Daily Market Report (25 March 2020)
- Wall Street saw one of its finest spike-up yesterday ahead of some aggressive stimulus incentives.
- Whether this is sustainable remains to be seen as we are still sceptical of this sharp reversal because the western world may now be the new epicentre of the dreaded coronavirus judging from the high fatalities and new cases of late.
- Nonetheless, we believe some positivity today as regional markets are poised to trend higher.
- Locally, we expect the FBM KLCI to see the same with the initial target of 1,320 thereafter at 1,350.
- Let’s not be overwhelmed by Wall Street’s strong performance as we are still highly susceptible to Covid 19 and believe we haven’t seen the peak yet.
- Therefore, we would use this window as sellers into strength.
