Review & Outlook

Key blue chips closed higher on Thursday, lifted by mild window-dressing support, while most key regional markets except China, Japan and South Korea were closed for the Boxing Day holiday. The FBM KLCI ended up 10.71 points at 1,613.70, off an early low of 1,602.79 and high of 1,615.28, as gainers led losers 692 to 295 on moderate turnover of 2.47bn shares worth RM1.86bn.

Mild window dressing activities should aid selective key index heavyweights higher ahead of the weekend, while trading activity stay muted due to the year-end holiday season. Immediate index resistance remains at 1,627, next 1,648, followed by the September peak of 1,675. Immediate support stays at 1,588, the 38.2%FR of the 1,529 low (6 Aug) to 1,684 high (29 Aug) rally, with stronger key supports at 1,565, the 23.6%FR level, and then 1,550.

Positive technical momentum implies further upside bias for Genting Berhad, with a confirmed breakout above the 100%FP (RM3.88) to target RM4.00 and the 23.6%FR (RM4.15) ahead, while the 123.6%FP (RM3.60) and lower Bollinger band (RM3.51) cushion downside. Likewise, a breakout confirmation above the 100%FP (RM2.26) on GENM should aim for the 76.4%FR (RM2.38) and 61.8%FR (RM2.46) going forward, while key chart supports are from the 123.6%FP (RM2.14) and 138.2%FP (RM2.07).

News Bites

• Tenaga Nasional Bhd announced that Peninsular Malaysia's base electricity tariff will increase by 14.2% from 39.95 sen/kWh to 45.62 sen/kWh for RP4 (2025-2027), effective July 1, 2025.

• Southern Cable Group Bhd has secured a RM172.57mn contract to supply cables and conductors in East Malaysia.

• MyMBN Bhd announced that Malaysia's Department of Veterinary Services has temporarily suspended bird's nest product exports to China, effective Dec 25, 2024.

• Kawan Renergy Bhd co-founder and MD Lim Thou Lai has reduced his stake to 67.03% after divesting 19.24mn shares or a 3.5% stake for RM12.31mn at 64 sen/share.

• The Employees Provident Fund has ceased to be a substantial shareholder of YTL Power International Bhd following the disposal of 14.9mn shares on Dec 20, 2024.

• Taghill Holdings Bhd has disclosed that its unit, Siab (M) Sdn Bhd, faces a RM2.59mn adjudication claim from subcontractor Landasan Angkasa Sdn Bhd over a completed warehouse project.

• Keyfield International Bhd has completed its inaugural RM200mn sukuk wakalah issuance under its RM1bn programme.

• Boustead Heavy Industries Corp Bhd has appointed former Royal Malaysian Air Force chief Tan Sri Roslan Saad as its independent nonexecutive chairman.

• Seacera Group Berhad has announced that on 26 December 2024, it received a Winding Up Petition, dated 17 December 2024, and an Affidavit Verifying Petition, dated 18 December 2024, filed by the Petitioner through their solicitors.

• Bank Islam Malaysia Bhd has surpassed its green financing target, achieving RM4.8bn as of September 2024, exceeding its RM4bn goal set for 2025.

• Teck Guan Perdana Bhd has reported a 34% YoY drop in its 3QFY2025 net profit to RM2.39mn, attributed to lower revenue and a RM4.33mn net loss on forward currency contracts.

• Telekom Malaysia Bhd's business-to-business arm, TM One, and Sarawak Digital Economy Corporation Bhd have extended their partnership through a master service agreement to expand Sarawak's digital infrastructure.

• CCK Consolidated Holdings Bhd has declared a five sen/share special dividend for FY2024, its highest in 11 years, totaling RM31.05mn. The dividend will be payable on Jan 22, 2025.

• Lebtech Bhd's subsidiary, Lebtech Construction Sdn Bhd, has been appointed by Affizal Resources (M) Sdn Bhd to collaborate on water works in Selangor valued at RM10.8mn.

• Pestech International Bhd's subsidiary, PESTECH (Cambodia) Plc., listed on the Cambodia Securities Exchange, has announced that it will not be distributing dividends to shareholders for both the financial year ended 30 June 2024 and the transitional period from 1 July 2024 to 30 September 2024.

• World Bank raises China's GDP forecast for 2024 and 2025 to 4.9% and 4.5% from 4.8% and 4.1%, respectively.

Source: TA Research - 27 Dec 2024