BURSA MALAYSIA LIKELY TO CONSOLIDATE NEXT WEEK AMID STEADY DOMESTIC FUNDAMENTALS

By Abdul Hamid A Rahman

KUALA LUMPUR, Nov 1 (Bernama) -- The FTSE Bursa Malaysia KLCI (FBM KLCI) is expected to stay range-bound next week, with analysts anticipating the benchmark index to consolidate amid steady domestic fundamentals.

Rakuten Trade Sdn Bhd vice-president of equity research Thong Pak Leng said the local market continues to demonstrate resilience as the benchmark index consolidates.

“The FBM KLCI appears to be stabilising, though stronger catalysts will be necessary to revive buying interest. Holding above 1,600 will be crucial to sustaining the current uptrend, while a decisive breakout above 1,630 could signal the start of a new upward phase.

“As such, we expect the index to trend between 1,600 and 1,630 next week, representing its support and resistance levels,” he told Bernama.

Meanwhile, IPPFA Sdn Bhd director of investment strategy and country economist Mohd Sedek Jantan said the FBM KLCI is expected to remain broadly stable next week, trading within a tight band around the 1,605 level as investors await fresh catalysts.

“While a brief pullback below the 1,600 mark cannot be dismissed, any weakness would likely be driven by external factors rather than domestic fundamentals.

“Should this occur, we view it as a potential bargain-hunting window, supported by Malaysia’s resilient macroeconomic backdrop and improving forward indicators,” he noted.

On a Friday-to-Friday basis, the FBM KLCI eased 4.12 points to 1,609.15 from last week’s 1,613.27.

For the index board, the FBM Emas Index declined 47.64 points to 12,023.36, the FBMT 100 Index slid 42.42 points to 11,761.17, the FBM ACE Index slipped 71.27 points to 5,221.39, the FBM 70 Index dropped 114.91 points to 17,056.07 and the FBM Emas Shariah Index shed 48.58 points to 12,098.11.

By sector, the Industrial Products and Services Index eased 0.30 of-a-point to 171.61, the Energy Index declined 20.08 points to 771.24 and the Financial Services Index dropped 81.37 points to 18,123.26.

However, the Plantation Index climbed 77.80 points to 7,987.09.

Weekly turnover was 13.59 billion units worth RM10.70 billion compared with 13.53 billion units worth RM9.98 billion in the previous week.

The Main Market volume enhanced to 7.56 billion units worth RM9.55 billion from 6.91 billion units worth RM8.65 billion previously.

Warrants turnover rose to 4.38 billion units valued at RM459.48 million versus 3.81 billion units valued at RM562.09 million in the preceding week.

The ACE Market volume slipped to 1.64 billion units valued at RM672.11 million compared with 1.89 billion units valued at RM755.22 million a week ago.

-- BERNAMA