Market Reports

Daily Market Report (17 May 2024)
Daily Market Report (17 May 2024)
  • Wall Street ended lower despite the DJIA briefly touching the magical 40,000 mark as profit taking activities emerged following the recent uptrend of US stocks.
  • The DJIA lost 39 points while the Nasdaq declined by 44 points as the US 10-year yield edged marginally higher at 4.377%.
  • Over in Hong Kong, the HSI jumped in excess of 300 points edging closer to the 20,000 level on optimism over recent easing policy on China’s property sector coupled with bets that the Federal Reserve will cut rates this year.
  • Sentiment was further buoyed by speculation the tax on dividend may be abolished for Hong Kong stocks.
  • The HSI has gained almost 20% over the past month.
  • Back home, the FBMKLCI maintained its climb to close at a YTD high and we believe there is still more room for upside.
  • We also noticed that daily volume has been improving and this is a positive sign for the smaller caps which have yet to excel in a broader sense.
  • For today, we expect the index to hover between the 1,605-1,620 range underpinned by higher liquidity.
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Daily Market Report (16 May 2024)
Daily Market Report (16 May 2024)
  • Wall Street closed on record highs spurred by lower than expected consumer price index (CPI) and retail sales for April thus re-igniting hopes that the Federal Reserve will cut rates in the near future.
  • As a result, the DJIA gained 350 points while the Nasdaq added 231 points as the US 10-year yield eased to 4.344%.
  • In Hong Kong, the HSI closed lower after a strong opening following the US imposition of more tariffs on Chinese goods amid the escalating tension between the 2 superpowers.
  • Back home, the FBM KLCI ended in negative territory as sellers emerged ahead of the economic data from the US.
  • Nonetheless, we expect an uptick in the index emanating from Wall Street’s strong closing overnight hence anticipate the index to hover between the 1,605-1,615 range today.
  • Trading on rubber glove stocks took the limelight yesterday buoyed by the US tariff imposition on Chinese goods which will only take effect in 2 years.
  • Therefore, we see yesterday’s euphoria as only a knee jerk reaction and advocate investors to be vigilant.
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Daily Market Report (15 May 2024)
Daily Market Report (15 May 2024)
  • Wall Street closed on a positive note despite the higher than expected April’s producer price index data as traders prefer to focus on the upcoming CPI due out later today.
  • As Over in Hong Kong, the HSI such, the DJIA added 127 points while the Nasdaq jumped by 123 points as the US 10-year yield eased to 4.445%.
  • Over in Hong Kong, the HSI ended marginally lower as the index took a breather after a month-long rally that saw the index gaining more than 2,800 points or 17.6%.
  • Meanwhile, traders are also looking out for earnings from both Alibaba and Tencent today.
  • On the home front, the FBM KLCI maintained its tenacity at stay above the 1,600 mark underpinned by persistent accumulation of blue chips.
  • For today, we believe trading participation to be similar as yesterday while waiting for the crucial CPI data from the US.
  • Therefore, we expect the index to hover between the 1,600-1,610 range again.
  • Meanwhile, crude oil prices have hit a soft patch with the Brent crude now trending at USD82/barrel attributed to build up in US inventory.
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Daily Market Report (14 May 2024)
Daily Market Report (14 May 2024)
  • Wall Street ended on a mixed note as traders remain wary from a host of economic indicators which are due out namely the producer price index by today and the consumer price index tomorrow.
  • As a result, the DJIA lost 81 points while the Nasdaq rebounded by 47 points with the US 10-year yield remaining stagnant at 4.49%.
  • Over in Hong Kong, the HSI breached the 19,000 level to a 9-month high as optimism on loosening restrictions on the property sector and improving corporate earnings.
  • Meanwhile, the latest weak credit data from China also prompted hopes of a possible cut in lending rates.
  • Back home, the FBM KLCI closed slightly higher amid on a cautious note in line with regional performance while waiting for the US economic data.
  • Nonetheless, we believe the market undertone to stay solid as accumulation of stocks continues thus expect the index to hover between the 1,600-1,610 range today.
  • We also noticed that earnings reported so far have been encouraging and should act as a prelude for more strong earnings ahead.
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Daily Market Report (13 May 2024)
Daily Market Report (13 May 2024)
  • Wall Street closed on a mixed note as investors remained torn between weakening economic data and inflationary pressure.
  • Nonetheless, sentiment was buoyed by the Federal Reserve stance that there will be no rate hike for now.
  • Nonetheless, all eyes will be on April CPI to be out May 15.
  • As a result, the DJI Average rose 125 points while the Nasdaq lost 5 points as the US 10-year yield edged higher at 4.50%.
  • In Hong Kong, the HSI surged to almost the 19,000 mark or a YTD high aided by renew optimism of the recovering Chinese economy and that Xian became the 2nd city to scrap property purchase restrictions after Hangzhou.
  • Sentiment was further boosted from talks that dividend tax may be scrapped on Hong Kong listed shares.
  • Back home, the FBM KLCI remains in consolidation mode as the index ended flat at just above the 1,600 level.
  • We believe buyers should return after recent bouts of correction thus expect the index to hover between the 1,600-1,610 with a strong upside bias today.
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