Bursa rally could continue as 1,400 level spotted

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KUALA LUMPUR: Bursa Malaysia’s benchmark index could attempt to recover to the 1,400 psychological level given the growing bullishness on the market amid slower global inflation data.


Malacca Securites Research said the sentiment remains in favour of a rally on the blue-chip index while the lower liners are benefitting from rotational play.

“Investors are anticipating softer US inflation data, which suggests that the monetary tightening cycle may near its peak and bodes well for the equities market.

“Meanwhile, the barrage of US corporate earnings releases will be in focus,” said the research firm in a note.

However, TA Securities Research takes a more cautious tone.

“While key blue chips may gain further ground on mild bargain hunting amid improving regional tone on hopes for further stimulus from China to support growth, the broader market should trade sideways amid lacking positive domestic leads,” it said in its review.


At the opening bell, the FBM KLCI was down 1.19 points to 1,390.27 as the market was caught between the upward momentum of the recent rally and profit-taking pressures.

There was upward movement in Press Metal, rising five sen to RM4.85, Sime Darby Plantation gaining seven sen to RM4.45 and Hong Leong Bank climbing 12 sen to RM19.02.

Of note on the broader market, Quality Concrete surged 29 sen to 89 sen while Unisem rose five sen to RM3.08 and Greatec gained four sen to RM4.42.

Top actives include RGB down 0.5 sen to 33.5 sen, SCIB up 0.5 sen to 49 sen and Tanco unchanged at 52.5 sen.

– The Star

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