Market Reports

Daily Market Report (19 June 2023)
Daily Market Report (19 June 2023)
  • Wall Street slipped as profit taking sets in following a solid uptrend of late.
  • As such, the DJI Average lost 109 points while the Nasdaq declined by 93 points as the US 10-year yield inched higher to 3.767%.
  • In Hong Kong, equities continue to trend higher with the HSI closing above the 20,000 mark.
  • After a much-welcomed cut in borrowing costs last week, traders remain confident of more stimulus packages following a series of dismal economic data from China.
  • Back home, the FBM KLCI surged to positive territory attributed to late buying activities.
  • The benchmark closed at almost the 1,390 level from selected buying on Telco and Utilities counters.
  • Nonetheless, we reckon sentiment to stay subdued as recent uptrend had been less than convincing.
  • Therefore, we expect the index to maintain its consolidation mode and to hover within the 1,380-1,390 range today.
  • We suspect buying should return to Plantation stocks following its recent uptrend to above RM3,700/tonne due to corruption investigations in Indonesia.
  • Wall Street will be closed for Juneteenth National Independence Day today.
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Daily Market Report (16 June 2023)
Daily Market Report (16 June 2023)
  • Wall Street rallied as traders are betting that the Federal Reserves is close to stop raising interest rates despite chairman Powell indicated that there will be more going forward.
  • Meanwhile contrary to the Fed, the ECB (European Central Bank) hiked rate by 25bps to 3.5% or a 22-year high.
  • Notwithstanding this, the DJI Average gained 429 points while the Nasdaq jumped by 156 points as the US 10-year yield dipped marginally to 3.72%.
  • The absence of rate hike in the US also saw Hong Kong stocks surged by 420 points further boosted by the cut in borrowing costs in an attempt to rejuvenate the ailing economy.
  • As for the local bourse, the FBM KLCI ended in negative territory as profit taking activities emerged across the board.
  • For today, we reckon the index to possibly strengthen and expect the index to hover within the 1,380-1,390 range.
  • Buying interests may return to the Tech sector today following a sell-down yesterday.
  • Crude oil prices were also firmer following a no rate hike as the Brent crude closed almost to USD76/barrel.
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Daily Market Report (15 June 2023)
Daily Market Report (15 June 2023)
  • Wall Street ended mixed as the Federal Reserve paused their rate hike campaign but indicated that there will be more to come going forward.
  • As a result, the DJI Average lost 233 points while the Nasdaq gained 53 points as the US 10-year yield declined to 3.79%.
  • Over in Hong Kong, the HSI slipped 180 points as traders were unimpressed with China’s anticipated stimulus to lower short term policy rate today may be a little too late.
  • Meanwhile, sentiment was also affected by the delisting of mainland Chinese developers amid a weak housing market.
  • Nonetheless, recent attempts from the US to ease tension with China may raise hopes to inject confidence back into the financial system.
  • Back home, the FBM KLCI closed higher attributed to late buying activities on selected heavyweights.
  • Today, we expect market sentiment to remain nervy amid heightening regional volatility taking cue from Wall Street.
  • Thus, we reckon the index to remain stuck within the 1,380-1,390 range today and the absence of rate hikes may continue spur buying interests on Tech counters over the short term.
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Daily Market Report (14 June 2023)
Daily Market Report (14 June 2023)
  • Wall Street uptrend continues as both the S&P 500 and Nasdaq closed to a 13-month high after the inflation data which came in within expectation thus giving hopes that the Fed may pause their rate hike later today.
  • While the DJI Average added 146 points, the Nasdaq added 111 points as the US 10-year yield inched higher at 3.827%.
  • In Hong Kong, the HSI gained 117 points or to a 3-week high after China’s central bank injected some liquidity into the financial system stoking expectations that borrowing costs may be lowered this month.
  • On the domestic front, the FBM KLCI retreated as profit taking set in to close just above the 1,380 level.
  • However, we reckon the index to improve taking the positive cue from Wall Street and expect it to hover within the 1,380-1,390 range today.
  • We believe buying interests may persist on Tech stocks but caution that profit taking activities may emerge following a sharp spike-up since end-May.
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Daily Market Report (13 June 2023)
Daily Market Report (13 June 2023)
  • The bulls continue to charge on Wall Street as traders are betting that the Fed will pause its rate hike during the FOMC meeting tomorrow.
  • Meanwhile, most also expect that the US inflation data will be tame for the month of May giving the likelihood that the Fed will skip its rate hike.
  • Therefore, the DJI Average jumped by almost 190 points while the Nasdaq gained 203 points as the US 10-year yield was flat at 3.743%.
  • Over in Hong Kong, the HSI ended marginally higher on the expected rate pause in the US and that the upcoming economic data from China will show a slowdown thus the anticipated stimulus from Beijing.
  • Back home, the FBM KLCI finally broke out from its slump due to bargain hunting activities across the board.
  • Nonetheless, the benchmark index remains at a 2-week low as we see 1,390 as a strong resistance level.
  • For today, we reckon the index to hover within the 1,380-1,390 range and if there is a decisive breakout from 1,390, we may see 1,400 as the next target.
  • Meanwhile, we believe the Energy sector to see some headwinds as crude oil prices continued to decline with the Brent crude dipped to below the USD72/barrel ahead of the FOMC meeting.
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