Daily Market Report (17 July 2024)
- Wall Street closed higher underpinned by broad-based buying, pushing the DJIA to a record high as traders remained hopeful that the Fed will cut rates this September and a soft landing for the US economy supported by June’s retail sales which came in better than expected.
- As such, the DJIA surged 743 points while the Nasdaq was up 37 points with the US 10-year yield easing to 4.158%.
- In Hong Kong, the HSI dipped to below the 18,000 level again as sentiment was spooked by China’s gloomy economic outlook amid some downgrades on its growth.
- On the home front, the FBM KLCI failed to stay above the 1,630 mark again despite a strong start as sellers kept the uptrend at bay.
- Meanwhile, we also noticed that the absence of strong catalysts saw buying activities side-lined as depicted by the lower volume traded yesterday.
- Nonetheless, we expect the index to trend between the 1,625-1,635 range today taking cue from the robust Wall Street’s overnight performance and heightened likelihood of a rate cut in September.
- Meanwhile, gold prices surged to an all-time high on hopes of lower rates going forward.
