Market Pulse - Still On Uneven Footing

The FBM KLCI reversed last week’s gains as the key index succumbed to broadbased selling prior to the BNM’s interest rate decision during the Monetary Policy Committee (MPC) meeting; we believe traders may focus on banking stocks for the near term. Given the lacklustre trading and the increase in continuation of net foreign selling, we opine that the local bourse may see selling pressure interspersed with bargain hunting activities in undervalued stocks.