Market Pulse - Uncertainty Persists

The FBM KLCI skidded below the key 1,600 level as selling pressure dominated the local bourse amid bearish regional sentiment driven by concerns over China’s Covid-19 situation and anticipation on more hawkish interest rate hikes tone in the US by the Feds. While bargain hunting activities may emerge following yesterday’s decline, we expect investors’ sentiment to remain wary and upside on the FBM KLCI could be limited around 1,600 for now. Still, we are optimistic on the recoverythemed sectors on the back of declining Covid-19 daily confirmed cases.