Daily Market Report (12 January 2023)
- Wall Street continued to climb as traders are becoming more confident that inflation in the US is cooling down and that previous rate hikes by the Federal Reserves has been effective.
- The DJI Average rose by almost 270 points while the Nasdaq was up by 190 points as the US 10-year yield eased to 3.54%.
- Over in Hong Kong, the HSI resumed its uptrend and was up 105 points to close at a 6-month high on optimism of China’s economic recovery and that previous crackdown on tech giants is coming to an end.
- Back home, the FBM KLCI inched higher on mild bargain hunting activities but failed to break the 1,490 mark.
- We reckon selective stock accumulation to persists today with interests to focus on Energy stocks buoyed by the rebound in crude oil prices.
- The Brent crude surged to almost US$83/barrel on the reopening of China coupled with the impending Lunar New Year travelling.
- Therefore, we reckon the index to trend between the 1,485-1,495 range today.
