Daily Market Report (2 February 2023)
  • Wall Street having languishing in negative territory, recovered strongly following the Federal Reserves 25bps hike in late session.
  • The Feds further reiterated that future hikes will depends on the inflation data indicating a less aggressive stance.
  • The DJI Average added 7 points while the Nasdaq jumped by 232 points as the US 10-year yield eased to below 3.42%.
  • Meanwhile, Hong Kong equities rebounded buoyed by tech stocks as traders are betting on the Feds less aggressive rate hike pushing the HSI 230 points higher to close above the 22,000 level.
  • On the local front, the FBM KLCI experienced strong broad-based sell-down on Monday as it ended below the 1,490 mark.
  • Nonetheless, we reckon bargain hunting activities should return thus expect the index to trend between the 1,490-1,500 range today with the tech sector to see a strong recovery.
  • Meanwhile, crude oil prices weakened on higher inventory data as the Brent crude declined to US$83/barrel.
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Daily Market Report (31 January 2023)
  • Wall Street closed broadly lower as sentiment turned cautious ahead of the Federal Reserves meeting today and tomorrow with many expecting another rate hike.
  • The DJI Average declined by 261 points while the Nasdaq lost 228 points as the US 10-year yield edged higher to almost 3.54%.
  • In Hong Kong, the equity market took a breather as the HSI tumbled by 619 points due to some profit taking activities after a strong run-up so far this year.
  • Nonetheless, we reckon market undertone remains solid as China was further upgraded by Goldman Sachs.
  • Back home, the FBM KLCI closed on a positive note to almost the 1,500 level from late broad based buying.
  • Trading on the local bourse has been lackluster amongst the blue chips as the benchmark index was stuck within a 5-point range over the past 2 weeks.
  • Therefore, we reckon trading pattern should remain the same today with the index to trend between the 1,495-1,505.
  • With Budget 2023 slated to be tabled on 24th February, we believe buying interests returning to Construction stocks as we see many projects to be rolled-out to revive the nation’s economy.
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Daily Market Report (30 January 2023)
  • Wall Street closed on a positive note supported by strong corporate earnings guidance and better than expected economic growth.
  • The DJI Average gained 29 points while the Nasdaq jumped by 109 points as the US 10-year yield maintained at 3.51%.
  • Meanwhile the bulls continue rages on in Hong Kong as the HSI added 122 points to end at a 11-month high buoyed by high expectations of China’s recovery.
  • YTD the HSI has experienced a 14.7% rally, the best start since 1984. However back home, the local bourse remains stuck in a consolidation mode as the FBM KLCI again closed marginally lower.
  • Nonetheless, we noticed funds are shifting into the smaller caps on improving daily volume.
  • Meanwhile, we maintain our stance that the index to hover within the 1,495-1,505 range today with focus on the Plantation stocks as the CPO futures rebounded past RM3,900/tonne on weaker output.
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Daily Market Report (27 January 2023)
  • Wall Street closed broadly higher as sentiment improved following a lower unemployment claims amid a better than expected GDP growth for the 4Q2022 giving hopes that the US economy will see a soft landing.
  • The DJI Average gained 205 points while the Nasdaq jumped by 199 points as the US 10-year yield edged higher to 3.51%.
  • Meanwhile, the Hong Kong market welcome the year of the Rabbit with a bang as the HSI added 522 points to above the 22,500 level or near a 11-month high.
  • At home, the FBM KLCI maintained its lackluster performance as it closed marginally lower despite some late buying activities on Utilities stocks.
  • As many are expecting intertest rates hikes reaching a plateau, we reckon focus on the equity market to improve going forward hence expect the index to trend within the 1,495-1,505 range today.
  • Banks and Consumer Products stocks should garner some buying interests after a dismal showing over the last few days.
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Daily Market Report (26 January 2023)
  • Wall Street closed mixed but off the day’s low as sentiment remained non-committal as traders continue to be watchful on the interest rate hikes and recessionary effects on corporate earnings.
  • As such, the DJI Average ended 10 points higher while the Nasdaq lost 21 points with the US 10-year yield was marginally lower at 3.44%.
  • The Hong Kong market will resume trading today and as we enter into the year of the water Rabbit, many feng sui masters are cautiously optimistic on the Hang Seng Index as they predict market volatility to remain.
  • Back home, trading on the local bourse had been lackluster but some late buying activities saw the FBM KLCI to close flat.
  • For today, we reckon trading activities to be similar as market players are still on a holiday mood.
  • Therefore we reckon the index to possibly trend between 1,495-1,505 range today with buying interests on the Telcos and selective Tech stocks as fears of high interest rates are abating.
  • Meanwhile the Ringgit continues to strengthen against the greenback currently hovering at MYR4.26/US$1.
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