The FBM KLCI slipped into the negative territory on the back of final hour sell down in the absence of fresh catalysts. Given the foreign funds offloaded some of the equities earlier this week, we expect the local bourse to trade in a negative biased tone for today. Furthermore, the negative performance on Wall Street overnight could expedite the profit taking activities on the local front.

The FBM KLCI ended flat on the back of mixed sentiment across regional markets. Sentiment however, turned positive in the US despite the accelerated inflation as investors focused on the upcoming earnings season. On the local bourse, we believe the elevated crude oil and CPO prices will continue to bode well for the energy and plantation counters, while the increasing demand for traveling following the reopening of travel borders will support the economic recovery going forward.

The FBM KLCI skidded below 1,600 in tandem with the negative sentiment across the regional markets after Wall Street overnight’s movements and foreign investors turned net seller for the session. Given the higher-than-expected US CPI data, we expect volatility to persist and investors may focus on the accelerated inflation rate which may trigger a more hawkish tone from the Fed going forward on its monetary policies.

The FBM KLCI slumped alongside regional peers on the back of broad-based selling pressure. We expect investors to trade in a risk-off mood following the negative sentiment on Wall Street, especially the selldown in technology stocks triggered by rising bond yields ahead of the US inflation data may spillover on our local technology stocks. Nevertheless, the daily Covid-19 cases dropped below 10,000 in Malaysia should support economic recovery, thereby benefiting the recovery-themed.

The FBM KLCI wrapped up the week above the key 1,600 level, building up a positive sentiment on the local bourse as Malaysia could be viewed as a defensive market under this uncertain environment. In view of the mixed performances on Wall Street overnight, we believe investors should favour stocks under the recovery-theme, while avoiding the technology sector. Meanwhile, several economic releases for this week include the US inflation rate and the European Central Bank interest rate decision which will be released on 12th and 14th April 2022 respectively.

The FBM KLCI shed gains in tandem with regional peers after the US Federal Reserve meeting minutes put investors’ focus on the possibility of more aggressive US interest rate hikes. Still, we expect the local bourse to trade in a consolidation mode as investors mulled over the US hawkish stance as well as the Russia sanction. Nevertheless, we believe the downside risk may be cushioned by the recovery in business activities.

The FBM KLCI bucked the regional downtrend as bargain hunting activities in selected plantation, energy, and banking stocks lifted the key index. Given the negative performance on the Wall Street, we expect some profit taking activities may emerge on the local front, especially on the technology stocks. Also, the crude oil price dipped, trading around the USD101 per barrel mark after the members of International Energy Agency (IEA) agreed to release oil from their emergency reserves.

The FBM KLCI saw another session of pullback amid further profit taking in banking and telecommunication heavyweights. Meanwhile, global sentiment may stay fragile amid concerns over more hawkish stance of the US Federal Reserve’s action to tame inflation. Also, we expect the unresolved tension between Russia and Ukraine could limit the upside potential over the near term. Nevertheless, we expect the reopening of travel borders may continue to benefit the economy, while investors could position themselves ahead of the GE15 (albeit the timeline is still uncertain).