Daily Market Report (27 September 2022)
- Wall Street continue with its decline as all 3 major indices closed steeply lower on rising US yields and turmoil amongst global currencies.
- The DJI Average was down 330 points while the Nasdaq lost 65 points as the US 10-year yield breached the 3.9% level which is a 12 year high.
- On the home front, the FBM KLCI closed lower or almost a 3-month low due to continuous selling by foreign funds amid regional weaknesses.
- Though the local bourse is in oversold territory, sentiment has turned cautious thus we expect limited upside for local equities and see the index to hover within the 1,405-1,420 range today.
- We expect commodities related stocks to encounter some headwinds today with the heightened volatility between the global currencies.
- Meanwhile, the Brent crude price has slipped to US$84/barrel on recessionary fears.
