Daily Market Report (2 May 2024)
- Wall Street closed with mixed results following the Federal Reserve's decision to maintain its key interest rate, as anticipated.
- The Fed suggested that while a rate cut might be the next step, sustained progress on inflation remains uncertain.
- The Dow rose 87 points (0.20%) to end just below the 38,000 mark.
- However, stocks associated with artificial intelligence faced difficulties, as some of the top AI companies reported disappointing earnings, sending the Nasdaq 52 points lower to settle at 15,605.
- Meanwhile, trading was muted in the region as several bourses were closed for a public holiday.
- On the domestic front, the FBM KLCI closed lower after on Tuesday due to profit taking activities.
- While there was a pullback subsequent to the rally, we perceived this correction as a healthy consolidation essential for sustaining the upward trend.
- As such we anticipate the FBM KLCI to trend within the range of 1,570-1,580 for today.
