Daily Market Report (19 Aug 2019)
Mon, Aug 19, 2019 8:50 AM
- President Trump remains the biggest culprit for the global financial markets with his rhetoric on China and the Federal Reserves. His meddling has had triggered the jittery button of most investors as volatility continue to reign.
- Locally we believe the investment climate is excellent for foreign funds to return but may be hampered by Trump’s fear mongering tactics.
- The FBM KLCI is currently trading at really reasonable PER of 15.3x based on 2019 estimates and at an even more attractive 14.5x premised on 2020 forecasts against its multi-year average of around 16.5x.
- Meanwhile, steps taken by Germany to spur ECB’s growth may provide some relief to the financial markets thus we may see some buying activities today with the immediate resistance at 1,620.
