Kuala lumpur: The FTSE Bursa Malaysia KLCI (FBM KLCI) is anticipated to maintain a mildly positive bias in the coming week, buoyed by consistent buying interest above the 1,600 psychological mark.
According to BERNAMA News Agency, Kenneth Leong, head of research at Berjaya Research Sdn Bhd, noted that the ongoing recovery momentum is likely to be supported by improved market sentiment. This sentiment is bolstered by a recent rebound and growing optimism over developments in US-China trade relations. “Investors will be closely monitoring the slew of US corporate earnings releases for further cues on global risk appetite and earnings sustainability,” Leong told Bernama.
Rakuten Trade Sdn Bhd’s vice-president of equity research, Thong Pak Leng, predicts that market volatility will persist until greater clarity emerges from the anticipated trade discussions between the US and China next week. “For now, we expect the benchmark index to move within the 1,600-1,630 range for next week,” he added.
In the United States, the consumer price index (CPI) for September was released last night, marking the first major economic report since the government shutdown on Oct 1. Reports indicated that the core CPI rose to 330.54 in September from 329.79 in the previous month, while the overall inflation rate eased to 3.0 percent, lower than expected. This CPI release is the final significant data point the US Federal Reserve will receive before making its interest rate decision next week.
On a Friday-to-Friday basis, the FBM KLCI increased 6.09 points to 1,613.27 from last week’s 1,607.18. The index board showed gains with the FBM Emas Index adding 66.09 points to 12,071.0, the FBMT 100 Index rising 61.57 points to 11,803.59, the FBM ACE Index improving 13.77 points to 5,292.66, the FBM 70 Index soaring 163.04 points to 17,170.98, and the FBM Emas Shariah Index climbing 89.42 points to 12,146.69.
In sectoral terms, the Plantation Index increased by 48.43 points to 7,909.29, the Industrial Products and Services Index edged up 0.86 points to 171.91, the Energy Index firmed 2.39 points to 791.32, and the Financial Services Index gained 12.19 points to 18,204.63.
Weekly turnover decreased to 13.53 billion units worth RM9.98 billion, compared to 18.78 billion units worth RM16.18 billion in the previous week. The Main Market volume shrank to 6.91 billion units worth RM8.65 billion from 10.80 billion units worth RM14.53 billion previously. Warrants turnover declined to 3.81 billion units valued at RM562.09 million versus 5.39 billion units valued at RM641.92 million in the preceding week. The ACE Market volume slipped to 1.89 billion units valued at RM755.22 million compared with 2.58 billion units valued at RM992.03 million a week ago.