Daily Market Report (30 June 2023)
  • Wall Street closed higher as major banks passing their US Fed annual stress test.
  • Following this, banking and financial stocks rallied causing the DJIA and S&P500 to jump almost 270 points and 20 points respectively.
  • Despite concerns of an impending recession, a range of encouraging economic indicators pointed towards resilience in the economy.
  • Particularly, there was a significant upward revision in the first-quarter GDP, accompanied by a decline in weekly jobless claims, reaching their lowest level since May.
  • Meanwhile in Hong Kong, the HSI closed lower due to profit takings after the recent rally.
  • Back home, the FBM KLCI ended higher on Wednesday following the strong regional rally.
  • As for today, we expect trading to be muted due to long weekend in conjunction of the Hari Raya Haji holidays.
  • Nonetheless, we expect buying interests to return to banking stocks reflecting the strong performance of banks in Wall Street.
  • As such, we anticipate the FBM KLCI to trend within the range of 1,385-1,395.
Daily Market Report (28 June 2023)
  • Wall Street rebounded as sentiment improved following a solid set of economic data illustrating that the US economy remains strong with no recession in sight.
  • As a result, the DJI Average gained 212 points while the Nasdaq jumped by 220 points despite the US 10-year yield inched higher at 3.772%.
  • In Hong Kong, the HSI recovered to above the 19,000 level after a 5-day decline on earnings upgrade plus expectations of more stimulus package from Beijing.
  • As for the local bourse, the FBM KLCI ended lower due to selling activities in the afternoon session especially on the Telcos.
  • For today, we reckon the index to see a slight recovery with buying interests returning to the financials and Tech stocks following bouts of profit taking over the last 3 days.
  • Therefore, we expect the index to hover within the 1,380-1,390 range today.
  • Meanwhile, concerns over global demand saw crude oil prices dipped further with the Brent crude closing around the USD72/barrel.
Daily Market Report (27 June 2023)
  • Wall Street ended lower as traders were side-lined ahead of some economic data to be out later today amid some profit taking activities as well.
  • As such, the DJI Average declined by 13 points while the Nasdaq lost 156 points with the US 10-year yield closed slightly lower at 3.723%.
  • Over in Hong Kong, the HSI continued with its downtrend as sentiment remained affected by the lack of stimulus from Beijing after more weak economic data from China.
  • The HSI had slumped by almost 1,200 points over the past 5 days.
  • Back home, the FBM KLCI was marginally lower following some late selling activities on the financials in line with the weak regional performance.
  • We reckon the trading pattern to be similar today in the absence of any positive signs thus anticipate the index to hover within the 1,385-1,395 range.
  • We expect more follow through selling on Tech stocks after yesterday’s selling as sentiment on the sector turned cautious following a series of rate hikes in Europe.
Daily Market Report (26 June 2023)
  • The rally on Wall Street ran out of steam as all 3 major indices closed in negative territory as traders are now concerned about recession especially after the Bank of England surprised everyone with a 50bps rate hike.
  • As a result, the DJI Average lost 219 points while the Nasdaq declined by 138 points as the US 10-year yield edged lower at 3.737%.
  • In Hong Kong, the HSI slump continues as it ended below the 19,000 mark following the rate hike in the UK thus reviving inflationary fears.
  • On the home front, the FBM KLCI also closed in the red amid a broadly weaker regional performance last Friday.
  • Financials bore the brunt of the selling after a decent showing last week.
  • For today, we reckon sentiment to remain fragile as the DJI Average futures remains in the red at time of writing thus expect the index to hover within the 1,380-1,390 range.
  • Amid recent rate increases in Europe, we believe Tech stocks may experience some selling today.
  • Meanwhile, in view of the recessionary fears the Brent crude closed below USD74/barrel.
Daily Market Report (23 June 2023)
  • Wall Street closed on a mixed note, with two of the three major indices finishing higher as investor reluctant to make significant moves at the moment, focusing instead on the latest developments from the central bank's hiking campaign.
  • As a result, the DJI Average shed a mere 5 points while the Nasdaq gained 128 points as the US 10-year yield inched marginally higher to 3.797%.
  • Over in Hong Kong, the HSI continued to slump on the concerns over the Chinese economy and disappointment with the central bank's prime rate cuts in China resonating.
  • Back home, the FBM KLCI continue its upward trajectory lifted by selected buying on heavyweight financials.
  • We believe that the local bourse to remain resilient and reckon the index again hover within the 1,390-1,400 range today, with buying interest continuing to be seen in banking stocks.