The Malaysian stock market has experienced an upward trend for five consecutive sessions, gaining over 45 points or 2.7% in total. The Kuala Lumpur Composite Index is now just below the 1,640 threshold, though it is anticipated that investors might seek to realize their gains on Tuesday.
Globally, the forecast for Asian markets suggests a downward trend, with profit-taking expected as the year concludes—particularly within the technology sector. Both European and U.S. markets witnessed declines, indicating a similar opening for Asian exchanges.
On Monday, the KLCI ended modestly higher, boosted by gains in financial, plantation, and telecom sectors. The index increased by 9.54 points, or 0.59%, to close at 1,637.68, after fluctuating between 1,624.92 and 1,638.56 throughout the day.
Notable market movements included a 1.62% rally by 99 Speed Mart Retail, a 0.42% rise for Axiata, a 1.37% boost for Celcomdigi, and a significant 1.92% surge for Gamuda. Kuala Lumpur Kepong edged up by 0.09%, while Maybank collected a 1.39% gain. MISC climbed by 1.33%, Nestle Malaysia impressively rose by 3.05%, and Petronas Chemicals increased by 1.80%. Other changes included PPB Group up by 0.81%, Press Metal and SD Guthrie both up by 0.20%, while Public Bank fell by 0.66%. Sime Darby, Sunway, Telekom Malaysia, Tenaga Nasional, YTL Corporation, and YTL Power all recorded various gains, while IHH Healthcare, IOI Corporation, QL Resources, RHB Bank, Maxis, and CIMB Group remained unchanged.
Wall Street's lead is weak, with the major indexes opening lower on Monday and maintaining this position throughout the day.
The Dow Jones Industrial Average fell by 418.48 points, or 0.97%, ending at 42,573.73. The Nasdaq dropped by 235.25 points, or 1.19%, closing at 19,486.79, and the S&P 500 declined by 63.90 points, or 1.07%, finishing at 5,906.94.
The downward momentum on Wall Street continued from Friday’s sell-off, as traders cashed in on gains ahead of the year-end. Nonetheless, substantial gains for 2024 remain on the horizon, particularly for the tech-focused Nasdaq, which has risen nearly 30% this year.
Despite an initial slump, technology stocks partially recovered, though they still ended the day significantly lower. Semiconductor stocks experienced notable weakness, with the Philadelphia Semiconductor Index dropping by 1.9%.
The Wall Street sell-off may have been intensified by below-average trading volume, as many traders were absent ahead of the New Year's Day holiday on Wednesday.
In the oil market, prices reached a five-week high on Monday, driven by recent data displaying a more significant than anticipated reduction in U.S. crude inventories. The prospect of heightened demand from China also supported the rise in prices. West Texas Intermediate Crude futures for February rose by 0.6% to $70.99 per barrel.
The material has been provided by InstaForex Company -
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