FBM KLCI to trend higher next week
KUALA LUMPUR: The FTSE Bursa Malaysia KLCI (FBM KLCI) is likely to trend higher towards the 1,880 points level next week prompted by improved market sentiment amid positive market-moving external global events.
Affin Investment Bank Vice-President/Head of Retail Research Dr Nazri Khan said global sentiment should be firm as investors take a positive view of the latest positive earnings and economic data released in the US driven by hopes for an end to the violence in Ukraine.
"We note that the US and global markets have recovered ground and showed its best weekly showing since July 2013, suggesting the resumption of a bullish market," he told Bernama.
The S&P 500 and MSCI All World scored 2.7 per cent and 1.8 per cent gain week-to-week. Back home, local equity markets appeared to be stable sideways holding following bargain hunting and positive market-moving external events during the week just ended, said Nazri.
The Malaysian equity market experienced a 1.1% correction in the last two weeks and the key index was expected to gradually make a U-turn to trend higher next week, in line with positive regional markets, added Nazri.
On Friday, the market tone was softer as investors shied away from the market for Good Friday holiday.
On a week-to-week basis, the FBM KLCI was almost flat at 1,852.69 against 1,852.66 recorded last week. The Finance Index rose 82.49 points to 16,948.54 but the Industrial Index fell 15.63 points to 3,186.82 and the Plantation Index decreased 64.46 points to 8,924.34.
The FBM Emas Index climbed 14.34 points to 12,870.87, the FBMT100 Index improved 4.58 points to 12,504.13, the FBM 70 rose 22.19 points to 14,131.27 and the FBM Ace gained 112.95 points to 6,879.17. Weekly turnover rose to 11.752 billion shares, worth RM10.617 billion, from last Friday's 10.53 billion shares worth RM11.03 billion.
Main market volume increased to 8.51 billion shares, valued at RM9.868 billion, from 8.37 billion shares, valued at RM10.4 billion, recorded last week.
Warrant turnover increased to 468.67 million units, worth RM87.07 million, from 171.75 million units, worth RM31.35 million, traded previously.
The ACE market volume rose to 2.70 billion shares, valued at RM625.49 million from 1.97 billion shares, valued at RM582.1 million, registered last week. – Bernama