Daily Market Reports Issued By Rakuten Trade Research : Page 16

It was another record breaking day on Wall Street as all 3 major indices ended at new highs after both the US and China reached a preliminary framework deal that would clinch a trade agreement between Trump and Xi Jinping over the next few days.
Meanwhile, the 10-year yield eased to 3.987%.
Over in Hong Kong, the HSI maintained its climb as it closed in on the 26,500 mark underscored by positive developments in Kuala Lumpur, raising hopes for further stabilization ahead.
Back home, the FBM KLCI ended positively but failed to stay above the 1,620 level.
It is interesting to note that there were net foreign inflows over the past two trading days possibly taking advantage of the strengthening MYR against the US$ ahead of the Federal Reserve’s imminent rate cut.
As such, we expect the index to trend between the1,615-1,630 range today.

It was another record breaking session on Wall Street as a cooling US inflation data spurred optimism that the Federal Reserve is staying on course to cut rates going forward.
As a result, all 3 major indices managed to touch record highs though the US 10-year yield remains elevated at 4.003%.
Over in Hong Kong, the HSI surged past the 26,000 thresholds boosted by China’s major economic targets over the next 5 years to step up tech self-reliance and improve the domestic market.
Back home, the FBM KLCI ended on a positive note amid a lacklustre session.
Daily trading volume has shrunk as retail participation may have been spooked by recent share price decline in Perak Transit.
Nonetheless, we remain hopeful that positive developments will emerge from the ongoing ASEAN meeting hence expect the index to hover within the 1,610-1,620 range today.

Wall Street ended higher as sentiment turned buoyant following statement that Trump will meet up with Xi Jinping next Thursday in addition to a solid earnings reporting season so far.
Meanwhile, the US 10-year yield inched higher at 4.005% ahead of inflation data due later today.
Over in Hong Kong, the HSI rebounded to almost the 26,000 level as sentiment was buoyed by Trump’s highly anticipated meeting with Xi Jinping in South Korea.
On the home front, the FBM KLCI ended positively, attributed to late buying activities.
We believe market undertone received a boost after China confirmed that a meeting has been a scheduled with the US in Malaysia.
We believe sentiment should be bolstered from such upbeat developments, hence expect the index to react positively and hover at between the 1,610-1,620 range today.

Wall Street closed broadly lower on concerns over the trade tension between the US and China coupled with the ongoing government shutdown.
In addition, disappointing earnings from Netflix and Texas Instrument further exacerbated the market’s downtrend while Tesla’s below expectation earnings saw share price lower after hours.
Meanwhile, the US 10-year yield was flat at 3,953%.
As for Hong Kong, the HSI declined to below the 25,800 level as sentiment was undermined by Trump’s mixed signals that his highly anticipated meeting with Xi may not happened.
Back home, the FBM KLCI slid to almost the 1,600 mark as market undertone was impacted by the regional sell-down.
Judging by the decline, we suspect foreign funds as the persistent sellers.
Nonetheless, we believe bargain hunting activities should emerge thus expect the index to recover at between the 1,600-1,610 range today.

Wall Street ended mixed as the DJIA touched a record high spearheaded by solid earnings from multinationals namely Coca-Cola and 3M.
Overall mood was also buoyed by the higher guidance from General Motors after its earnings topped estimates.
Meanwhile, the US 10-year yield dipped marginally to 3.963%.
Over in Hong Kong, the HSI closed above the 26,000 level but off the day’s high as caution subsequently crept in.
However, overall sentiment remains positive underpinned by expectations of easing tension between China and the US when both superpowers meet over the next few days.
On the home front, the FBM KLCI expectedly rebounded to above the 1,615 mark attributed to bargain hunting activities.
We believe local institutions remained as the main buyers amid an improving domestic economy.
As such, we anticipate the index to trend within the 1,615-1,625 range today.

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