Daily Market Report (29 September 2023)
  • Wall Street closed higher despite being faced with numerous headwinds namely high treasury yields and a possible shutdown on October 1.
  • The DJI Average added 116 points while the Nasdaq gained 108 points as the US 10-year yield edged to 4.579% which is new a 15-year high.
  • Meanwhile in Hong Kong, the HSI tumbled 238 points on concerns over the rising US treasury yield, high crude oil prices and the deepening China property woes as trading on China Evergrande was suspended after several executive from the company were detained.
  • On the local front, the FBM KLCI ended lower to the 1,440 level due to the lack of fresh catalysts amid a mixed regional performance.
  • Selling was broad-based although some buying was seen on energy stocks predominantly due to the strong crude oil prices.
  • Though we expect some degree of bargain hunting to return, market undertone remains cautious thus we expect the index to hover between the 1,435-1,445 today.
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Daily Market Report (27 September 2023)
  • Wall Street ended with sharp losses as renewed worries about the state of the US economy were triggered by disappointing reports on home sales and consumer confidence.
  • The DJI Average declined by 388 points, and the Nasdaq fell by 207 points.
  • In Hong Kong, the HSI dipped 262 points on concerns over China’s property woes and fears of a slowdown in the world’s second-largest economy.
  • At home, the FBM KLCI added 2 points due to bargain hunting activities.
  • Given the underwhelming showing of Wall Street in the last session, we foresee investors being more cautious in their actions.
  • The Brent Crude futures remained elevated at above US$92 per barrel, we expect the O&G stocks should attract more attention.
  • Given the circumstances, we expect sentiment on the local exchange to become somewhat cautious, which leads us to project the index will hover around the 1,440-1,450 range today.
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Daily Market Report (26 September 2023)
  • Wall Street closed marginally higher mainly due to bargain hunting activities after 4 days of decline.
  • Nonetheless traders were mostly sidelined in view of the surging US 10-year yield which topped 4.531% or the highest since 2007.
  • As such, the DJI Average added a mere 43 points while the Nasdaq gained 59 points.
  • In Hong Kong, the HSI slumped by more than 300 points on concerns over China’s property woes following China Evergrande Group’s cancellation of its creditor meeting as it was unable to meet regulatory requirements for new bond issuance hence dragged the broader property sector lower.
  • At home, the FBM KLCI declined to below the 1,455 mark amid a weaker regional performance.
  • Despite the broad-based decline, we noticed the Construction sector managed to garner some buying interest to close higher.
  • Judging by the non-committal stance on Wall Street, we believe sentiment on the local bourse may turn slightly cautious thus expect the index to hover between the 1,440-1,450 range today.
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Daily Market Report (25 September 2023)
  • Wall Street continued with its downtrend weighed by comments from the Federal Reserves that high interest rate environment may be prolonged indefinitely, crushing any hopes that the Feds will lower interest rates towards year end.
  • As such, the DJI Average lost 106 points while the Nasdaq declined by 12 points with the US 10-year yield easing slightly to 4.438%.
  • In Hong Kong, the HSI rebounded by more than 400 points on bargain hunting activities as Goldman Sachs sees a stronger economic recovery for China over the next few months.
  • Back home, the FBM KLCI managed to close above the 1,450 level supported by late buying activities.
  • Though daily volume traded has not improved, we are heartened that accumulation of blue chips remains strong.
  • For today, we expect the index to hover between the 1,445-1,455 range.
  • Meanwhile, the noise within the Construction sector is getting louder and we believe that any impending announcements of projects will catapult the sector to higher levels.
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Daily Market Report (22 September 2023)
  • Wall Street slumped further as traders digested the Federal Reserves comments of more rate hikes as we head towards the final quarter of 2023.
  • As a result, the DJI Average lost 370 points while the Nasdaq declined by 245 points.
  • Meanwhile, the US 10-year yield spiked to around a 15-year high at 4.494%.
  • Over in Hong Kong, the HSI fell to a 1-month low on the prospect of more rate hike by the Feds and that rates will stay elevated over a longer period.
  • Back home, after a strong opening, the FBM KLCI closed below the 1,450 mark as sentiment turned cautious in tandem with the sell-down within the region.
  • Though the local bourse may enter into a consolidation phase, we remain optimistic that bargain hunting activities to prevail a foreign funds continue to diversify into the region.
  • As such, we reckon the index to hover within the 1,445-1,455 range today.
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