Daily Market Report (15 June 2023)
- Wall Street ended mixed as the Federal Reserve paused their rate hike campaign but indicated that there will be more to come going forward.
- As a result, the DJI Average lost 233 points while the Nasdaq gained 53 points as the US 10-year yield declined to 3.79%.
- Over in Hong Kong, the HSI slipped 180 points as traders were unimpressed with China’s anticipated stimulus to lower short term policy rate today may be a little too late.
- Meanwhile, sentiment was also affected by the delisting of mainland Chinese developers amid a weak housing market.
- Nonetheless, recent attempts from the US to ease tension with China may raise hopes to inject confidence back into the financial system.
- Back home, the FBM KLCI closed higher attributed to late buying activities on selected heavyweights.
- Today, we expect market sentiment to remain nervy amid heightening regional volatility taking cue from Wall Street.
- Thus, we reckon the index to remain stuck within the 1,380-1,390 range today and the absence of rate hikes may continue spur buying interests on Tech counters over the short term.
