
  • Concerns over possible lockdown spooked traders as Wall Street succumbed to selling pressures with the DJI Average down by 184 points to close below the 30,000 mark.
  • Therefore, we reckon regional markets to see some weaknesses today.
  • As for the local bourse, we expect profit taking activities to persist amid some developments on the political front coupled with renewed selling on rubber glove counters.
  • As such, we expect the FBM KLCI to experience some consolidation today with the 1,650 as the immediate support level.
  • Nonetheless, we believe market undertone to remain strong hence would advise investors to buy on further weakness.
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Daily Market Report (14 Dec 2020)
Daily Market Report (14 Dec 2020)
  • Wall Street ended rather mixed as optimism over an immediate solution for the U.S. stimulus package fades.
  • Nonetheless, the DJI Average gained a token 47 points to remain above the 30,000 mark.
  • As US began shipping out the vaccines over the weekend, we believe hopes to eradicate the pandemic in general is getting higher. As such, we would expect regional markets to trend positively today.
  • On the local front, though we would expect the FBM KLCI to chart higher today we also envisage profit taking to emerge following a strong last week where the index jumped by almost 4%.
  • Hence, we reckon the benchmark index to hover between the 1,680-1,700 range today. Meanwhile, we noticed that the Brent crude has finally passed the US$50/barrel barrier.
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Daily Market Report (11 Dec 2020)
Daily Market Report (11 Dec 2020)
  • U.S. markets were marginally lower which bounced off its low as jobs data shows recovery is yet uncertain while tech stocks rebound from recent falls buoyed by sizzling performance of IPO listing of Doordash and Airbnb.
  • Regional markets are likely to head for mixed following softer U.S. markets yesterday while U.S. futures were largely flat.
  • Back to our local equities market, yesterday saw our KLCI index making further gains as banking stocks rose on the back of economic recovery optimism, however the broader market is seeing some weakness on profit taking.
  • However, commodity prices gains will spur some excitement in our market today as crude palm oil futures (Jan) ended higher well above RM3,500 per tonne on lower inventory from data by Malaysia Palm Oil Board, this is expected to see interest in plantation stocks.
  • Brent Crude which rose above USD50 per barrel is also going to see much interest in oil & gas related stocks.
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