Daily Market Report (17 August 2022)
- It was a mixed day on Wall Street as solid earnings from Walmart and Home Depot showed that consumer spending should be strong enough to avert a recession in the US.
- The DJI Average jumped by 240 points while the Nasdaq was down by 25 points as the US 10-year yield inched slightly higher at 2.81%.
- Back home, the FBM KLCI rallied mainly due to broad based buying especially on Telcos which we recommended on Monday.
- With more inflows of foreign funds expected to take advantage of the reasonable valuation of the local bourse and cheap MYR, we believe buying should remain on underperformers namely the Utilities and Telcos sectors.
- Thus, we anticipate there to be more leg from the index which is seen to hover between the 1,515-1,530 range today.
