Daily Market Report (15 February 2023)
- Wall Street closed on a mixed note following a higher than expected January’s consumer price index (CPI) heightening concerns of more rate hikes by the Federal Reserves going forward.
- The DJI Average lost 157 points after a choppy session while the Nasdaq added 68 points as the US 10-year yield inched higher to 3.75%.
- Over in Hong Kong, the downtrend of the benchmark HSI continued as it declined 51 points or a 1-month low amid more outflow of funds.
- Meanwhile, the Hong Kong Monetary Authority (HKMA) mopped up HK$4.22bn in local currency to stabilize the HK$.
- On the domestic front, the FBM KLCI surged past the 1,480 mark attributed to accumulation of blue chips by foreign funds.
- We reckon such bargain hunting activities to continue ahead of the earnings season later this month as many are expecting corporate Malaysia to churn out decent earnings growth for 2022.
- In view of the mixed performance in the US overnight, we reckon flight of funds may return hence anticipate the index to hover between the 1,475-1,490 range today with focus on the Banks today.
