Daily Market Report (20 May 2024)
- Wall Street closed on a mixed note amid a perceived strong US economic growth and decelerating inflation.
- As a result, the DJIA ended on a record high above the 40,000 mark while the Nasdaq lost 12 points as the US 10-year yield edged higher at 4.422%.
- In Hong Kong, the HSI ended on another YTD high and closing in on the magical 20,000 anytime soon, propel by solid corporate earnings and accommodative policies from China.
- Back home, the FBM KLCI maintained above the crucial 1,600 level despite some intermittent consolidations along the way.
- We see such performance as highly promising, especially daily volume is also on the rise.
- Though prevailing interests may be on the big-caps, we believe the liquidity will eventually cascade down to the smaller-caps thus we see prevailing conditions as a perfect mixture for a meaningful “Bull-Run” for the local bourse.
- For today, we expect the index to hover between the 1,615-1,625 range.
- Meanwhile, it is worthwhile to note that our MYR is quietly climbing against the greenback now hovering below the RM4.70 mark from RM4.80 last month.
