Daily Market Report (13 December 2023)
- Wall Street closed broadly firmer as the Santa Claus rally continues, aided by the latest CPI figure that came in within expectations prompting beliefs that the Feds may leave rates unchanged.
- As a result, the DJI Average gained 173 points while the Nasdaq added 101 points as the US 10-year yield eased marginally to 4.21%.
- In Hong Kong, the HSI jumped 173 points higher after touching a 14-month low, on optimism that the political and economic meeting in Beijing this week could deliver some good news in terms of stimulus to revive the Chinese economy.
- On the local front, the FBM KLCI ended flat as late accumulation activities helped lift the index higher amid a lacklustre session.
- Though we noticed bargain hunting is prevalent, overall sentiment remains cautious coupled with a neutral reaction towards the latest Cabinet reshuffle.
- For today, we reckon the index to scale higher taking cue from the clearer picture in the US thus expect it to hover within the 1,445-1,455 range.
- As for crude oil prices, the Brent slumped even further to US$73/barrel due to a combination of record US inventory plus weaker demand from China.
