Market Reports

Daily Market Report (26 July 2024)
Daily Market Report (26 July 2024)
  • Wall Street's close was mixed as traders tried to recover from Wednesday's sharp sell-off, even though US GDP beat expectations.
  • The Nasdaq dropped 0.9%, the S&P 500 fell 0.5%, while the Dow industrials rose 0.2%.
  • Investors were still affected by the disappointing earnings from US tech giants.
  • Over to Hong Kong, Banking stocks dropped even though several lenders cut their deposit rates, following the Chinese central bank's decision to lower a key policy rate and the mortgage reference rate earlier this week.
  • Tech companies also declined after Nasdaq posted sharp falls.
  • As a result, The HSI fell 1.8% to 17,004.97 at the close.
  • As for the local bourse, the FBM KLCI continued to trend lower amid the weak global sentiment.
  • Nonetheless, the benchmark index remained well supported above the 1,610 level, hence we reckon accumulation of stocks to persist on dips.
  • Hence, we anticipate the benchmark index will range between 1,610 and 1,620 today.
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Daily Market Report (25 July 2024)
Daily Market Report (25 July 2024)
  • Wall Street finished sharply lower following a weak start to the megacap earnings season, leading to concerns that the artificial intelligence enthusiasm driving the bull market may be overhyped.
  • The DJIA closed over 500 points lower, while the S&P 500 saw its worst day since December 2022 due to a major tech selloff, ending its best run without a 2% drop since the onset of the global financial crisis.
  • The Nasdaq 100 experienced even more significant losses, declining by over 3.5%.
  • In Hong Kong, stocks reached their lowest point in three months due to increasing concerns that corporate earnings may not meet expectations.
  • The Hang Seng Index dropped 0.9% to close at 17,311.05, the lowest level since April.
  • In the domestic market, the FBM KLCI fell in tandem with the regional sell-off.
  • Nonetheless, we view this as a chance for investors to find bargains in lower-priced stocks.
  • The index has maintained its position above all Exponential Moving Averages (EMA), indicating an increasing potential for upward movement for longer term.
  • Consequently, we predict the benchmark index will range between 1,610 and 1,625 today.
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Daily Market Report (24 July 2024)
Daily Market Report (24 July 2024)
  • Wall Street closed slightly lower following a choppy session as traders are weighing on results due from Alphabet and Tesla which came in mixed after the closing bell.
  • While Alphabet beat street’s estimates, Tesla earnings were lower than forecast.
  • Meanwhile, the DJIA lost 57 points while the Nasdaq declined by 10 points as the US 10-year yield stayed flat at 4.253%.
  • In Hong Kong, the HSI drifted lower as sentiment remained cautious while waiting for more easing policies from China.
  • BYD and its affiliates took a hit as Warren Buffet’s Berkshire Hathaway reduced its stake in the EV maker to below 5%.
  • Back home, the FBM KLCI rebounded to within the crucial 1,630 mark as bargain hunters returned pushing the daily volume traded above the 5bn shares level.
  • We remain positive that interest in the local bourse to persists despite the recent unloading by foreign funds.
  • As such, we expect the index to hover within the 1,625-1,635 range today.
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Daily Market Report (23 July 2024)
Daily Market Report (23 July 2024)
  • Wall Street rebounded following sharp sell-down in previous sessions as traders also weighed on Biden’s stepping down from the presidential election.
  • Meanwhile, focus will also be on the personal consumption expenditure (PCE) index which is due on 26th July.
  • As such, the DJIA gained 128 points while the Nasdaq jumped by 281 points as the US 10-year yield edged higher at 4.254%.
  • Over in Hong Kong, the HSI added almost 220 points as sentiment recovered after China cut its rates by 10bps to spur economic activities.
  • On the home front, the FBM KLCI declined to almost the 1,620 mark as selling activities gathered momentum amid a broad regional sell-down.
  • We were surprised by the selling possibly due to the heightening uncertainty in the US politics.
  • Nonetheless, we see some bargain hunting activities today thus expect the index to hover within the 1,625-1,635 range.
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Daily Market Report (22 July 2024)
Daily Market Report (22 July 2024)
  • Wall Street ended the week on a weak note as all 3 major indices slumped amid the rotation into smaller cap stocks.
  • Although trading was not affected by the global IT shutdown, the main culprit Crowdstrike tumbled 11.1%.
  • As such, the DJIA lost 377 points while the Nasdaq declined by 144 points with the US 10-year yield climbed to 4.242%.
  • Over in Hong Kong, the HSI dipped by a massive 360 points as sentiment remained downbeat over the underwhelming China’s economic performance and the lack of details of policy to spur growth.
  • Back home, despite the regional turbulence, the FBM KLCI closed on yet another YTD high as buying momentum remains very much intact amid some intermittent profit taking activities.
  • However, we noticed daily volume traded had declined significantly to below the 4.5bn shares level on Friday illustrating that market undertone was still cautious.
  • Notwithstanding the drag on Wall Street, we believe trading on the local bourse to stay positive as ongoing rotation by foreign funds may see some spillover effect into the region namely Malaysia.
  • Thus, we expect the index to trend within the 1,630-1,640 range today.
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