Market Reports

Daily Market Report (8 September 2023)
Daily Market Report (8 September 2023)
  • Wall Street struggled to close on a mixed note as sentiment remains affected by the likelihood of more rate hikes by the Feds later this month attributed to the still strong labour market.
  • As a result, though the DJI Average added 57 points, the Nasdaq lost 124 points despite the US 10-year yield easing to 4.25%.
  • In Hong Kong, the HSI continue to slide as it lost almost 250 points in view of China’s weak exports in August underpinning hopes for more aggressive stimulus.
  • Meanwhile, the Chinese Yuan also declined to a 15-year low from averaging 6.4 earlier this year to currently 7.3/US$1 or a drop of 18%.
  • Back home, the FBM KLCI ended flat due to some late barging hunting activities despite the regional weakness.
  • Although we believe sentiment to stay cautious in view of the external factors, we remain positive that accumulation of stocks to persist hence expect the index to hover within the 1,460-1,470 range today.
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Daily Market Report (7 September 2023)
Daily Market Report (7 September 2023)
  • Wall Street continued with its sluggish performance as concerns over interest rates returned to spook sentiment as the US 10-year yield edged higher to 4.296%.
  • As a result, the DJI Average lost almost 200 points while the Nasdaq slumped by 148 points.
  • Over in Hong Kong, although the HSI pared earlier losses to close flat, underlying confidence remains fragile following an unconvincing corporate earnings season which prompted downgrades on the outlook of Chinese companies going forward.
  • As for the local bourse, the FBM KLCI ended higher as buying activities returned following a downtrend of late.
  • In line with prevailing strong crude oil price, the Oil & Gas counters managed to garner solid buying support.
  • We believe accumulation of stocks to continue amid improving trading volume over the past few days hence expect the index to trend between the 1,460-1,470 range today.
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Daily Market Report (6 September 2023)
Daily Market Report (6 September 2023)
  • Wall Street closed on a weak note as rising crude oil prices reignited inflationary concerns as both Saudi Arabia and Russia extended their voluntary cut in supply pushing the Brent crude to a year to date high at above the US$90/barrel.
  • As a result, the DJI Average lost 196 points while the Nasdaq declined by 11 points as the US 10-year yield inched higher to 4.266%.
  • In Hong Kong, the HSI slumped 390 points as confidence continues to be spooked by potential more Country Garden’s default despite having averted a portion of it earlier.
  • Sentiment remains jittery as the Chinese property developer is faced with more debt maturities and traders are concerned that the stimulus package from Beijing may be insufficient to revive the sector.
  • On the home front, the FBM KLCI was also affected by the regional weaknesses affected by the property scene in China.
  • In view of the change in sentiment to cautious mode, we reckon the index to trend within the 1,450-1,460 range today as some bargain hunting activities may emerge.
  • On a more positive note, we noticed volume traded on the local bourse remained elevated at above 4bn shares.
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Daily Market Report (5 September 2023)
Daily Market Report (5 September 2023)
  • Wall Street was closed for Labour Day yesterday and a look at the futures of the 3 major indices indicate that sentiment remains rather cautious at the moment.
  • In Hong Kong, the HSI predictably gave a solid performance after a weak August as traders are expecting more stimulus to be rolled out to prop up the ailing Chinese property market as Country Garden averted a potential default.
  • The Hong Kong market was further spurred on by EV makers namely BYD and LI Auto following record sales in August.
  • Back home, the FBM KLCI failed to make any significant inroads due to intermittent profit taking activities as the benchmark index closed on a flat note.
  • Nonetheless, we remain confident that buying activities will persist as illustrated by the improving turnover which surpassed the 4bn mark over the last 2 days.
  • Therefore, we expect the index to hover within the 1,460-1,470 range today.
  • Meanwhile, the Brent crude finally touched the US$89/barrel which is a YTD high.
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Daily Market Report (4 September 2023)
Daily Market Report (4 September 2023)
  • Wall Street closed mixed despite a strong opening following a slight uptick in the US unemployment rate to 3.8% in August from 3.5% before.
  • Nonetheless, sentiment remains cautious.
  • Therefore, although the DJI Average gained 115 points, the Nasdaq ended 3 points lower as the US 10-year yield inched higher to 4.181%.
  • Meanwhile, trading on Hong Kong market was halted last Friday because of Typhoon Saola.
  • However, we expect the HSI to see a positive reaction today after more measures were implemented to ease the Chinses ailing property sector plus a cut in the foreign currency reserve requirement ratio from 6% to 4% to stem the declining Yuan against the US$.
  • Back home, the FBM KLCI maintained its impressive performance.
  • As market undertone continues to improve, we reckon the index to trend within the 1,460-1,475 today.
  • Meanwhile, Oil & Gas counters may see some action today as crude oil prices are trending higher in view of the decline in inventory and cut in production with the Brent crude is currently hovering near the US$89/barrel.
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