Market Reports

Wall Street ended on a mixed note as investors locked in gains in technology, industrial and basic materials stocks following their recent rally.

Regional sentiment turned weaker, with the Hang Seng Index declining sharply due to persistent weakness in Chinese equities and subdued investor confidence.

The FBM KLCI also extended its losses as market participants stayed on the sidelines amid the absence of strong near-term catalysts.

Concerns over the sustainability of the US-Iran peace deal and renewed selling in US technology stocks weighed on sentiment across Asia, leading to profit-taking in AI and semiconductor-related counters.

Despite the cautious mood, attractive valuations among selected blue-chip stocks may provide support to the local market.

We expect the FBM KLCI to fluctuate within the 1,675–1,690 range today.

Both the US and Hong Kong markets were closed for public holiday last Friday.

Nonetheless, the delay in the US-Iran accord and Israel latest strikes on Lebanon has casted uncertainty surrounding the peace talk. As a result, the Brent crude trended to above the USD80/barrel.

On the home front, the FBM KLCI closed flat again but off the day’s low at 1,700 level, indicating that bargain hunters are still around with focus predominantly on blue chip stocks. It was a muted trading session with daily volume stuck at the 3.4bn shares mark.