Daily Market Report (29 August 2024)
- Wall Street closed lower as traders are bracing for the results from Nvidia.
- As such, the DJIA declined 159 points while the Nasdaq lost 199 points as the US 10-year yield was flat at 3.839%.
- Nonetheless, despite Nvidia’s earnings beating street’s estimates aftermarket, the stock’s futures price was down by almost 7% at time of writing as many were disappointed by the company’s forecast coupled by the over expectations from traders.
- Over in Hong Kong, the HSI declined ahead of Nvidia’s results amidst the sustainability of the AI-driven rally.
- However, the market’s weakness was limited by share buy-back from JD.com and Anta.
- Back home, the FBM KLCI maintained its uptrend to close above the 1,670 mark, a level last seen in 2019.
- Despite the impressive performance by the blue chips, we noticed sentiment towards the mid and small caps remained uninspiring as most ended lower.
- Although daily volume traded improved, it was insufficient to prop up the broader market.
- Despite the 40 points jump in the benchmark index since last Friday, we continue to stay positive and believe that liquidity will eventually cascade down to the broader market.
- For today, we expect the index to hover within the 1,670-1,680 range.
