Market Pulse - Resumption Of Rebound

The FBM KLCI managed to rebound and recouped its losses from the past week, riding high on upbeat performances from the regional markets and Wall Street overnight. With foreign investors turning net buyers (5-day net foreign fund inflow: RM53.7m), traders may expect a mild extension of the rebound on the severely oversold local equities market. Nevertheless, gains might be capped by challenging business operating environment on the back of heightened inflation pressure.