Daily Market Report (20 March 2023)
Daily Market Report (20 March 2023)

Daily Market Report (20 March 2023)

  • Wall Street tumbled as concerns over the US banking system resurfaced with First Republic Bank being the latest facing liquidity crunch with more to come ahead of the FOMC meeting on 21/22 March.
  • Although all 3 major indices closed off the day’s low, the DJI Average fell 384 points while the Nasdaq declined by 87 points as the US 10year yield ended lower at 3.44%.
  • In Hong Kong, equities rebounded on improved sentiment over the ongoing banking crisis and China resuming live feed data for the bond market.
  • Domestically, the FBM KLCI surged past the 1,410 level underpinned by robust bargain hunting activities across the board.
  • Nonetheless, we reckon investors to remain wary over the volatile US market last week thus expect the index to possibly trend within a tight range again of between 1,405-1,415 until the outcome by FOMC becomes clear.
  • Flight of funds to safety was apparent as gold prices had surged to almost the USD1,990/oz.
  • Meanwhile, crude oil prices continued to slip with the Brent crude hovering below the USD73/barrel.
  • We still advocate investors to BUY on weakness if opportunity arises.
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