Daily Market Report (5 April 2024)
- Wall street closed sharply lower as traders decided to lock in profits illustrating that US equities are certainly overvalued following a spate of record breaking runs earlier this year.
- Meanwhile, traders are also waiting for the US job data for March that will be out later today.
- As such, the DJI Average lost 530 points while the Nasdaq declined by 228 points as the US 10-year yield ended marginally lower at 4.307%.
- The Hong Kong market was closed for holiday yesterday.
- On the home front, the FBM KLCI jumped 16 points higher to above the 1,550 level due to broad-based buying by foreign funds.
- We hope yesterday sell-down on Wall Street will instigate more rebalancing of portfolios and divert the flows back into the Asian region.
- Notwithstanding this, we believe overall sentiment may be negatively affected today thus expect trading to turn cautious hence we expect the index to hover within the 1,550-1,560range today.
