Market Reports

Daily Market Report (14 October 2024)
Daily Market Report (14 October 2024)
  • Wall Street finished on a high note last Friday, driven by solid bank earnings that lifted financial stocks, while inflation data fuelled anticipation of a Federal Reserve rate cut in November.
  • Confidence is building among investors that the U.S. economy will achieve a soft landing, with inflation concerns easing after PPI data revealed core and final demand were lower than anticipated, despite a modest rise in CPI.
  • In Asia, major indices ended broadly lower due to profit-taking activities amid rising tensions in the Middle East.
  • Meanwhile, China’s Finance Minister Lan Foan delivered positive news, stating that 2.3 trillion yuan (US$325.5bn) in special bonds will be issued in the next three months to uplift the economy.
  • The Hong Kong market was closed for public holiday.
  • As for the local bourse, the FBM KLCI remains in a consolidation phase, and we anticipate this trend to persist into the week unless new catalysts arise.
  • Investors are urged to remain cautious until the market's direction becomes more evident.
  • As such, we anticipate the benchmark index to trend within the range of 1,630- 1,640 for today.
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Daily Market Report (11 October 2024)
Daily Market Report (11 October 2024)
  • Wall Street closed lower as traders reacted negatively towards September’s CPI figure which came in higher than anticipated.
  • As a result, many are now concern that another big rate cut In November may not happen. Meanwhile, the US 10-year yield has eased marginally to 4.067%.
  • Over in Hong Kong, the HSI rebounded to above the 21,000 level following PBOC’s introduction of a USD70bn financing facility for institutional purchases thus prompting expectations of more easing measures to prop up growth.
  • The Hong Kong market will be closed today for Double Ninth Festival. On the home front, the FBM KLCI closed positively but off the day’s high amid bouts of late profit taking activities.
  • Nonetheless, news that Public Bank is acquiring LPI Capital at a 25% discount to its pre-suspension price of RM13 via cash bodes well for the bank as the purchase is earnings accretive minus the dilutive impact to shareholders.
  • As such, we may see some buying in Public Bank which accounts for more than 8% weighting on the FBM KLCI hence expect the index to hover within the 1,640-1,650 range today.
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Daily Market Report (10 October 2024)
Daily Market Report (10 October 2024)
  • Wall Street closed on a strong note as both the DJIA and S&P500 notched record highs.
  • Sentiment was buoyed by expectations that the Fed favoured cutting rate by another 50bps next month as the DJIA added 432 points while the Nasdaq gained 109 points despite the US 10- year yield edging higher at 4.075%.
  • In Hong Kong, the HSI suffered another day of decline as the index slid by almost 290 points to almost the 20,500 level amid the trashing of both the Shanghai and Shenzhen markets following a dismal press conference by China’s economic planner a couple of days ago.
  • Back home, the local bourse remained stuck in its correction phase with the FBM KLCI closing flat flowing a choppy session as sentiment remained cautious as depicted by the low daily volume.
  • Looking ahead, we believe the trading pattern to improve slightly, taking cue from the more positive US market thus expect the index to hover within the 1,635-1,645 range today.
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Daily Market Report ( 9 October 2024)
Daily Market Report ( 9 October 2024)
  • Wall Street closed positively as traders are pondering the decline in crude oil prices amid the ongoing tension in the middle east.
  • As such, the DJIA rose 126 points while the Nasdaq added 259 points with the US 10-year yield easing slightly to 4.014%.
  • Over in Hong Kong, the HSI tumbled sharply to below the 21,000 mark as the buying euphoria waned following the absence of more handouts during the National Development and Reform Commission (NDRC) press conference yesterday.
  • On the home front, the FBM KLCI closed marginally higher due to last minute buying activities paring earlier losses.
  • Though daily traded volume improved somewhat, it remains insufficient to instigate any heightened trading activities.
  • Therefore, we maintained that the local bourse is still stuck within its consolidation phase and the index is expected to hover within the 1,630-1,640 range today.
  • Meanwhile, crude oil price slipped as the Brent crude lost almost 5% to USD77/barrel on concerns on weakening demand.
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Daily Market Report (8 October 2024)
Daily Market Report (8 October 2024)
  • Wall Street closed broadly lower as sentiment tuned cautious amid the rising Treasury yields and crude oil prices.
  • As such, the DJIA declined by almost 400 points while the Nasdaq lost 214 points as the US 10-year yield climbed to 4.028%.
  • Meanwhile, Hong Kong market remained buoyant attributed to the meteoric rise of the Chinese markets.
  • The HSI closed above the 23,000 mark, a level last seen in February 2022 as foreign funds returned hoping that there will be more goodies from the Chinese authorities.
  • Back home, the FBM KLCI ended positively as foreign funds turned net buyers.
  • Nonetheless, market undertone remains cautious as illustrated by the low daily volume traded at below 2.8bn shares.
  • We noticed the index is still consolidating within the 1,630-1,680 range and needs to break the 1,680 level decisively before the upward trajectory resumes towards the 1,700 mark.
  • Despite the lack of catalysts currently, we hope recent strong performance of the crude palm oil (CPO) price may attract some interests on the planters hence expect the index to hover within the 1,635-1,645 range today.
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