Daily Market Report (21 October 2022)
- Wall Street ended in negative territory following another choppy session as the US 10-year yield edged to another high of 4.23%.
- The DJI Average declined by 90 points while the Nasdaq lost 66 points.
- Back home, the FBM KLCI continued to climb especially after the GE15 date was announced.
- The benchmark index had recovered by more than 60 points or by more than 4% over the past week due to support from the local institutions.
- Though sentiment remains cautious, we reckon buying to persists hence expect the index to trend between the 1,430-1,450 range today with buying to center on the Telcos and Banks again.
- Nonetheless, we believe broad sentiment may be spooked by the high US 10-year yield which could force Bank Negara Malaysia to hike interest rate during the Monetary Policy Committee (MPC) meeting in early November to arrest the Ringgit’s slide against the USD.
