M+ Morning Market Buzz - 23 Oct 24

Dow Jones: 42,924.89 pts (-6.71pts, -0.02%)
⬆️ Resistance:  44200
⬇️ Support:  41900

FBM KLCI: 1,642.54 pts (-3.14pts, -0.19%)
⬆️ Resistance:  1690
⬇️ Support:  1600

HSI Index: 20,498.95 pts (+20.49pts, +0.10%)
⬆️ Resistance:  21400
⬇️ Support:  19600

Crude Palm Oil: RM4,386 (+RM77, +1.76%)
⬆️ Resistance:  4480
⬇️ Support:  4150

Brent Oil: $76.04 (+$1.75, +2.36%)
⬆️ Resistance:  77.90
⬇️ Support:  71.10

Gold: $2,749.01 (-$1.20, -0.04%)
⬆️ Resistance:  2810
⬇️ Support:  2610

M+ Market update – 23 Oct 24
Focus on Export and Commodity Sectors

The FBM KLCI and FBM Small Cap ended lower as profit-taking activities continued following the announcement of Budget 2025. Meanwhile, Wall Street saw a mixed performance, with uncertainty looming ahead of the US elections and ongoing corporate earnings reports. Additionally, rising Treasury yields, which often indicate tighter monetary policy, are reducing the likelihood of further rate cuts. Currently, Bloomberg consensus suggests a 92% chance of a 25 bps rate cut at the upcoming FOMC meeting. In the commodities market, Brent crude oil extended its rebound for a second consecutive session, driven by China's efforts to revive economic growth, while gold prices surged near an all-time high. CPO prices also broke above the RM4,450 resistance level, signalling a potential upward rally.
 
Sector Focus: As the ringgit weakened from RM4.10/USD to RM4.325 over the past month, we anticipate investors may shift their attention to export-oriented sectors such as Gloves and Technology. Also, the rebound in oil prices and the CPO breakout may attract traders to the O&G and Plantation sectors. On the Budget 2025, we also see opportunities in Construction, Property, and Renewable Energy sectors.
Stocks to watch: 

Property: MAHSING, MATRIX, SCIENTX
O&G: *DELEUM*, *SENDAI*
Construction: *KERJAYA*, SUNCON
Finance: *AFFIN*
Technology: *VSTECS*
Consumer: QL

Source: M+

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.