Market Pulse - Easing Anxiety

The FBM KLCI extended its decline as the key index was dragged by selling pressure in the banking and industrial products heavyweights. Nevertheless, we believe the overnight rallies on Wall Street, coupled with the China’s stimulus plan should entice buyers to scoop up some shares within the beaten-down stocks at this current juncture. Still, long-term sentiment should remain cautious on the back of heightened inflationary pressure.