Market Reports

Wall Street closed higher despite conflicting messages from both the US and Iran.

Nonetheless, Trump remains adamant that the war will end in 2 to 3 weeks’ time.

Meanwhile, the Brent crude eased to around USD101/barrel with the US 10-year yield inched higher to 4.323%. Boosted by the positive developments in the middle east along with Trump’s soothing statement that the ongoing tension will evaporate within the next 2 to 3 weeks.

Asian markets ended the day mostly in positive territory. In Hong Kong, the HSI jumped to almost the 25,300 mark supported by broad based buying.

Whilst the FBM KLCI closed at almost the 1,710 level attributed to the emergence bargain hunting following a dismal performance the day before.

Locally, we still noticed some apprehension despite the positive performance nonetheless expect a continuation of buying activities thus expect the index to trend between 1,705-1,720 range today.

Meanwhile, the CPO ended at a YTD high hovering at around the RM4,800/MT.

Wall Street staged a relief rally as confidence was given a great boost that the war in the middle east will come to an end soon. Unconfirmed reports said the Iran President is open to end the tension soon with guarantees of which Trump is agreeable with it.

Meanwhile, the US 10-year yield eased to 4.131% whereby the Brent crude declined to below the USD105/barrel from its day high of USD110/barrel.

Over in Hong Kong, despite the slight gain in the HSI, overall trading was tepid as sentiment remains affected by the escalating tension in the middle east coupled with the ascending crude oil price.

Back home, the FBM KLCI managed to close above water attributed to last minute buying activities. Though we reckon market undertone to stay cautious overshadowed by Trump’s purported “war-ending” policies of which the world is still waiting.

The latest developments between the US and Iran may give global markets a solid push thus expect the benchmark index to hover within the 1,700-1730 range today.