The Malaysian stock market has registered losses for three consecutive sessions, declining by over 40 points, representing a 2.2% decrease. Currently, the Kuala Lumpur Composite Index (KLCI) is perched just above the 1,560 mark, but support is anticipated on Thursday.
The outlook for Asian markets appears positive, buoyed by easing concerns over U.S. interest rates following favorable inflation data. European and U.S. markets finished with strong gains, setting a positive precedent for Asian bourses to potentially follow.
On Wednesday, the KLCI dipped slightly once more, as telecom stocks experienced losses and financial and industrial sectors showed mixed results. For the day, the index fell by 14.34 points or 0.91%, closing at 1,562.12 with intraday trading ranging between 1,558.60 and 1,586.21.
Among the active stocks, 99 Speed Mart Retail rose by 0.87%, whereas Axiata fell by 1.72%. Celcomdigi increased by 1.09%, but CIMB Group decreased by 1.51%. Other notable movements included Gamuda's 5.72% drop, IHH Healthcare's 0.28% rise, and a slight increase of 0.10% for Kuala Lumpur Kepong. Maxis decreased by 0.28%, Maybank by 0.59%, MISC by 1.94%, and MRDIY by 3.41%. Nestle Malaysia saw a 0.30% uplift, while Petronas Chemicals, Dagangan, and Gas recorded declines of 1.06%, 3.59%, and 0.23% respectively. Press Metal surged 3.21%, while PPB Group and Sime Darby fell by 1.48% and 2.26% respectively. YTL Corporation and YTL Power showed gains of 0.46% and 0.52%, while companies like IOI Corporation, SD Guthrie, and Public Bank remained unchanged.
Wall Street provided a robust lead, with major indices opening firmly higher and maintaining that momentum throughout the session. The Dow Jones Industrial Average soared 703.27 points or 1.65%, closing at 43,221.55. The NASDAQ Composite and the S&P 500 also posted significant gains, rising 466.84 points or 2.45%, and 107.00 points or 1.83%, ending at 19,511.23 and 5,949.91, respectively.
This bullish performance was fueled by a positive reaction to the Labor Department's December consumer price inflation report, which despite showing a slight increase above expectations, revealed an unexpected slowdown in core consumer price growth annually. Moreover, the release of promising earnings results from major financial institutions, including JPMorgan Chase, Goldman Sachs, and Citigroup, further contributed to the optimistic sentiment.
Meanwhile, oil prices soared on Wednesday, driven by a reduction in U.S. crude inventories and potential supply disruptions due to new sanctions against Russia. West Texas Intermediate (WTI) crude oil futures for February increased by $2.54 or 3.3%, reaching $80.04 per barrel.
The material has been provided by InstaForex Company -
www.instaforex.com
