Daily Market Report (6 February 2024)
- Wall Street ended lower after the US 10-year Treasury note was gained more than 13 basis points to 4.166% as investors assessed a fresh batch of strong economic data that suggested rates may stay elevated for longer than anticipated.
- The Dow dived 274 points (0.71%) while the Nasdaq erased 32.3 points (-0.2%).
- In Asia, major indices closed lower as the better-than-expected US job report diminished any possibilities of an immediate interest rate cut by the Fed.
- The HK market ended lower with selling on real estate and tech stocks.
- The HSI fell 23.5 points (0.15%).
- On the domestic front, the FBM KLCI finished lower due to profit taking activities.
- Nonetheless, we interpret this as a positive correction, enabling the market to absorb the recent rally.
- We expect the buying on local stocks to continue given the attractive valuations and persistent support from foreign funds.
- As such, we anticipate the benchmark index to trend within the range of 1,510-1,520 for today.
