Previous Day Highlights

24 December 2024 FBM KLCI closed higher in tandem with the gains across the region. The benchmark index was up 0.30% or 4.79 pts to close at 1,596.20. Gainers were seen in financial services (+0.83%), technology (+0.82%), and transportation (+0.14%); while losers were seen in construction (-1.38%), REIT (-0.58%), and health care (-0.43%). Market breadth was negative with 545 losers against 390 gainers. Total volume stood at 2.37bn shares valued at RM2.04bn.

Major regional indices trended positively. HSI gained 0.82%, to end at 19,883.13. SHCOMP dropped 0.50%, to close at 3,351.26. Nikkei 225 was up 1.19%, to finish at 39,161.34. STI rose 0.87%, to close at 3,752.33.

Wall Street ended higher driven by gains in the tech stocks. The DJIA added 0.16%, to end at 42,906.95. Nasdaq rose 0.98%, to close at 19,764.88. S&P500 rose 0.73%, to finish at 5,974.07. US markets will close 3 hours earlier Today.

News For The Day

TM and Perodua tie up to drive automotive transformation

Telekom Malaysia has entered a strategic partnership with Perodua to drive advancements in electric vehicle (EV) development, digital innovation and sustainable growth. By delivering secure, high-speed connectivity and scalable digital solutions, this partnership will support Perodua’s mission for greater innovation and growth, paving the way for a connected, sustainable future in the automotive industry. - The Star

Dnex ties up with France-based Conex

Dagang Nexchange (Dnex)’s wholly-owned subsidiary, Dagang Net Technologies, has tied up with Conex SAS to streamline European Union (EU) trade compliance for Malaysian exporters. The collaboration aims to assist exporters in fulfilling the EU's Import Control System 2 (ICS2) requirements, which mandate pre-notification of goods to Customs authorities before shipment to the EU. This partnership will benefit Malaysian exporters by reducing administrative burdens, by automating the ICS2 submission process. - The Star

Powerwell wins RM27m contract

Powerwell has secured a RM27m contract to supply low- voltage switchboards for a data centre project in Malaysia. In September, Powerwell clinched a RM13.3m contract to supply low-voltage switchboards for data centre projects in Indonesia. Earlier in August, the company bagged a RM14.8m contract for a similar project in Malaysia, also from "a leading international contractor." – The Star

ECM Libra to extend hotel concession in KLIA

ECM Libra 50%-owned unit OHG Services will pay Malaysia Airports (Sepang) RM29.9m to extend its concession agreement to manage and operate a 'limited-service hotel' at the KLIA for another 35 years. ECM Libra confident that the concession extension is expected to contribute positively to its future earnings over the extended period. – The Edge Market

Tuju Setia wins RM389m construction contract

Tuju Setia secured a contract worth RM389m to build serviced apartments in Wangsa Maju, Setapak. With the latest win, Tuju Setia’s order book has increased to RM2.08bn, keeping the company busy until 2028. The company are positioned for turnaround growth for CY25, backed by our robust order book and ready capacity to take on more projects. - The Edge Market

Our Thoughts

Wall Street closed higher despite a weak opening as traders are confident of a Santa Rally amidst a shortened trading week. Notwithstanding this, the US 10-year yield edged higher at 4.589%, and closing in towards the year high of around the 4.7% level. Over in Hong Kong, the HSI jumped to almost the 19,900 mark as sentiment improves over Trump’s moderating stance on Tik-Tok which can be depicted as a major step in easing the tension between the US and China. Back home, the FBM KLCI tried but failed to close above the 1,600 level due to hints of foreign selling within the local bourse. Nonetheless, we are heartened that the selling is more subdued as illustrated by the low daily volume of only 2.4bn shares. For today, we expect a muted trading day hence expect the index to hover between the 1,595-1,605 range.

Source: Rakuten Research - 24 Dec 2024

To sign up for an account: http://bit.ly/40BNqKI

[Youtube Tutorial] Account Opening & Enable Foreign Equity: http://bit.ly/3I5Jzxo