M+ Online Morning Market Buzz - 8 Jan 24

Dow Jones: 37,466.11 pts (+25.77pts, +0.07%)
⬆️ Resistance:  38600
⬇️ Support:  36600

FBM KLCI: 1,487.61 pts (+10.35pts, +0.70%)
⬆️ Resistance:  1520
⬇️ Support:  1420

HSI Index: 16,535.33 pts (-110.65pts, -0.66%)
⬆️ Resistance:  17500
⬇️ Support:  16200

Crude Palm Oil: RM3,682 (+RM25, +0.68%)
⬆️ Resistance:  3780
⬇️ Support:  3540

Brent Oil: $78.76 (+$1.17, +1.51%)
⬆️ Resistance:  81.00
⬇️ Support:  73.30

Gold: $2,045.45 (+$2.16, +0.11%)
⬆️ Resistance:  2130
⬇️ Support:  1990

Market update – 8 Jan 24
Expecting The Market To Take A Mild Breather

The FBMKLCI experienced a solid start for 2024, with decent buying interest from foreign funds into the local stock exchange. However, the US stock markets traded on a flattish tone on Friday amid a mixed set of data where the robust jobs data was offset by the softer ISM services PMI and snapped the 9-week winning streak as the 10-year US Treasury yield spiked above 4.00%. Also, the market was unsure and had contrasting views on when the interest rate cuts may begin. This week, CPI and PPI data will be watched closely to determine the interest rates direction. On the local front, we believe the buying support may take a breather this week after a strong upward move last week. On the commodity market, Brent oil price ended higher on Friday amid rising geopolitical tension in the Middle East and Red Sea regions. 

Sectors focus: Despite profit taking activities may emerge on the broader market, the trading interest may continue within selected sectors such as the Technology sector as the sector just had a flag breakout last week. Also, we still like the Johor-theme with the KL-SG HSR to be potentially restarting after the RFI deadline by 15th of Jan; benefiting the Property, Construction, Building Material and Utilities sectors. Meanwhile, the disruption of shipping and logistics following the Red Sea attack may provide upside potential for the Transportation sector. 

Stocks to watch: 

Transportation: FM, ILB
Construction: PESTECH, TRC
O&G: UZMA, WASCO
Consumer: PPHB, PWF
Financial: BIMB
Property: GFM
Other: SMRT

Source: M+ Online

Disclaimer

The content published is solely for information and personal use only. It should not be construed to be, any advice, recommendation, offer or invitation to buy or sell any securities, futures contracts or any other instrument. Readers should seek independent advice from their own professional advisers (including legal, tax, financial and accounting) as to the risks and merits before entering into any transaction pursuant to or in reliance on any information here.

The content published above shall only be for your sole and personal non-professional use. No guarantee is given on the accuracy or completeness of the information published here. No warranty whatsoever is given and no liability whatsoever is accepted for any loss arising whether directly or indirectly as a result of any person or group of persons acting on such information.