Daily Market Report - 16 May 2025
- Wall Stret closed mixed again as traders are playing with daily narratives to justify their outlook as many are still harping on the 90-day tariff pause between China and the US to validate their cautious optimism.
- Meanwhile, the US 10-year yield declined slightly to 4.431%.
- Over in Hong Kong, the HSI dipped following a mixed set of results from Tencent and Alibaba.
- Sentiment was further dampened on concerns that recent rally may have outpaced fundamentals hence the profit taking activities.
- Back home, the FBM KLCI again failed to sustain the previous day’s positive performance as it fell to just above the 1,570 mark.
- Judging by the stop-start nature, we believe it will require a strong catalyst for the benchmark index to test the 1,600 level.
- As of now, we suspect the index may mirror the regional markets’ performance, which are highly susceptible to the ongoing externalities.
- Therefore, we expect the index to trend within the 1,570- 1,580 range today.
