Daily Market Report (8 Nov 2019)
- Anticipation of a positive outcome from the US/China talk further fuelled optimism on the equities markets. China’s stocks also soared following MSCI’s expansion of its weighting on Chinese stocks with foreign shareholding now at record high of around USD255bn.
- As foreign funds are making a comeback into Asia, it is only natural that Malaysia will eventually benefit from the spillover effects. Reflecting the improving outlook, our Ringgit strengthened to 4.12/USD currently from almost 4.20 since August.
- For today, allow the local bourse to digest yesterday’s uptrend with some intermittent correction. Nonetheless, we expect the benchmark FBM KLCI to climb further ahead with the next resistance seen at 1,620 level.
- Time to accumulate on Petronas linked companies that were trashed rather badly YTD plus smallish construction related companies with the likes of Econpile, Vertice, Vizione and Crest Builder.
