Daily Market Report (15 September 2023)

  • Wall Street closed higher thanks largely to the successful listing of ARM despite both the headline CPI and PPI for August coming in slightly higher than expected.
  • Nonetheless, consensus is of the view that the Feds will not hike interest rates this month.
  • As such, the DJI Average rose 331 points while the Nasdaq increased by 112 points as the US 10-year yield edged higher to 4.286%.
  • As for Hong Kong, the HSI halted its 6-day decline on improving rate outlook in the US.
  • China’s latest cut in its RRR by 25bps injecting around US$69bn to aid its recovery should boost sentiment for now.
  • Meanwhile, EU’s probe on China’s EV subsidies may ignite some discontentment.
  • On the domestic front, the FBM KLCI declined slightly to below the 1,450 level due mainly to Maybank’s ex-dividend price adjustments.
  • As market undertone for the local bourse remains solid firmly supported by stock accumulation, we anticipate the index to hover between the 1,450-1,460 range today.
  • Focus may return to Oil & Gas stocks as the Brent crude had surged past US$93/barrel in view of supply shortfall.