M+ Morning Market Buzz - 7 Oct 24

Dow Jones: 42,352.75 pts (+341.16pts, +0.81%)
⬆️ Resistance:  43300
⬇️ Support:  41100

FBM KLCI: 1,629.97 pts (-11.58pts, -0.71%)
⬆️ Resistance:  1700
⬇️ Support:  1600

HSI Index: 22,736.87 pts (+623.36pts, +2.82%)
⬆️ Resistance:  23200
⬇️ Support:  20400

Crude Palm Oil: RM4,300 (+RM118, +2.82%)
⬆️ Resistance:  4440
⬇️ Support:  3910

Brent Oil: $78.05 (+$0.43, +0.55%)
⬆️ Resistance:  80.90
⬇️ Support:  68.60

Gold: $2,653.60 (-$2.29, -0.09%)
⬆️ Resistance:  2730
⬇️ Support:  2580

M+ Market update – 7 Oct 24
Commodity Sectors To Be Focused

The FBM KLCI experienced a volatile ride over the past few trading days, fluctuating between positive and negative territory due to heightened concerns over tensions in the Middle East. Meanwhile, US stock markets closed on a positive note, rebounding from intraday lows after non-farm payrolls in September exceeded expectations, signalling that the economy remains strong at this point. In the commodities market, Brent crude surged to nearly USD80 per barrel, driven by developments in the Middle East, while gold prices hovered around the USD 2,650 mark. Crude palm oil (CPO) closed at RM 4,300, supported by rising demand from India, the top importer, ahead of the Diwali festive season, coupled with the release of China stimulus packages.

Sector Focus: Given the positive sentiment on Wall Street, coupled with a slightly weakened ringgit, we expect traders to monitor and accumulate selected Technology stocks. Additionally, the strong surge in crude oil and CPO prices is likely to increase investor interest in the O&G and Plantation sectors. Looking ahead to Budget 2025, traders may also position themselves in sectors such as Construction, Property, Building Materials, and Utilities.

Stocks to watch: 

Plantation: *INNO*, *JTIASA*
Construction: *KERJAYA*, SSB8
Technology: *RAMSSOL*
Healthcare: *KPJ*
Consumer: 99SMART
Building Material: HEGROUP
Finance: MNRB
Utility: PBA

Source: M+

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