Rebound expected

BURSA Malaysia is expected to rebound this week, fuelled by positive sentiment ahead of expected fresh catalysts in Budget 2017.

Affin Hwang Investment Bank vice-president/head of retail research Datuk Dr Nazri Khan Adam Khan said the FBM KLCI is likely to move to the 1,680-point region.

He said this will drive buying interest mostly in technology, telecommunications and construction-related stocks as they are likely benefit from the new budget. “The budget is expected to be consumer friendly and it will have more incentives for the people.”

Prime Minister Datuk Seri Naib Abdul Razak, , who is also finance minister, is scheduled to table the budget on Friday.

On the external front, he said, oil prices, the upcoming US presidential vote and the US interest rate increase probability will continue to weigh on sentiment.

The oil price movement coupled with the development in the two world’s largest economies, the US and China, are among other factors that will influence risk appetite in the local market.

Last week, the FBM KLCI eased 6.41 points to 1,658.97. Turnover rose to 7.56 billion units worth RM8.52 billion. – Bernama