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Wednesday, August 23, 2017

Market Daily Report: KLCI down 1.28 pts as AMMB, RHB take centre stage




KUALA LUMPUR (Aug 23): The FBM KLCI fell 1.28 points or 0.1% as index-linked AMMB Holdings Bhd and RHB Bank Bhd took centre stage in Malaysian share trades.

Financial services entities AMMB and RHB were in the spotlight after both banks called off their proposed merger. At 5pm, the KLCI closed at 1,772.94 points as investors took profit from AMMB shares' intraday gains.

At 5pm, AMMB shares fell 11 sen to close at RM4.59 after rising to its intraday high at RM4.89. RHB shares rose 19 sen to close at RM5.07 to become Bursa Malaysia's fifth-largest gainer.

Across Bursa Malaysia, two billion shares were traded for RM1.97 billion. A total of 419 counters declined compared to 384 gainers.

Among the KLCI's 30 constituents, AMMB was the top decliner while RHB was the top gainer.
"Without the merger, we are back to eight anchor banking groups with RHB ranking fourth by total assets and AMMB, sixth. We believe both banks will shift their focus back on their strategic plans which have been outlined for the year/financial year," AllianceDBS Research Sdn Bhd wrote in a note today.

Besides AMMB, the KLCI also fell on losses in other banking stocks like CIMB Group Holdings Bhd and Hong Leong Financial Group Bhd.

Areca Capital Sdn Bhd CEO Danny Wong told theedgemarkets.com that although a number of banking counters declined, the impact was not "significant enough to cause a large wave in the market".


Source: The Edge

Tuesday, August 22, 2017

Market Daily Report: FBM KLCI higher on bargain hunting, earnings cue





KUALA LUMPUR (Aug 22): The FBM KLCI closed 2.6 points or 0.1% higher on bargain hunting and as the market reacted to Malaysia's ongoing corporate financial-reporting season.

At 5pm, the KLCI settled at 1,774.22 points. Investors bargain hunted for local shares after the index fell 4.6 points to 1,771.62 points yesterday.

Today, Inter-Pacific Securities Sdn Bhd research head Pong Teng Siew told theedgemarkets.com : “Overall market sentiment is still mixed, but the [KLCI] likely recouped its losses from yesterday due to its reaction to the earnings season.”

Malaysia's April-June quarter corporate financial-reporting season starts in July, although most companies report their earnings in August.

Today, Bursa Malaysia saw 392 gainers compared with 364 decliners. A total of 1.77 billion shares valued at RM1.89 billion were traded.

Top gainer was KESM Industries Bhd while Mlabs Systems Bhd was the top-active counter. Pong said penny stocks' performance was a good barometer for retail investors' sentiment.

Across Asian share markets, Japan’s Nikkei 225 fell 0.05% while Hong Kong’s Hang Seng rose 0.91%. South Korea's Kospi added 0.44%.

Reuters reported that Asian shares rose on Tuesday after modest gains on Wall Street, while robust metals prices underpinned some regional markets even as investors remained wary ahead of the annual central banking conference in Jackson Hole later this week.


Source: The Edge

Monday, August 21, 2017

Market Daily Report: FBM KLCI down with Westports as Trump talk spooks investors



KUALA LUMPUR (Aug 21): The FBM KLCI dipped 4.6 points or 0.3% to close at its intraday low
on late selling of Westports Holdings Bhd shares and as investors remained concerned about President Donald Trump's ability to push through his growth-focused economic agenda.

At 5pm, the KLCI closed at 1,771.62 points. KLCI-linked Westports shares fell 13 sen to RM3.62 to become Bursa Malaysia's fifth-largest decliner.

“It’s clear that the better than expected growth in (Malaysia's) gross domestic product (GDP announced) last Friday is not really helping as (share) trade is mostly cautious,” TA Securities Holdings Bhd technical analyst Stephen Soo said.

Soo said worries that Trump would fail to push through his growth-focused economic agenda had overridden Malaysia's economic growth figures.

Across Bursa Malaysia, decliners outpaced gainers at 418 to 366 respectively. A total of 1.68 billion shares were traded for RM1.78 billion.

Malaysian shares fell with Asian equities. Japan’s Nikkei 225 fell 0.4% while South Korea's Kospi was down 0.14%.

Reuters reported that Asian shares were fragile on Monday as investors remained unconvinced about Trump's ability to fulfill his economic agenda, even as the departure of his controversial policy strategist raised hopes of some progress.

It was reported that investors were also wary of any flare-up of tensions between North Korea and the US as US troops and South Korean forces started a joint exercise on Monday.

Source: The Edge

Sunday, August 20, 2017

M+ Online Market Wrap - 18Aug17

FBM KLCI: 1,776.22 pts (-0.09pts, -0.01%)
The FBM KLCI (-0.01%) ended marginally lower after key index recouped most of its intraday losses amid the stronger-than-expected 2Q2017 GDP data that grew 5.8% Y.o.Y. Market breadth was negative with 357 winners compared to 472 losers, while 374 stocks closed flattish. Construction stocks like Econpile (+11.0 sen), Crest Builder (+8.0 sen) and Sunway Construction (+3.0 sen) continue to outperform its peers.

Top 3 Active stocks:
UMWOG (5243): RM0.33 (+2.0 sen)
MTOUCHE (0092): RM0.275 (-2.5 sen)
JAG (0024): RM0.145 (unch)

Volume: 1.45 bln (100-day avg vol: 2.54 bln)
Value: RM1.58 bln
Market Breadth: ⬆️:357 ⬇️:472
Crude palm oil: RM2,679 (+RM21)
Dow Futures: 21,711 pts (-22 pts)

Source: Bloomberg, M+ Online


Friday, August 18, 2017

Market Daily Report: FBM KLCI down on Trump sentiment



KUALA LUMPUR (Aug 18): The FBM KLCI cut losses to close 0.09 point lower at 1,776.22 points after the market gave a last minute push to index-linked Petronas Gas Bhd and Westports Holdings Bhd shares.

The KLCI had earlier dropped to its intraday low at 1,770.04 points on weak global sentiment following substantial overnight US share losses.

Reuters reported that US stocks sold off on Thursday, with the S&P 500 recording its biggest daily percentage drop in three months as escalating worries about US President Donald Trump's administration's ability to push through its economic agenda rattled investors.

The Dow Jones Industrial Average ended down 274.14 points, or 1.24 percent, to 21,750.73, the S&P 500 lost 38.1 points, or 1.54 percent, to 2,430.01 and the Nasdaq Composite dropped 123.20 points, or 1.94 percent, to 6,221.91.

Today, Malaysian shares fell with Asian equities on the Trump sentiment. Japan's Nikkei 225 fell 1.18% while Hong Kong's Hang Seng declined 1.08%

In Malaysia, TA Securities Holdings Bhd technical analyst Stephen Soo told theedgemarkets.com that the KLCI's recovery in the previous trading sessions had not been sustainable as it was not matched by positive momentum in the wider market.

“The local market would need a stronger catalyst than the release of (Malaysia's) 2Q GDP (gross domestic product) results, failing which I still see the index trading between 1,765 and 1,782 points,” Soo said.

Malaysia's GDP grew 5.8% in 2017's second quarter from a year earlier, on domestic demand and export growth, Bank Negara Malaysia said today.

Across Bursa Malaysia at 5pm, 1.45 billion shares worth RM1.58 billion were traded. Decliners outpaced gainers at 436 to 339 respectively.

Petronas Gas and Westports were Bursa Malaysia's fourth and fifth-largest gainers respectively. Petronas Gas added 14 sen to RM18.80 while Westports rose 13 sen to RM3.75. The most-active stock was UMW Oil and Gas Corp Bhd.


Source: The Edge

Thursday, August 17, 2017

Market Daily Report: KLCI up on positive sentiment ahead of Malaysia GDP numbers




KUALA LUMPUR (Aug 17): The FBM KLCI rose 2.56 points or 0.1% on positive market sentiment amid ebbing US-North Korea geopolitical tensions and as declining US interest rate hike expectation supported Asian markets.

At 5pm, the KLCI closed at 1,776.31 points after index-linked Hong Leong Financial Group Bhd (HLFG) shares posted sharp gains in the final trading minutes. HLFG rose eight sen to RM17.02.
Inter-Pacific Securities Sdn Bhd research head Pong Teng Siew said although the KLCI registered modest gains,"the positive local market sentiment showed signs of catching up with regional markets elsewhere in the region".

Across Bursa Malaysia, gainers outstripped decliners at 461 against 315 respectively. A total of 1.8 billion shares worth RM1.88 billion were traded.

Top gainers included Hengyuan Refining Co Bhd and Lotte Chemical Titan Holding Bhd.
Malaysian shares rose ahead of Bank Negara Malaysia's announcement tomorrow on the country's 2017 second quarter gross domestic product (GDP) figures.

In a note, Credit Suisse said its second quarter Malaysia GDP on-year growth estimate at 6% was above consensus estimate at 5.6%.

Today, slower US rate hike expectation boded well for Asian markets in anticipation of demand for higher-yielding regional assets.

Reuters reported that Asian stocks edged higher on Thursday as tensions between the United States and North Korea came off the boil, while the Federal Reserve's concerns about weak US inflation weighed on the dollar.

It was reported that minutes from the Fed's July meeting released on Wednesday showed the central bank grew more wary about recent weak inflation, with some policymakers wanting to halt interest rate hikes until it was clear the trend was temporary. Money market futures are now pricing in about a 40 percent chance the Fed will raise rates by December, compared to just under 50 percent before the Fed's minutes.


Source: The Edge

Wednesday, August 16, 2017

Market Daily Report: FBM KLCI up as planters top Bursa decliners



KUALA LUMPUR (Aug 16): The FBM KLCI rose 1.36 points or 0.1% as the geopolitical tension between the US and North Korea receded. The KLCI erased losses after falling with index-linked plantation shares.

At 5pm, the KLCI closed at 1,773.75 points after falling to its intraday low at 1,771.6 points.

“The market today is quite flat, no local catalysts in sight except for more corporate results coming in [within these two weeks]...also markets seem to have calmed down from the US and North Korea tensions earlier,” JF Apex Securities Bhd senior analyst Lee Cherng Wee told theedgemarkets.com.

Reuters reported that the dollar hoarded hefty gains on Wednesday after strong US retail sales revived the chance of another Federal Reserve rate hike this year, while Asia stocks inched ahead as tensions in the Korean peninsula went off the boil.

It was reported that North Korean leader Kim Jong Un has delayed a decision to fire missiles towards Guam while he waits to see what the United States does, as Washington said any dialogue was up to Kim.

At Bursa Malaysia, the KLCI fell earlier as investors sold plantation shares on news Malaysian crude palm oil (CPO) futures dropped more than 1% today. Malaysian CPO had tracked overnight soyoil losses on the Chicago Board of Trade as both commodities are substitutes to each other.

CPO's price drop had an apparent impact on Malaysian shares as plantation companies topped Bursa Malaysia decliners. United Plantations Bhd shares topped decliners followed by Genting Plantations Bhd warrants.

Across Bursa Malaysia, 1.72 billion shares valued at RM1.8 billion were traded. Gainers outweighed decliners at 498 against 283 respectively.


Source: The Edge

Tuesday, August 15, 2017

Market Daily Report: FBM KLCI up with Lotte as US-North Korea tension ebbs




KUALA LUMPUR (Aug 15): The FBM KLCI rose 1.31 points or 0.1% after North Korea indicated it would postpone plans to launch a missile near US territory Guam. Asian shares gained after US equities rose overnight on the news.

At Bursa Malaysia, the KLCI closed at 1,772.39 points at 5pm after falling to its intraday low at 1,768.76 points. As US-North Korea geopolitical tension ebbs, analysts said investors in Malaysia had also noted Lotte Chemical Titan Holding Bhd share gains.

“Some heavyweight counters, particularly Lotte, had also lifted market sentiment,” Hong Leong Investment Bank Bhd retail research head Loui Low Ley Yee told theedgemarkets.com.

Lotte Chemical Titan shares rose 42 sen to close at RM5.12 to become Bursa Malaysia's third-largest gainer.

Across Bursa Malaysia, gainers outpaced decliners 480 to 306 respectively.

The bourse saw a volume of 1.8 billion shares valued at RM1.795 billion traded.

Across Asian share markets, Japan’s Nikkei 225 closed 1.1% higher while Hong Kong's Hang Seng erased gains to end 0.28% lower. South Korea's Kospi was closed for the Liberation Day holiday.

Reuters reported that Asian shares rose and the dollar rallied on Tuesday after North Korea's leader signalled that he would delay plans to fire a missile near Guam, easing tensions and prompting investors to move back into beaten-down riskier assets.

It was reported that US stocks recovered further on Monday from last week's selloff, with the S&P 500 posting its biggest one-day percentage gain since April as worries eased about a conflict between the United States and North Korea.


Source: The Edge

Monday, August 14, 2017

Market Daily Report: KLCI up on bargain hunting; Lotte rises




KUALA LUMPUR (Aug 14): The FBM KLCI rose 4.12 points or 0.2% on bargain hunting and as Asian shares climbed with US stock futures. Global shares gained today following US equities' advance last Friday.

At 5pm today, the KLCI closed at 1,771.08 points. Across Asia, Hong Kong's Hang Seng added 1.36% while South Korea's Kospi climbed 0.63%.

"The KLCI has rebounded after the decline in the past few days, led by technology stocks and industrial stocks. This has been partly due to the weakness of the ringgit, which is perceived to be positive for stocks in these sectors," Inter-Pacific Securities Sdn Bhd research head Pong Teng Siew told theedgemarkets.com

Last Friday, the KLCI fell 10.81 points to close at 1,766.96 points.

Reuters reported that the three major US stocks indexes ended higher on Friday, snapping three days of losses, as investors bet on slower US rate hikes, but gains were muted by increasingly aggressive exchanges between the United States and North Korea.

Today, Reuters reported that Asian stocks bounced on Monday after three straight losing sessions, tracking a firmer Wall Street, while the dollar was capped by tensions on the Korean peninsula and doubts that the Federal Reserve will hike interest rates again this year. US stock futures rose 0.3 percent, suggesting a higher open later in the day.

Across Bursa Malaysia, 1.53 billion shares worth RM1.7 billion were traded. There were 483 gainers and 290 decliners.

Lotte Chemical Titan Holding Bhd rose 34 sen to RM4.70 to become the third-largest gainer after JPMorgan Chase & Co and HSBC initiated coverage on the stock. Bloomberg reported that JPMorgan had a RM7 target price (TP) for Lotte Chemical Titan shares with an "overweight" call. It was reported that HSBC had a RM7.60 TP with a "buy" call for Lotte Chemical Titan.


Source: The Edge

Sunday, August 13, 2017

Why it makes sense to invest in RGB International?





Why it makes sense to invest in RGB International?

RGB International deserves to be in the watch list for our investment after it has shown a strong turnaround story in 2008.
In 2008, the government in Cambodia has ordered all slot machines at entertainment clubs to be removed, resulting in the reduced in profit margins. The regulatory requirement at that time require slot clubs to be located in approved hotels.
Under the current management, revenue has grown by more than two times in its financial results 2016 to RM253.5 million from RM118.2 million in 2011. The net profit for the Group has also recovered from its losses in 2011. Compared to 2012 when it first turned black, the net profit has grown by more than 300% to RM25.3 million from RM6.0 million.





TSM segment – the recurring income segment is key

I think what is important is how RGB has managed to tap into recurring income through its Technical Support and Management (TSM) segment, that helps with maintenance of the slot machines.
The revenue for the segment has grown by 48% to RM93.2 million in FY2016 from RM63.0 million in FY2011. Back in FY2011, the segmental 
results was in the red but has turn into black in FY2012. The profit margin has also grown from about 10.7% to about 29.9% in FY2016. In FY2014 and FY105, the profit margin was at about 27%. While the segment is not the largest revenue contributor to RGB International, it is not the largest contributor to the Group’s segmental results, consisting more than 50% of the Group’s total segment results.
Currently, the Group has exposure in different geographical areas including Malaysia, Macau, Philippines, Singapore Vietnam and Cambodia. There are also operations in Laos, Timor-Leste and Nepal.
Besides the TSM, the Group’s sales and marketing (SSM) segment is also doing. The first quarter of 2017 saw a decline in revenue for both the segments but RGB International has targeted a 20% growth in its revenue for FY2017. So far, the decline in revenue in the SSM is due to the delivery of the slot machines that have been slightly delayed.
It is worth noting that the management has shared plans to expand into South America and this should translate into higher revenue and bottom line for the SSM segment first, and then the TSM, albeit, it might only be seen in the financial results after FY2017, giving it a positive outlook for the future.





Friday, August 11, 2017

Market Daily Report: KLCI closes lower amid continued tensions between US and N.Korea




KUALA LUMPUR (Aug 11): The FBM KLCI closed 10.81 points or 0.62% lower, in line with regional peers, amid reports of continued tensions between North Korea and the US.
At 5.01pm, the KLCI was down at 1,766.96 points.

Across Asia, South Korea's Kospi was down 1.69% at 2,319.71 points and Hong Kong's Hang Seng fell 2.04% to 26,883.51 points.

Inter Pacific Securities research head Pong Teng Siew told theedgemarkets.com that the market has previously been ignoring the building tension between North Korea and the US, despite talks of a potential nuclear war.

"The market has finally woken up to the threat of a possible nuclear war, hence the drop in performance today, as it finally realises the weight of the tensions between [the two countries]," he said.

He added that speculation of the potential war has affected South Korea's Samsung Electronics, the world's largest semiconductor player, and that the situation has had knock-on effects on domestic tech stocks.

Today, Bursa Malaysia saw 1.64 billion shares worth RM1.89 billion traded, compared with 1.35 billion shares valued at RM1.5 billion traded at yesterday's close.

Decliners outpaced gainers at 718 versus 165. Week-on-week, the FBM KLCI has fallen 0.32% from its close of 1,771.9 points last Friday.

Among the top gainers were United Plantations Bhd and Bintulu Port Holdings Bhd. The decliners' list was led by Malaysian Pacific Industries Bhd, Ajinomoto (Malaysia) Bhd, and AEON Credit Service (M) Bhd.

Reuters reported Japanese stocks finished slightly lower after a choppy session on Thursday, as investors kept a wary watch on tension over North Korea ahead of Japan's long weekend.


Source: The Edge

Thursday, August 10, 2017

Market Daily Report: KLCI weighed down by Malaysia election cue, US-North Korea tension



KUALA LUMPUR (Aug 10): The FBM KLCI closed 0.17 point lower at 1,777.77 points as the US-North Korea geopolitical tension and speculation on Malaysia's 14th General Election's (GE14) timing turned investors cautious.

The cautious sentiment was apparent across Bursa Malaysia where decliners significantly outpaced gainers at 585 to 248 respectively. The bourse saw a volume of 1.35 billion shares valued at RM1.5 billion.

“Investors could also be waiting for the release of upcoming financial results before making decisions,” Hong Leong Investment Bank Bhd retail research head Loui Low said.

He said the trade volume across Bursa Malaysia at 1.35 billion shares today was "quite thin" as Malaysia's GE14 theme took centre stage in local markets. The nation held its GE13 on May 5, 2013.

Today, cautious sentiment was reflected across Asia as stocks fell on the US-North Korea geopolitical tension. Japan's Nikkei 225 dropped 0.05%, South Korea's Kospi fell 0.38% while Hong Kong’s Hang Seng was down 1.13%.

Reuters reported that Asian stocks turned lower on Thursday as investors fretted about the simmering tensions between the US and North Korea, sending Seoul shares skidding to two-month lows even as the previous day's rush into safe-haven assets appeared to slow.

Source: The Edge

Wednesday, August 9, 2017

Market Daily Report: FBM KLCI down on US-North Korea tension




KUALA LUMPUR (Aug 9): The FBM KLCI declined 3.71 points or 0.2% as the US-North Korea geopolitical tension rattled Asian share markets.

At 5pm, the KLCI closed at 1,777.94 points. Across Asia, Japan’s Nikkei 225 dropped 1.29%, South Korea's Kospi fell 1.1%, while Hong Kong’s Hang Seng declined 0.35%.

In Malaysia, Malacca Securities Sdn Bhd senior analyst Kenneth Leong told theedgemarkets.com: “Today’s weakness is mainly due to profit-taking, as well as the rising geopolitical tension recently seen between the US and North Korea, which in turn impacted investor sentiment, locally and regionally, today.”

Across Bursa Malaysia, 1.42 billion shares valued at RM1.74 billion exchanged hands. Decliners outpaced gainers at 414 against 315 respectively, as global investors followed news on the US-North Korea geopolitical tension.

Reuters reported Asian shares and U.S. stock futures slipped on Wednesday and investors sought havens such as U.S. Treasuries, gold and the yen, as tensions on the Korean peninsula escalated, with Pyongyang saying it is considering plans to attack Guam.

A spokesman for the Korean People's Army said in a statement that it was "carefully examining" plans for a missile attack on the U.S. Pacific territory, which has a large American military base. The comments came just hours after U.S. President Donald Trump told North Korea that any threat to the United States would be met with "fire and fury", rattling markets globally.


Source: The Edge

Tuesday, August 8, 2017

Market Daily Report: KLCI lifted by Maybank after falling on China trade data



KUALA LUMPUR (Aug 8): The FBM KLCI rose 3.74 points or 0.2% as gains in big capitalisation stocks like Malayan Banking Bhd (Maybank) supported the local share market.

At 5pm, the KLCI closed at 1,781.65 points. Maybank shares added 10 sen to RM9.80 to become Bursa Malaysia's sixth-largest gainer and 10th most-active stock.

“(On the KLCI) institutional investors are still buying in, despite the much lower volume this week. The fundamentals are still strong, investors are just avoiding overvalued counters at the moment,” an analyst told theedgemarkets.com.

The analyst said investors might be switching to safe havens from small and mid-capitalisation companies, as investors digested the news on 1Malaysia Development Bhd's financials.
Across Bursa Malaysia, 2.09 billion shares valued at RM2.26 billion changed hands. Decliners outpaced gainers at 541 against 280 respectively.

The KLCI erased losses after falling on news China's July export and import growth were below market forecast. Reuters reported that China's July exports rose 7.2 percent from a year earlier, while imports grew 11 percent, both well below analysts' forecasts, official data showed on Tuesday.

Analysts polled by Reuters had expected July shipments from the world's largest exporter to have risen 10.9 percent, easing slightly from 11.3 percent growth in June. Imports had been expected to have climbed 16.6 percent, after rising 17.2 percent in June.



Source: The Edge

Monday, August 7, 2017

Market Daily Report: FBM KLCI higher on Hong Leong Bank spike ahead of US job report



KUALA LUMPUR (Aug 4): The FBM KLCI rose 2.63 points or 0.1% mainly on  index-linked Hong Leong Bank Bhd and Public Bank Bhd shares' 11th-hour spike and as investors waited for the US employment report.

At 5pm, the KLCI closed at 1,774.53 points. Hong Leong Bank shares rose 34 sen to RM16 while Public Bank added 16 sen to RM20.76.



Hong Leong Bank and Public Bank were Bursa Malaysia's third and ninth largest gainers respectively. The KLCI had also risen on Petronas Gas Bhd share gains.

Despite the KLCI's gain, Bursa Malaysia decliners outnumbered gainers at 397 to 361 respectively. Bursa Malaysia's trading volume stood at 1.42 billion shares worth RM1.47 billion ringgit.

“On the broader market, sentiment is still weak as investors continue to book profits from the rally in the stock market which was seen since December,” Malacca Securities Sdn Bhd analyst Kenneth Leong  told theedgemarkets.

"Investors are also anticipating positive US employment statistics, which is scheduled to be released later today," Leong said.

Across Asian share markets, Japan’s Nikkei 225 fell 0.38% while South Korea’s Kospi rose 0.36%. In China, Hong Kong's Hang Seng added 0.12% while the Shanghai Stock Exchange Composite fell 0.33%.

Reuters reported that Asian stocks inched up on Friday after a technology-led drop on Wall Street, with gains kept in check by investors' reluctance to stake out fresh positions ahead of US jobs data later in the global day.

It was reported that Japan's Nikkei share average decreased as the yen's rise to seven-week highs overshadowed optimism on corporate earnings.

Source: The Edge

Friday, August 4, 2017

Market Daily Report: FBM KLCI higher on Petronas Dagangan as Asian shares fall



KUALA LUMPUR (Aug 3): The FBM KLCI rose 1.29 points or 0.1% after volatile trade mainly on late buying of index-linked Petronas Dagangan Bhd shares. The KLCI rose as Asian shares fell.

At Bursa Malaysia, the KLCI closed at 1,771.90 points after reaching its intraday high and low at 1,772.59 and 1,768.05 points respectively. Petronas Dagangan shares climbed 28 sen to RM24.02 to become Bursa Malaysia's second-largest gainer.

Across Bursa Malaysia, 1.75 billion shares valued at RM1.746 billion were traded. There were 429 decliners and 336 gainers.

“The increased buying support in the local telco heavyweights, positive sentiment on Wall Street as well as the increase in crude oil prices also contributed to the index’s (KLCI) performance today,” Malacca Securities Sdn Bhd analyst Kenneth Leong told theedgemarkets.com

Asian shares declined. Japan's Nikkei 225 fell 0.25%, Hong Kong’s Hang Seng declined 0.28% while South Korea’s Kospi closed 1.68% lower.

Reuters reported that world stock markets fell on Thursday, led by a tumble in tech shares as investors locked in recent gains after Wall Street's Dow Jones Industrial Average broke the 22,000 barrier for the first time in its 121-year history.

It was reported that Japan's Nikkei share average fell as investors engaged in profit taking of tech shares which rallied the previous day on Apple's strong quarterly earnings.


Source: The Edge

Thursday, August 3, 2017

Market Daily Report: FBM KLCI higher on Petronas Dagangan as Asian shares fall



KUALA LUMPUR (Aug 3): The FBM KLCI rose 1.29 points or 0.1% after volatile trade mainly on late buying of index-linked Petronas Dagangan Bhd shares. The KLCI rose as Asian shares fell.

At Bursa Malaysia, the KLCI closed at 1,771.90 points after reaching its intraday high and low at 1,772.59 and 1,768.05 points respectively. Petronas Dagangan shares climbed 28 sen to RM24.02 to become Bursa Malaysia's second-largest gainer.

Across Bursa Malaysia, 1.75 billion shares valued at RM1.746 billion were traded. There were 429 decliners and 336 gainers.

“The increased buying support in the local telco heavyweights, positive sentiment on Wall Street as well as the increase in crude oil prices also contributed to the index’s (KLCI) performance today,” Malacca Securities Sdn Bhd analyst Kenneth Leong told theedgemarkets.com

Asian shares declined. Japan's Nikkei 225 fell 0.25%, Hong Kong’s Hang Seng declined 0.28% while South Korea’s Kospi closed 1.68% lower.

Reuters reported that world stock markets fell on Thursday, led by a tumble in tech shares as investors locked in recent gains after Wall Street's Dow Jones Industrial Average broke the 22,000 barrier for the first time in its 121-year history.

It was reported that Japan's Nikkei share average fell as investors engaged in profit taking of tech shares which rallied the previous day on Apple's strong quarterly earnings.


Source: The Edge

Wednesday, August 2, 2017

Market Daily Report: FBM KLCI rises on KLK, PPB as Lotte rebounds



KUALA LUMPUR (Aug 2): The FBM KLCI rose 5.48 points or 0.3% on bargain hunting in index-linked plantations stocks Kuala Lumpur Kepong Bhd (KLK) and PPB Group Bhd. Lotte Chemical Titan Holding Bhd's share rise could have also improved broader market sentiment.

At 5pm, the KLCI closed at 1,770.61 points. KLK and PPB rose 12 sen each to RM24.72 and RM16.90 respectively.

Lotte Chemical Titan rose 14 sen to RM4.42 to become Bursa Malaysia's 10th most-active stock.
Lotte Chemical Titan shares had declined in recent days after the company said net profit dropped to RM113.62 million in the second quarter ended June 30, 2017 (2QFY17)from RM404.03 million a year earlier.

Today, TA Securities Holdings Bhd senior technical analyst Stephen Soo told theedgemarkets.com that the KLCI rose mainly due to buying interest in selected heavyweight plantation stocks such as KLK and PPB.

“[However], generally the trend is still cautious. The broader market is still in profit taking and consolidation mode,” said Soo.

Across Bursa Malaysia, 1.8 billion shares worth RM1.75 billion were traded. There were 362 gainers and 429 decliners.

Malaysian shares rose with Asian share markets. Japan’s Nikkei 225 rose 0.47%, Hong Kong’s Hang Seng was up 0.24% while South Korea’s Kospi gained 0.19%.

Reuters reported that Japan's Nikkei share average rose to a 1½ week high on Wednesday, supported by strong domestic earnings as well as a rally among Apple's suppliers after the iPhone maker reported robust profits.

It was reported that the dollar has been weighed down by political turmoil gripping Washington and largely uninspiring US economic data, which is adding to uncertainty about the pace of future US Federal Reserve policy tightening.

Source: The Edge

Tuesday, August 1, 2017

Market Daily Report: FBM KLCI higher with Maybank as Asian shares rise



KUALA LUMPUR (Aug 1): The FBM KLCI rose 5.1 points or 0.3% with Asian shares as investors bargain hunted for index-linked Public Bank Bhd and Malayan Banking Bhd (Maybank) shares.

At 5pm, the KLCI closed at 1,765.13 points while Public Bank rose 32 sen to RM20.60 to become Bursa Malaysia's fourth-largest gainer.
Maybank added 11 sen to RM9.65.

Across Bursa Malaysia, 1.82 billion shares worth RM2.24 billion were traded. There were 503 decliners compared with 271 gainers.

Actively-traded stocks included Frontken Corp Bhd and ManagePay Systems Bhd.

Analysts said overall market sentiment was still negative as the number of declining stocks on Bursa Malaysia outnumbered gainers.

“There is an improvement on the composite index today. However underlying overall sentiment is still negative as there are twice as many [decliners] than gainers today,” Inter-Pacific Research Sdn Bhd research head Pong Teng Siew told theedgemarkets.com

Asian shares rose. Japan's Nikkei 225 added 0.3% while Hong Kong's Hang Seng rose 0.79%.
Reuters reported that Asian shares rose on Tuesday as investors looked to a barrage of economic data around the world to confirm recent signs the global economy is in fine fettle with inflation staying well contained.


Source: The Edge

Monday, July 31, 2017

Market Daily Report: FBM KLCI falls with Public Bank as Lotte tops Bursa decliners



KUALA LUMPUR (July 31): The FBM KLCI fell 7.05 points or 0.4% mainly on last-minute selling of index-linked Public Bank Bhd shares and after Lotte Chemical Titan Holding Bhd announced a year-on-year drop in its second quarter net profit.

Public Bank shares fell on news founder and chairman Tan Sri Dr Teh Hong Piow "wishes to relinquish his position as chairman" on Jan 1, 2019. Public Bank said this in a statement to Bursa Malaysia today.

Lotte Chemical Titan shares declined after the company said net profit dropped to RM113.62 million in the second quarter ended June 30, 2017 (2QFY17)from RM404.03 million.

At 5pm today, the KLCI closed at 1,760.03 points while Public Bank shares fell 26 sen to RM20.28. Lotte Chemical Titan dropped RM1.43 to RM4.70.

Lotte Chemical Titan and Public Bank were the top and third-largest decliners across Bursa Malaysia respectively. Lotte Chemical Titan was also the seventh most-active stock.

Inter-Pacific Research Sdn Bhd research head Pong Teng Siew said Lotte Chemical Titan's 2QFY17 financial results had dampened broader market sentiment.

"Lotte accounted for the steep drop in the KCLI’s performance after the midday break, shortly after Lotte announced its financial results,” Pong told theedgemarkets.

Across Bursa Malaysia, 1.94 billion shares valued at RM2.58 billion were traded.
There were 300 gainers and 534 decliners.

Source: The Edge

Friday, July 28, 2017

Market Daily Report: Sentiment on Bursa Malaysia hit by fall in US tech stocks



KUALA LUMPUR (July 28): The recent selling on US tech stocks has dampened the market sentiment on Bursa Malaysia. Nonetheless, the recovery on crude oil prices has triggered interest in selected oil and gas stocks that have been battered down of late.

The benchmark FBM KLCI dropped 2.99 points to 1,767.08 points today. For the week, the FBM KLCI, however, gained 0.45% from 1,759.16 last Friday.

Share prices were mostly lower today. The scoreboard shows that losers outnumbered gainers in a ratio of 456 to 326, while 411 stocks remained unchanged.

Trading volume across the board was slightly higher today at 1.64 billion shares worth RM2.203 billion compared with 1.59 billion shares worth RM1.97 billion yesterday.

Head of Research at Inter-Pacific Research Sdn Bhd Pong Teng Siew said buying interest in the local bourse was not strong as market sentiment was affected by the decline in US tech stocks, which created uncertainties ahead.

"Investor confidence was lowered and buying volume thinned [last Friday] after the weak performance of tech counters, as usually local retail investors look to tech stocks for inspiration," said Pong.

"However, there are pockets of interest such as in oil and gas stocks, which are most likely riding on the recent improvement in oil prices," he added.

Pong added that oil and gas counters might see more activity in the near term should the current uptrend on the crude oil prices continue.

Top gainers include United Plantations Bhd, Ajinomoto (M) Bhd and Hengyuan Refining Co Bhd, while Dutch Lady Milk Industries Bhd and New Hoong Fatt Holdings Bhd topped the losers list.
Elsewhere in Asian markets, Reuters reported that share prices in Tokyo bourse were heading south mainly caused by the selling wave on the tech stocks after weakness on the Nasdaq market. The Nikkei 225 dropped 0.6% to 19,959.84 today. For the week, it declined 0.7%, falling for a second week.


Source: The Edge

Thursday, July 27, 2017

Market Daily Report: FBM KLCI up after US maintains interest rates; CIMB rises




KUALA LUMPUR (July 27): The FBM KLCI rose 4.07 points or 0.2% with Asian shares after the US Federal Reserve left interest rates unchanged.

A 5pm, the KLCI closed at 1,770.07 points The KLCI traded between its intraday high and low at 1,772.03 and 1,765.84 points respectively.

“The higher movement is in line with the rest of Asia after the Federal Reserve's decision,” Mercury Securities Sdn Bhd research head Edmund Tham told theedgemarkets.com.

Across Asian share markets, Japan’s Nikkei 225 rose 0.15% while Hong Kong’s Hang Seng gained 0.71%. South Korea’s Kospi increased 0.36%.

Reuters reported that stocks, bonds and commodities were all on a roll on Thursday as bulls scented a softening in the Federal Reserve's confidence on inflation that promised to keep US interest rates low for longer.

The Federal Reserve kept its benchmark lending rate in a target range of one percent to 1.25 percent, as expected, and said it was on track to continue the slow path of monetary tightening that has lifted rates by a percentage point since 2015.

At Bursa Malaysia today, 1.59 billion shares worth RM1.97 billion were traded. There were 400 gainers and 381 decliners.

CIMB Group Holdings Bhd was a notable stock today. CIMB shares rose 19 sen to close at RM6.59 to become Bursa Malaysia's sixth-largest gainer.

CIMB, which was also the sixth most-active stock, saw some 25 million shares traded.

Source: The Edge

Wednesday, July 26, 2017

Market Daily Report: FBM KLCI rises on Malaysia election cue



KUALA LUMPUR (July 26): The FBM KLCI closed 2.66 points or 0.2% higher on bargain hunting amid speculation on the timing of Malaysia's 14th General Election (GE).

At 5pm, the KLCI settled at 1,766 points. The KLCI traded between its intraday high and low at 1,766.7 and 1,760.82 points respectively.

Bursa Malaysia saw 1.3 billion shares worth RM1.55 billion traded. There were 373 gainers and 378 decliners.

Etiqa Insurance and Takaful head of research Chris Eng told theedgemarkets.com that the KLCI rose as investors pushed the index higher "possibly on insider information on when the election might be (held)".

“The (Malaysian stock market) rally will continue as long as the global market does not collapse. Currently, the market is still foreign news driven,” Eng said.

Malaysia held its GE13 on May 5, 2013.

Across Asian share markets today, Japan’s Nikkei 225 rose 0.48% while Hong Kong’s Hang Seng was up 0.33%. South Korea’s Kospi, however, fell 0.22%.

Reuters reported that Japanese stocks rose on Wednesday, snapping a three-day losing streak, as solid gains on Wall Street boosted sentiment and Caterpillar Inc's strong earnings whetted investors' appetite for companies such as Komatsu Ltd and Hitachi Construction Machinery Co.

While overall sentiment improved, investors took profits later in some of the stocks which had risen in early trade, as they remained cautious ahead of a US Federal Reserve monetary policy decision later in the day, Reuters reported.

Source: The Edge

Tuesday, July 25, 2017

Market Daily Report: FBM KLCI rises as OPEC commitment supports oil prices




KUALA LUMPUR (July 25): The FBM KLCI rose 1.35 points or 0.1% as higher crude oil prices supported Malaysian shares.

Crude oil prices rose after OPEC member Saudi Arabia pledged to limit exports starting next month.
At 5pm, the KLCI closed at 1,763.34 points. KLCI-linked Petronas Dagangan Bhd added 14 sen to RM23.84 to become Bursa Malaysia's eighth-largest gainer.

Hengyuan Refining Co Bhd climbed 24 sen to RM6.14 while Petron Malaysia Refining & Marketing Bhd was 15 sen higher at RM8.35. Hengyuan and Petron were Bursa Malaysia's fourth and sixth largest gainers respectively.

Bursa Malaysia saw 1.68 billion shares worth RM1.63 billion traded. There were 295 gainers and 493 decliners.

Reuters reported that in a meeting in St Petersburg on Monday, the Organization of the Petroleum Exporting Countries (OPEC) and non-OPEC producers discussed extending their deal to cut output by 1.8 million barrels per day (bpd) beyond March 2018 if necessary.

It was reported that Saudi Energy Minister Khalid al-Falih said his country would limit its crude exports to 6.6 million bpd in August, almost one million bpd below the levels of a year ago. It was reported that global benchmark Brent crude for September delivery was up 22 cents, or 0,5 percent, at US$48.82 a barrel by 0705 GMT after settling up 1.1 percent in the previous session.

In Malaysia, FXTM research analyst Lukman Otunuga wrote in a note today : "While this was not expected to be the outcome to the meeting in Saint Petersburg, the unexpected outcome would have likely encouraged the material bounce higher in price that oil producers are looking to eventually achieve.
 
"The OPEC meeting in St Petersburg was simply a renewal of commitment by OPEC and non-OPEC members to respect their current production cut deal."
TA Securities Holdings Bhd senior technical analyst Stephen Soo told theedgemarkets.com that the KLCI lacked buying momentum. Soo said the index was rather flat due to mild bargain hunting by local funds.

“Despite the rise in the past two days, the buying momentum is still lacking. Volume is pretty low which reflects investors' cautiousness.

“In the next two days, investors are still on the sidelines to watch out for FOMC (Federal Open Market Committee) announcements about the US Federal Reserve’s decision on interest rates,” Soo said.


Source: The Edge

Monday, July 10, 2017

Market Daily Report: KLCI down despite world market optimism



KUALA LUMPUR (July 10): The FBM KLCI fell 2.8 points or 0.2% despite optimism in global markets as investors sold KLCI-linked stocks like Petronas Chemicals Group Bhd and Genting Bhd.
Analysts said investors at Bursa Malaysia appeared to be emphasising individual stocks instead of sectors.

“It’s been very quiet and it seems that investors are focusing on individual stocks rather than particular sectors," Inter-Pacific Securities Sdn Bhd research head Pong Teng Siew said.

At 5pm, the KLCI closed at 1,757.13 points. Petronas Chemicals dropped 20 sen to RM6.89 while Genting Bhd fell 16 sen to RM9.03.
 
Petronas Chemicals and Genting Bhd were Bursa Malaysia's sixth and eighth-largest decliners respectively.

Across Bursa Malaysia, 1.67 billion shares worth RM1.52 billion were traded. There were 556 decliners and 294 gainers.

The most-actively traded stock was newly-listed Advancecon Holdings Bhd with some 132 million shares traded. The stock added 21.5 sen to close at 84.5 sen .

Malaysian shares fell despite global share gains. Japan’s Nikkei 225 gained 0.76% while Hong Kong’s Hang Seng climbed 0.63%.

Reuters reported that world stock markets rallied on Monday and the US dollar hit a two-month high against the yen as the latest US jobs data gave investors greater confidence in the strength of the economy.


Source: The Edge

Friday, July 7, 2017

Market Daily Report: KLCI falls 10.6 points on US share decline




KUALA LUMPUR (July 7): The FBM KLCI fell 10.6 points or 0.6% with Asian share markets after US equities declined overnight.

At 5pm today, the KLCI closed at 1,759.93 points. Across Asia, Japan’s Nikkei 225 fell 0.32%, South Korea’s Kospi declined 0.33% while Hong Kong’s Hang Seng was down 0.49%.

In overnight US share trades, the Dow Jones Industrial Average dropped 0.74%, S&P 500 fell 0.94% while Nasdaq Composite was 1% lower.

Reuters reported that US stocks were sharply lower on Thursday after disappointing labour market data clashed with the possibility of a more hawkish Federal Reserve, while rising tensions in the Korean peninsula provided additional pressure.

It was reported that Asian shares lost ground on Friday after a weak session on Wall Street, while global sovereign debt yields were elevated across the board on bets the European Central Bank is moving closer to unwinding its massive monetary stimulus.

In Malaysia, Kenanga Investment Bank Bhd research head Chan Ken Yew said the KLCI's decline was in line with the fall in US markets.

“(In Malaysia) market activity seems to be slowing down due to a lack of catalyst. We are expecting a potential pullback in the KLCI in the third quarter,” Chan said.

Across Bursa Malaysia today, 1.31 billion shares worth RM1.54 billion were traded. Decliners outnumbered gainers at 644 against 209 respectively.

Leading decliner was British American Tobacco (M) Bhd while Cycle & Carriage Bintang Bhd topped gainers. The most-active counter was Hubline Bhd.


Source: The Edge

Thursday, July 6, 2017

Market Daily Report: KLCI rises on IOI Corp's 11th hour gains



KUALA LUMPUR (July 6): The FBM KLCI gained 2.37 points or 0.1%, mainly on index-linked IOI Corp Bhd's 11th-hour share price spike.

At 5pm, the KLCI closed at its intraday high at 1,770.53 points, after falling to its intraday low at 1,765.75 points. IOI Corp shares rose 15 sen to close at RM4.61 to become Bursa Malaysia's seventh-largest gainer.

Earlier, the KLCI had fallen as investors sold stocks, including AMMB Holdings Bhd. At 5pm, AMMB shares fell 12 sen to RM4.99 to become Bursa Malaysia's fifth-largest decliner.

AMMB shares fell on profit taking and after Malaysia's Retirement Fund (Inc) chief executive officer Datuk Wan Kamaruzaman Wan Ahmad said the fund was keen on purchasing Australia and New Zealand Banking Group Ltd’s stake in the proposed RHB Bank Bhd-AMMB Holdings Bhd merged entity.
 
Across Bursa Malaysia, 1.55 billion shares worth RM1.75 billion were traded. Decliners beat gainers at 485 against 329 respectively.

Public Investment Bank Bhd research head Ching Weng Jin noted the subdued activity in the local market, as market participants kept an eye on external developments.

“The market has been a bit quieter, it’s taking a breather. There is nothing much happening domestically, so people are just waiting on the external developments overseas,” Ching said.
Asian share markets fell. Japan’s Nikkei 225 fell 0.44%, while Hong Kong’s Hang Seng dropped 0.22%.

Reuters reported most Asian stock markets fell on Thursday, after minutes from the Federal Reserve's last meeting showed a lack of consensus on the future pace of US interest rate increases, while oil prices inched higher, following a steep decline a day earlier.


Source: The Edge

Wednesday, July 5, 2017

Market Daily Report: KLCI up 6.08 points as Hong Leong Bank tops Bursa gainers




KUALA LUMPUR (July 5): The FBM KLCI jumped in the final trading minutes for a 6.08-point or 0.3% gain mainly on late buying of index-linked Hong Leong Bank Bhd shares.

At 5pm, the KLCI closed at 1,768.16 points. Hong Leong Bank shares rose 56 sen to RM16.30 to become Bursa Malaysia's top gainer.

Bursa Malaysia gainers outnumbered decliners at 420 against 361 respectively. A total of 1.49 billion shares valued at RM1.69 billion were traded.

Malaysian shares rose today as Asian markets remained cautious after North Korea fired a missile that landed in Japanese waters yesterday.

In Malaysia today, TA Securities Holdings Bhd senior technical analyst Stephen Soo told theedgemarkets.com that "there are still concerns across Asian markets over North Korea’s missile testing."

Reuters reported that Asian share markets inched back into the black on Wednesday as investors wagered the latest flare-up of tensions on the Korean peninsula would fade away like so many others.
MSCI's broadest index of Asia-Pacific shares outside Japan regained 0.3 percent, half the losses suffered Tuesday when North Korea fired the missile.

Tuesday, July 4, 2017

Market Daily Report: KLCI down with Asian markets after North Korea fires missile





KUALA LUMPUR (July 4): The FBM KLCI fell 6.59 points or 0.4% with Asian markets after North Korea fired a missile, which led to geopolitical concerns.

At Bursa Malaysia, the KLCI finished at 1,762.08 points at 5pm. Across Asian share markets, Japan’s Nikkei 225 fell 0.12% while Hong Kong’s Hang Seng was down 1.53%.

US markets are closed on Tuesday for the Independence Day holiday.

In Malaysia, Inter-Pacific Securities Sdn Bhd research head Pong Teng Siew told theedgemarkets.com that it was generally a “down day” for Asia.

Reuters reported that Asian shares had turned lower as earlier gains were quashed by tensions on the Korean peninsula after North Korea fired a missile that landed in Japanese waters, deepening concerns over the isolated nation's nuclear capabilities.

Across Bursa Malaysia, 1.9 billion shares worth RM1.8 billion were traded. Decliners outpaced gainers at 456 against 340 respectively.

Petroliam Nasional Bhd (Petronas)-linked counters Petronas Gas Bhd, Petronas Chemicals Group Bhd and Petronas Dagangan Bhd were among top decliners as investors took profit today on their gains.


Source: The Edge

Monday, July 3, 2017

Market Daily Report: FBM KLCI rises five points as Petronas shares gain




KUALA LUMPUR (July 3): The FBM KLCI rose five points or 0.3% on bargain hunting and as Petronas-linked shares took the cue from crude oil gains.

At 5pm, the KLCI finished at 1,768.67 points after falling to its intraday low at 1,756.37 points. Last Friday, the index fell 7.69 points to 1,763.67 points.

Today, JF Apex Securities Bhd senior analyst Lee Cherng Wee told theedgemarkets.com: “There does not seem to be any fresh catalysts driving the market,[therefore] the market’s performance today can be attributed to bargain hunting following a decline in performance last week."

Across Bursa Malaysia today, 1.76 billion shares worth RM1.74 billion were traded. There were 408 gainers against 404 decliners.

Oil and gas-related shares were among Bursa Malaysia top gainers. The list included KLCI-linked Petronas Gas Bhd, Petronas Dagangan Bhd and Petronas Chemicals Group Bhd.

Reuters reported that oil markets edged up on Monday, lifted by the first fall in US drilling activity in months, although price gains were capped by reports of rising OPEC output last month even as the group has pledged to cut supply.

Brent crude futures had climbed 13 cents, or 0.3 percent, to US$48.90 per barrel by 0643 GMT, after jumping 5.2 percent last week in their first weekly gain in six weeks.



Source: The Edge

Friday, June 30, 2017

Market Daily Report: FBM KLCI slips into the red amid expectations of OPR hike




KUALA LUMPUR (June 30): The FBM KLCI settled 7.69 points or 0.43% lower at 1,763.67 points today, tracking regional markets as investors turned to profit taking as the mood turned cautious amid expectations that Bank Negara would raise the overnight policy rate (OPR) soon.

“There is an absence of window dressing, not just locally but among regional markets. Apart from that, investors are also booking in profits, particularly on worries that Bank Negara Malaysia would raise [key interest rate] in the second half of this year,” TA Securities Holdings Bhd senior technical analyst Stephen Soo told theedgemarkets.com.

“Further, there are other uncertainties such as concerns over how the upcoming general election could affect the Malaysian stock market. In the meantime, investors are closely monitoring the stock market and keeping a cautious outlook,” Soo said.

Soo added that trading for the time being up until the first half of July this year is expected to remain “choppy”, further dragged down by the volatility in commodity prices, and is only likely to recover towards year end.

Across the FBM KLCI, about 1.51 billion shares valued at some RM2.31 billion were exchanged.
Losers outpaced gainers at 477 versus 324, while 448 counters settled unchanged.

The top three gainers of the day were Nestle (Malaysia) Bhd, MSM Malaysia Holdings Bhd and Dutch Lady Milk Industries Bhd. The losing counters were led by Teck Guan Perdana Bhd, Ajinomoto (Malaysia) Bhd and IHH Healthcare Bhd.

Regionally, Japan’s Nikkei 225 fell 0.92%, Hong Kong’s Hang Seng Index declined 0.77%, and the Korea Composite Stock Price Index dropped 0.16%.


 Source: The Edge
Reuters reported that Japan's Nikkei share average fell to two-week lows today on concerns that the days of cheap funding from European central banks may soon be over. The Nikkei declined 0.9% to settle at 20,033.43, having fallen to as low as 19,946.51 — the weakest level seen since June 16 — earlier in the day.

Meanwhile, the index of Japanese real estate investment trusts tumbled to a 16-month low, partly due to concerns over a potential hike in global interest rates, the news agency reported.

Thursday, June 29, 2017

Market Daily Report: FBM KLCI ends flat despite a rebound on Wall Street



KUALA LUMPUR (June 29): The FBM KLCI ended the trading day almost flat, up only 0.13 points to close at 1,771.36 points, although the regional markets had been lifted by the rebound in the United States.

Areca Capital Sdn Bhd chief executive officer Danny Wong Teck Meng told theedgemarkets.com: “Yesterday night, the US market rebounded; ignoring the warning from US Federal Reserve chair Janel Yellen’s that stock valuations are rich in the US.”

“Our side (KLCI) took after the good sentiment from the US,” he added.
Wong noticed that the small- and mid-cap stocks had rebounded but not the big cap counters. Hence, the KLCI ended flattish.

Across the board, some 1.4 billion shares worth RM1.56 billion were traded. There were 490 gainers and 292 decliners.

Over in the US, Dow Jones Industrial Average gained 143.95 points to 21,454.61 on Wednesday — less 75 points from its record high of 21,528.99 points. Meanwhile, S&P 500 was up 21.31 points to 2,440.69 points, which is whisker away from its all time high of 2,453.46 points.
Elsewhere in Asia, Hong Kong’s Hang Seng Index was up 1.1% and South Korea’s Kospi rose 0.55%.

Reuters reported that Japan's Nikkei share average neared two-year highs on Thursday after Wall Street rebounded, with tech shares such as Advantest Corp and Shin-Etsu Chemical outperforming the overall market.

The Nikkei gained 0.45%to 20,220.30, moving closer to 20,318.11 hit last week, the highest level since August 2015, Reuters said.

Tech shares, which stumbled the previous day, rebounded after the Nasdaq overnight posted its best session since Nov 7, Reuters added.


Source: The Edge

Wednesday, June 21, 2017

Market Daily Report: FBM KLCI down on Tenaga as crude oil drop hits Malaysian shares




KUALA LUMPUR (June 21): The FBM KLCI fell 5.14 points or 0.3% on Tenaga Nasional Bhd share losses and as lower crude oil prices hit Bursa Malaysia oil and gas-related shares.

At 5pm, the KLCI closed at 1,775.57 points. Tenaga shares fell 14 sen to RM14.18 to become Bursa Malaysia's 7th largest decliner.

Tenaga shares fell after the state-controlled utility said the Employees Provident Fund and Permodalan Nasional Bhd cut their respective stakes in Tenaga.

On the broader market, analysts said investors could be taking profit across Bursa Malaysia ahead of the Hari Raya Aidilfitri holidays starting this Sunday (June 25).

Malaysian markets will be closed this Monday and Tuesday (June 26 and 27) for Hari Raya Aidilfitri.
Today, Jupiter Securities Sdn Bhd analyst Benny Lee told theedgemarkets.com: “Because of the long weekend for Malaysia, investors might be taking profit, so we might see a downtrend but the market should pick up after Hari Raya.”

Across Bursa Malaysia, 1.69 billion shares valued at RM2.41 billion were transacted. There were 284 gainers and 574 decliners.

Top active counter Hibiscus Petroleum Bhd fell 2.5 sen to 39 sen with 34.2 million shares transacted. Hibiscus could have taken the cue from lower crude oil prices.

Reuters reported that a renewed slump in oil prices to seven-month lows put Asian investors on edge on Wednesday, overshadowing a decision by US index provider MSCI to add mainland Chinese stocks to one of its popular benchmarks.

It was reported that Brent eased 10 cents to US$45.92 a barrel, while US crude futures lost 6 cents to US$43.45.


Source: The Edge

Tuesday, June 20, 2017

Market Daily Report: KLCI falls 8.19 points; Maybank active



KUALA LUMPUR (June 20): The FBM KLCI fell 8.19 points or 0.5% , weighed down by blue-chip stocks like Maxis Bhd and Petronas Gas Bhd.

At 5pm, the KLCI closed at 1,780.71 points. Maxis shares fell 26 sen to RM5.62 while Petronas Gas dropped 22 sen to RM18.66.

Maxis and Petronas Gas were Bursa Malaysia's fourth and sixth-largest decliners respectively.
“The KLCI’s decline was driven by losses sustained by some of the blue-chip stocks, including Maxis," Inter-Pacific Securities Sdn Bhd research head Pong Teng Siew told theedgemarkets.com.

Maxis shares fell after the mobile telecommunication network provider said it was placing out 300 million new shares to investors. Petronas Gas shares dropped as crude oil prices fell.

Reuters reported that oil markets held around seven-month lows on Tuesday as investors focused on persistent signs of rising supply that are undermining attempts by OPEC and other producers to support prices.

US West Texas Intermediate crude futures were down three cents at US$44.17 a barrel. They declined 54 cents, or 1.2 percent in the previous session, to settle at US$44.20 per barrel, the lowest close since Nov. 14.

In Malaysia today, Bursa Malaysia saw 1.81 billion shares worth RM2.18 billion traded. Decliners beat gainers at 493 against 303 respectively.

Malayan Banking Bhd (Maybank) was among Bursa Malaysia's most-active stocks. Maybank shares rose one sen to RM9.64 with some 24 million units traded.

According to Inter-Pacific Securities remisier Sam Ng, Maybank drew interest from fund managers as investors might be reorganising their blue-chip  portfolios.

“In my view, the stock (Maybank) is still undervalued, so the attractiveness is there,” Ng told theedgemarkets.com.


Source: The Edge

Tuesday, June 13, 2017

Market Daily Report: FBM KLCI falls ahead of US interest rate decision




KUALA LUMPUR (June 13): The FBM KLCI fell 4.45 points or 0.2% to close at 1,784.44 points on profit taking ahead of the closely-watched US interest rate decision this week.

The US Federal Reserve's Federal Open Market Committee will decide on the country's interest rate direction upon conclusion of its two day meeting on Wednesday (June 14). US interest rate decisions are closely watched due to their impact on global fund flow.

In Malaysia today, Areca Capital Sdn Bhd chief executive officer Danny Wong Teck Meng told theedgemarkets.com : “Overall, the Malaysian market is not having a big fluctuation, investors are still waiting for more clarity from global economic (factors) like UK’s Brexit development and US’ Federal Reserve’s widely-anticipated rate hike."

At Bursa Malaysia, investors took profit after the KLCI reached its intraday high at 1,793.01 points.
Bursa Malaysia saw a total of 2.05 billion shares worth RM2.57 billion change hands. There were 349 gainers versus 557 decliners.

Priceworth International Bhd was the most-actively traded counter with 117.35 million shares traded. The stock rose three sen to 27 sen.

Across Asian share markets, Hong Kong's Hang Seng rose 0.56% while South Korea's Kospi gained 0.71%. Japan’s Nikkei 225 declined 0.05%.

Reuters reported that Asian stocks rebounded on Tuesday despite a further slide in US tech shares, while the Canadian dollar soared on the possibility interest rates might go up sooner than expected.


Source: The Edge

Friday, June 9, 2017

Market Daily Report: KLCI remains trapped below 1,800, lacking catalysts




KUALA LUMPUR (June 9): The FBM KLCI gained 3.32 points or 0.19% to close at 1,788.89, but remains trapped below the 1,800 resistance level amid a lack of catalysts and the uncertainty surrounding recent global developments.

On a week-on-week basis, the benchmark index has risen 11.94 points or 0.67% since it closed at 1,776.95 on June 2.

Kenanga Investment Bank Bhd research head Chan Ken Yew said the market is still consolidating following the developments in the US and UK, adding that there was not much catalyst for the local market currently.

“The market still seems to be consolidating below the 1,800 level. If it breaks the 1,787 to 1,800 ceiling, that would drive further increases in the index,” he said.

Meanwhile, Chan said investors are keeping an eye on the happenings in the US, UK and the Middle East, but said it is unlikely to have a significant impact on the local market.

Across the board, a total of 1.91 billion shares worth RM2.22 billion were traded. Gainers edged losers at 476 against 396, while 382 counters were unchanged.

Leading the gainers were Hartalega Holdings Bhd’s warrant stock HARTA-CU, while the decliners were led by Dutch Lady Milk Industries Bhd. The top active stock was Frontken Corp Bhd.
Elsewhere in Asia, Japan’s Nikkei gained 0.52%, South Korea’s Kospi increased 0.77% while Hong Kong’s Hang Seng fell 0.13%.

Reuters reported that the sterling pound spiralled lower today as British elections left no single party with a clear claim to power, sideswiping investors who had already weathered major risk events in the United States and Europe.

MSCI's broadest index of Asia-Pacific shares outside Japan were all but flat, it said.


Source: The Edge

Thursday, June 8, 2017

Market Daily Report: KLCI ends flat amid external uncertainties




KUALA LUMPUR (June 8): The FBM KLCI closed 0.35 point or 0.02% lower at 1,785.57, as investors keep an eye on global events, including the UK elections, the upcoming testimony by former FBI director James Comey and the developments in the Middle East.

Public Investment Bank Bhd head of research Ching Weng Jin said market participants are taking a wait-and-see attitude, amid the various global uncertainties.

“Investors are not taking any risks amid the UK elections, Comey’s testimony in the US and the diplomatic row in the Middle East. With all these external uncertainties, people are not willing to take any chances,” he said.

Ching noted the low volume of trades today, but said these external factors should not significantly impact the local market.

Across the board, some 1.95 billion shares, worth RM2.15 billion, were traded. Decliners beat gainers at 459 versus 419, while 389 counters were unchanged.

United Plantations Bhd led decliners, while Hartalega Holdings Bhd was top gainer. The top actively-traded counter was AT Systematization Bhd.

Elsewhere in Asia, Hong Kong’s Hang Seng rose 0.34%, South Korea’s Kospi gained 0.15%, while Japan’s Nikkei fell 0.38%.

Reuters reported Asian shares wobbled today, as investors braced for surprises from the UK election, a European Central Bank policy meeting and Comey’s testimony.

MSCI's broadest index of Asia-Pacific shares outside Japan was little changed, though China edged up on unexpectedly solid trade data.



Source: The Edge

Wednesday, June 7, 2017

Market Daily Report: KLCI eases as investors become more risk averse





KUALA LUMPUR (June 7): The FBM KLCI fell slightly today as investor sentiment was affected by foreign institutional funds becoming more risk averse, amid the Middle East political rift and ahead of events like the UK general election, European Central Bank policy meeting and former FBI director James Comey's Senate testimony.

The benchmark index settled at the day’s low of 1,785.92, down 5.09 points or 0.28% from yesterday. Its intra-day high was 1,792.65.

Mercury Securities Sdn Bhd head of research Edmund Tham said there was some profit taking in the market, as some investors do not see substantial upside to their investment.

“Investors are waiting for more clarity from these events, especially the foreign funds, they are more sensitive to global news development,” he told theedgemarkets.com.

“So when there is uncertainty, the KLCI would be capped and some local investors will be affected by this kind of sentiment and start taking profit,” he said.

Reuters reported other Southeast Asian stock markets were up today, as investors priced in chances of a victory for the ruling party in the UK election and a rate increase by the U.S. Federal Reserve next week.

Elsewhere, Japan’s Nikkei inched up 0.02%, while Hong Kong Hang Seng index declined 0.09%, and South Korea’s Kospi fell 0.36%.

Over at Bursa Malaysia, total volume stood at 2.36 billion shares, worth some RM2.36 billion. There were 395 gainers versus 459 losers, while 390 counters remained unchanged.

Top gainers included Nestle (M) Bhd, while the biggest loser was Bursa Malaysia Bhd. Frontken Corp Bhd was the most actively-traded counter, with 151.75 million shares exchanging hands.

The ringgit strengthened against the U.S. dollar, trading at 4.2645 at the time of writing.


Source: The Edge

Monday, June 5, 2017

Market Daily Report: KLCI up 0.62%, trails U.S. market rally from last week



KUALA LUMPUR (June 5): The FBM KLCI rose 0.62% today, trailing last week’s rally in the U.S. stock market and supported by higher commodity prices.

The benchmark index rallied throughout the day to close up 11 points at 1787.95. On the broader market, 2.48 billion shares, worth RM2.64 billion were traded with 542 gainers against 382 decliners, while 353 counters closed unchanged.

Inter-Pacific Research head Pong Teng Siew said the local market was boosted by the bullish sentiment seen in the U.S. market, which closed at record highs last Friday, lifted by finance and technology stocks.

Both the S&P 500 and the Dow Jones Industrial Average closed at record highs of 2,349.07 and 21,206.39 respectively.

Back home, gainers included Hong Leong Financial Group Bhd, KESM Industries Bhd, United Plantations Bhd and Petronas Dagangan Bhd. Decliners included Kluang Rubber Co (M) Bhd and Manulife Holding  Bhd.

Pong said the KLCI “has no problem breaching the 1,800-level soon”, but raised concerns on over-valuation of companies. “The average price-earnings ratio (P/E) in KLCI is at 15.9 times, fast approaching the trading levels in 12-month forward basis.

“This tells you that we are near the peak of valuation in P/E terms.

“We have not been able to break the level during the previous cycles of stock market rally and during the 2008 financial crisis, so it remains to be seen [as to] how far the shares will climb,” he added.

Oil prices rose to an intra-day high of US$50.71 earlier today, following news Saudi Arabia, Bahrain, the United Arab Emirates and Egypt cut ties with Qatar on terrorism concerns, Reuters reported. Meanwhile, crude palm oil prices continued to recover from last week’s losses, thanks to higher demand in the spot market.

Among Asian stock indices, Japan’s Nikkei 225 closed down 0.03% to stay well above the 20,000 level. South Korea’s KOSPI lost 0.13%, whereas Hong Kong’s HSI closed 0.24% lower.


Source: The Edge