Market Reports

Daily Market Report (11 June 2024)
Daily Market Report (11 June 2024)
  • Wall Street ended in positive territory with both the Nasdaq and S&P recording new highs ahead of the Federal Reserve’s stance on interest rates this Wednesday.
  • Consensus views that the Feds will keep rates steady following a strong job data last Friday.
  • As such, the DJIA gained 69 points where the Nasdaq added 59 points as the US 10-year yield edged higher at 4.471%.
  • The Hong Kong market was closed yesterday for Dragon Boat festival and will resume trading today.
  • On the home front, the FBM KLCI closed lower after struggling to maintain its uptrend amid a mixed regional performance.
  • Nonetheless, we noticed that daily volume remains decent at around the 6bn shares threshold and should improve over time when the buyers return to the smaller cap companies.
  • For today, we expect the index to hover between the 1,610-1,620 range and the emergence of bargain hunting activities in the event if the index test the 1,610 mark.
  • Meanwhile, the Brent crude price closed in of US$82/barrel on improving demand.
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Daily Market Report (10 June 2024)
Daily Market Report (10 June 2024)
  • Wall Street closed lower as sentiment was affected by the better than expected US job data in May translating to more uncertainties on the Federal Reserve’s stance on intertest rates.
  • As a result, the DJIA lost 87 points while the Nasdaq declined by 40 points as the US 10-year yield climbed to 4.434%.
  • Over in Hong Kong, the HSI slid by 100 points following China’s slower import data underscoring the weak domestic demand.
  • This is despite exports rising by 7.6% in May from 1.5% in April.
  • Back home, the FBM KLCI maintained its upward momentum as bargain hunters returned.
  • Though the benchmark index failed to stay above the 1,620 level, we deem last week’s performance as decent.
  • Post-results for the 2Q24 period, we noticed that many research houses had upgraded their respective 2024 target for the index thus indicating that the market still has the legs to trend higher.
  • For today, we believe the index to hover between the 1,615-1,625 range.
  • Recent move by the European Central Bank to cut interest rate is also a positive indicator that global central banks are beginning to detach themselves from the Federal Reserve.
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Daily Market Report (7 June 2024)
Daily Market Report (7 June 2024)
  • Wall Street pared gains and ended mixed as investors are cautious ahead of the US payrolls data.
  • As a result, the Dow finished 0.20% higher, ending above the 38,886.17 mark, while the tech-heavy Nasdaq saw heavy profit takings, losing 0.09%.
  • Stocks in Hong Kong finished higher, buoyed by positive economic recovery indicators from China.
  • The HSI climbed 0.3%, closing at 18,476.8.
  • As for the local bourse, the FBM KLCI ended on a positive note, driven by robust buying in the utilities sector.
  • Given the improving market sentiment and support from foreign buyers, nonetheless investors shall be wary of the increasing global volatility.
  • We forecast the FBM KLCI to move within the 1,615-1,630 range today.
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Daily Market Report (6 June 2024)
Daily Market Report (6 June 2024)
  • Wall Street closed higher with strong buying in tech stocks, led by Nvidia and Apple.
  • This was bolstered by economic data suggesting that the US labour market is continuing to cool, boosting investor hopes that the Fed could cut interest rates later this year.
  • As a result, the Dow finished 0.25% higher, ending above the 38,800 mark, while the tech-heavy Nasdaq jumped almost 2%, closing in on the strong resistance level of 17,188.
  • In Asia, key indices finished mostly lower due to profit-taking in some bourses.
  • Over in Hong Kong, the HSI ended flat following mixed economic data from China.
  • On the domestic front, the FBM KLCI closed lower with heavy profit-taking in banking stocks.
  • We believe the outlook for local equities remains positive, supported by strong corporate earnings.
  • Hence, we anticipate the FBM KLCI to trend within the range of 1,600-1,615 today.
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Daily Market Report (5 June 2024)
Daily Market Report (5 June 2024)
  • Wall Street closed positively amid a muted session as traders are waiting for May’s payrolls data tomorrow which if weak may induce the Federal Reserve to lower interest rates.
  • As such, the DJIA gained 140 points while the Nasdaq added 28 points as the US 10-year yield eased to 4.33%.
  • Over in Hong Kong, the HSI rose marginally driven by interests in property stocks following the recent easing in purchase restrictions coupled with hopes for the Federal Reserve to lower rates as the US economy cools down.
  • Back home, the FBM KLCI sprinted past the 1,610 mark as we deemed the selling on the local bourse has been overdone last week.
  • We believe the buying to be foreign induced thus expect this to continue enabling the benchmark index to break out from its recent consolidation.
  • Therefore, we believe the index to hover between the 1,620-1,630 range today.
  • Meanwhile, it will be interesting to note if the ECB will reduce interest rates later today.
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