Daily Market Report (10 May 2022)
- Drastic sell-off on US equities continued as overall sentiments turned jittery attributed to prevailing tightening policy by the Federal Reserves.
- As a result, the DJI Average declined by 654 points while the Nasdaq dipped 521 points despite the US 10-year yield eased marginally to 3.03%.
- As for the local bourse, the FBM KLCI closed lower to below the 1,550 level yesterday due to continuous selling by foreign funds.
- Though we expect some bargain hunting to emerge, overall sentiments remain cautious over the heightened volatility on regional markets.
- Therefore, we reckon the index to trend within the 1,540-1,555 range today.
- Meanwhile, crude oil prices declined as outlook remains cloudy due to the lockdowns in China coupled with EU’s move to embargo Russian oil that is still unclear.