Daily Market Report (28 August 2024)
- Wall Street barely closed positively amid a choppy session as traders are waiting for Nvidia’s earnings to be released later today.
- As a result, the DJIA was up a mere 10 points while the Nasdaq added 29 points with the US 10-year yield ending at a flattish 3.829%.
- In Hong Kong, the HSI managed to eke out a 76 point gain spurred by travel-related and EV stocks erasing the sharp decline in tech stocks namely Alibaba and Meituan amid the sharp sell-down on Temu’s parent company PDD Holdings.
- On the home front, the FBM KLCI surged past the 1,650 mark on the back of continuous inflows of foreign funds that surged by RM1.4bn over the last 7 days.
- We believe accumulation of blue chips to persist although sentiment of the broader market may be somewhat lacklustre due to the lack of retail participation.
- We reckon the recent influx of IPOs which topped RM2bn raised for the 1H2024 may be one of the main reasons for the low interest in small caps.
- Therefore, we expect the index to oscillate between the 1,645-1,655 range today as we enter into the fervor of earnings season for the 3Q2024.
