Kuala lumpur: The FTSE Bursa Malaysia KLCI (FBM KLCI) is projected to remain within a defined range next week, with analysts forecasting a period of consolidation due to stable domestic fundamentals.
According to BERNAMA News Agency, Rakuten Trade Sdn Bhd’s vice-president of equity research, Thong Pak Leng, noted the local market’s resilience as the benchmark index consolidates.
Thong expressed that while the FBM KLCI shows signs of stabilisation, stronger catalysts are needed to stimulate buying interest. He emphasized the importance of maintaining levels above 1,600 to sustain the current uptrend, with a potential breakout above 1,630 indicating the start of a new upward phase. He anticipates the index to fluctuate between 1,600 and 1,630 next week, representing its support and resistance levels.
Meanwhile, IPPFA Sdn Bhd’s director of investment strategy and country economist, Mohd Sedek Jantan, expects the FBM KLCI to remain broadly stable next week, likely trading within a tight range around the 1,605 level as investors await new catalysts. He mentioned that any temporary dip below the 1,600 mark would likely result from external factors rather than domestic issues. Such a scenario could present a bargain-hunting opportunity, bolstered by Malaysia’s resilient macroeconomic backdrop and improving forward indicators.
On a week-to-week basis, the FBM KLCI decreased by 4.12 points to 1,609.15 from the previous week’s 1,613.27. The FBM Emas Index decreased by 47.64 points to 12,023.36, while the FBMT 100 Index fell by 42.42 points to 11,761.17. The FBM ACE Index dropped by 71.27 points to 5,221.39, the FBM 70 Index declined by 114.91 points to 17,056.07, and the FBM Emas Shariah Index went down by 48.58 points to 12,098.11.
In the sectoral performance, the Industrial Products and Services Index eased by 0.30 point to 171.61, the Energy Index dropped by 20.08 points to 771.24, and the Financial Services Index declined by 81.37 points to 18,123.26. In contrast, the Plantation Index increased by 77.80 points to 7,987.09.
Weekly turnover reached 13.59 billion units worth RM10.70 billion, up from 13.53 billion units worth RM9.98 billion the previous week. The Main Market volume increased to 7.56 billion units worth RM9.55 billion from 6.91 billion units worth RM8.65 billion before. Warrants turnover rose to 4.38 billion units valued at RM459.48 million, compared to 3.81 billion units valued at RM562.09 million the week prior. The ACE Market volume decreased to 1.64 billion units valued at RM672.11 million from 1.89 billion units valued at RM755.22 million a week earlier.