Categories: MarketsNews

Equities lower but slight uptick expected

The market has closed negative for 5 consecutive days due to fragile sentiment

by AZALEA AZUAR / pic by TMR FILE

SHARES in Malaysian equities closed lower yesterday where the FTSE Bursa Malaysia KLCI index suffered a loss of 0.14% (2.07 points) to end at 1,523.86.

According to Rakuten Trade Sdn Bhd head of research Kenny Yee Shen Pin, the market has closed negative for five consecutive days due to fragile sentiment as investors are cautious about global recession, inflation and rising interest rates. 

“Despite the cautious market undertone, we expect bargain hunting will prevail given the cheap valuations of local stocks, continuous inflow of foreign investors and improving macroeconomic situation in the country. 

“As such, we expect the benchmark index to trend slightly higher within the region of 1,520 to 1,540,” he said in a research report.

The losers are Press Metal Aluminium Holdings Bhd, PPB Group Bhd and Axiata Group Bhd.

“Market breadth was negative with 388 gainers against 524 losers. Total volume stood at 3.26 billion shares valued at RM1.96 billion.

“Key regional markets ended mostly higher except Straits Times Index down 0.2% to end at 3,225.23,” Yee added.

Rakuten Trade has also observed the Nikkei 225 jumped 1.04% to end at 28,234.29 while the Hang Seng Index and SSE Composite Index surged 2.24% and 0.68%, respectively, to end at 22,014.59 and 3,263.79.

On the other hand, Wall Street slipped in yesterday’s session as investors are worried over economic prospects and the rising oil price which has soared to a 13-week high, especially Brent crude oil has increased to more than 2% to US$123 (RM539.97) per barrel. 

The Dow Jones Industrial Average (DJIA) and S&P 500 lost 0.81% and 1.08%, respectively, to end at 32,910.90 and 4,115.77. The Nasdaq retreated 0.73% to end at 12,086.27.

“The S&P 500 fell more than 1% in the broad sell-off, snapping a two-day winning streak. Meanwhile, the DJIA fell 269 points to end at 32,910.90.”

Hwa Tai Industries Bhd’s share price closed 5.7% higher at RM0.645 yesterday.

According to Rakuten Trade equity analyst Queenie Tan, the company has formed a White Marubozu candlestick which has increased its volume while it is currently staging a rounding bottom.

“It started to trade above both its moving average 20 (MA20) and MA50 yesterday.

“Coupled with upticks in its indicators and MA convergence divergence bullish crossover, the share price is expected to continue with its upside momentum,” she said.

On the other hand, Rakuten Trade identified Hwa Tai’s resistance levels at RM0.660 (R1) and RM0.750 (R2) while its support levels are pegged at RM0.620 (S1) and RM0.595 (S2).

Zukri

Recent Posts

INVESTOR DEADLINE APPROACHING: Faruqi & Faruqi, LLP Investigates Claims on Behalf of Investors of Mynaric

Faruqi & Faruqi, LLP Securities Litigation Partner James (Josh) Wilson Encourages Investors Who Suffered Losses…

1 hour ago

NorthStar and Modern American Recycling Services form Team to Pursue Dismantlement of Navy’s Defueled Ex-Enterprise in Mobile, AL

Leading Nuclear Industry and Ship Decommissioning Specialists Synergize for Navy's Novel Project MOBILE, Ala., Nov.…

1 hour ago

Cutting-Edge Scans and Diagnostics: Carling Adrenal Center’s Guide to Adrenal Health on National Day of Radiology

TAMPA, Fla., Nov. 8, 2024 /PRNewswire/ -- In honor of National Day of Radiology, the…

1 hour ago

Media Advisory: Infrastructure Announcement in Burlington

BURLINGTON, ON, Nov. 8, 2024 /CNW/ - Members of the media are invited to an…

1 hour ago

MaidCentral Partners with Maid Brigade to Empower Franchise-Wide Efficiency and Customer Satisfaction for the House Cleaning Industry

CHARLESTON, S.C., Nov. 8, 2024 /PRNewswire/ -- MaidCentral, a premier business management solution for the…

1 hour ago

INVESTOR DEADLINE APPROACHING: Faruqi & Faruqi, LLP Investigates Claims on Behalf of Investors of The Toronto-Dominion Bank

Faruqi & Faruqi, LLP Securities Litigation Partner James (Josh) Wilson Encourages Investors Who Suffered Losses Exceeding…

1 hour ago