Daily Market Report (24 May 2019)
- Being the worst performer within the region the FBM KLCI (-5.25% year to date) is fairly well supported at the 1,600 mark amid the prevailing market volatility. With the MYR now at RM4.20/USD, the local bourse presents an alluring value proposition especially for foreign investors.
- We continue to advocate market participants to look at index linked stocks as these would be the first to rebound once the market sees a reversal in fortune. We estimate that the FBM KLCI is currently trading at a PER of 15x which is below its average of 16.5x hence the window of opportunity for stock accumulation.