Daily Market Report (3 November 2022)
- Wall Street tumbled as the Federal Reserves hiked rates by 75bps and hinted with more to follow as it continues to fight inflation.
- As a result, the DJI Average lost 505 points with the Nasdaq declined by 366 points while the US 10-year yield inched higher to almost the 4.1% level.
- For the local bourse, the FBM KLCI rebounded above the 1,450 mark supported by buying on Plantation and Telco related counters.
- Nonetheless, we anticipate some headwinds for the local bourse as eyes will be on Bank Negara move on interest rates today.
- Therefore, we expect the index to hover between the 1,440-1,460 range today as sentiment is seen cautious.
- While many expect BNM to impose a 25bps increase, we reckon Technology stocks to be high on the selling list as regional markets may be drag into negative territory today.
