Daily Market Report (29 May 2023)
- Wall Street closed firmer as traders turned optimistic that a deal would be reached for the US debt ceiling soon.
- As a result, the DJI Average rose 329 points while the Nasdaq added 278 points as the US 10-year yield eased marginally to 3.81%.
- Hong Kong market was closed for Buddha’s Birthday last Friday.
- On the home front, the FBM KLCI maintained its lackluster performance to end on a flat note attributed to some late buying activities on the Telco and Utilities counters.
- The local bourse remained stuck in a consolidation phase despite decent earnings from the Banks of late.
- Investors continued to be sidelined despite the index currently hovering at a 2-month low level.
- Nonetheless, latest news that a tentative deal has been reached to avoid a US default may spur some buying activities within the regional markets hence may see some accumulation of stocks domestically.
- Thus, we expect the index to trend within the 1,400-1,410 range today. Meanwhile, crude palm oil price improved slightly due to El Nino that could affect production.
