Higher in tandem with global equities markets

BURSA Malaysia is expected to trade higher this week, with the resistance level of the FBM KLCI at 1,780 points, supported by a recovery in the global equities markets, as well dissipating concerns over North Korea in the just ended short trading week.

Affin Hwang Investment Bank vice-president and head of retail research, Datuk Nazri Khan Adam Khan said the support level will be at 1,760.

“I expect the market to be better as the risk appetite among investors has increased with European bonds also improving.

“These are a good signals for Bursa Malaysia, and the fact that Hong Kong’s Hang Seng Index hit the 28,000 level during the week just ended, showed that risk appetite is high,” he told Bernama.

For the week just-ended, the benchmark FBM KLCI rose 3.99 points to 1,773.16 from 1,769.17 the previous week.

Bursa Malaysia’s trading movement was influenced by external factors, including US Federal Reserve Chair, Janet Yellen and European Central Bank President, Mario Draghi’s dovish tone on monetary policies.

On the home front, most investors also stayed away due to the long holiday break on account of Merdeka Day and Hari Raya Aidiladha, while still cautious of external developments.

Total turnover declined to 5.06 billion units valued at RM5.69bil from 9.60 billion units valued at RM9.55bil.

Main Market volume narrowed to 3.13 billion shares worth RM5.3bil from 5.8 billion shares valued at RM8.71bil.

Warrants volume eased further to 522.86 million units worth RM69.06mil from 1.1 billion units valued at RM148.80mil.

The Ace Market turnover fell to 1.39 billion shares valued at RM317.30mil from 2.65 billion shares valued at RM679.78mil. – Bernama

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