Daily Market Report - 25 August 2025
- Wall Street ended on a high after the speech from the Federal Reserve fuelled expectations of rate cuts next month.
- It seems like Jerome Powell is finally relenting to mounting political pressures and will shift his stance to adjust rates in September.
- As a result, the US 10-year yield eased to 4.256%.
- Over in Hong Kong, the HSI finally broke out from its brief consolidation phase as sentiment was lifted by hopes of more easing policy from China.
- In addition, the inclusion of Pop Mart, JD Logistics and China Telecom into the HSI has further increased its appeal, pushing total constituents to 88 thus far.
- Domestically, the FBM KLCI briefly breached the 1,600 mark before settling at 1,597.
- Judging from recent buying support by the local institutions, we believe the index should break the 1,600 threshold with ease.
- As such, we expect the index to hover within the 1,600-1,620 range today.
