Daily Market Report (19 September 2023)
- Wall Street closed flat amid a lackluster day as traders are sidelined ahead of the Feds FOMC meeting tomorrow.
- As a result, the DJI Average added 6 points while the Nasdaq gained 2 points as the US 10-year yield eased to 4.303%.
- Though consensus is expecting the Feds to maintain interest rates tomorrow, many are concerned by uptick in the inflationary data recently especially by the latest surge in crude oil prices.
- In Hong Kong, the HSI slumped to below the 18,000 level again as sell-down continues with the negative outlook of the Chinese Yuan which declined to a 16-year low coupled with the detainment of several executive in Evergrande Group.
- Nonetheless, we are of the opinion that the cheaper Yuan may actually spur Chinese exports going forward.
- Back home, persistent accumulation of blue chips saw the FBM KLCI pared earlier losses to close almost flat.
- We reckon trading to be on a cautious mode today with an eye on the Feds move tomorrow thus expect the index to hover between the 1,455-1,465 range.