Sideways trade likely

BURSA Malaysia is likely to continue to trade sideways this week, with the composite index expected to be trapped between 1,660 and 1,680 points due to the weak market sentiment, said Affin Hwang Investment Bank.

Its president/head of retail research, Datuk Dr Nazri Khan Adam Khan, said the market will be concerned over the better US third-quarter gross domestic product data.

“The positive results of the world’s biggest economy have increased the prospects of an interest rate hike by the Federal Reserve in December which will affect the local stock market,” he said.

Nazri Khan said the market will see profit-taking as there are higher interest rate yields globally, especially in America and Europe.

On oil prices, Nazri said, investors were hoping to see them rise further and boost the local bourse in the long run.

Last week, the FBM KLCI gained 1.24 points to 1,670.27. – Bernama