M+ Morning Market Buzz - 17 Oct 24

Dow Jones: 43,077.70 pts (+337.28pts, +0.79%)
⬆️ Resistance:  44200
⬇️ Support:  41500

FBM KLCI: 1,632.63 pts (-9.34pts, -0.57%)
⬆️ Resistance:  1680
⬇️ Support:  1600

HSI Index: 20,286.85 pts (-31.94pts, -0.16%)
⬆️ Resistance:  22100
⬇️ Support:  19800

Crude Palm Oil: RM4,311 (-RM24, -0.56%)
⬆️ Resistance:  4500
⬇️ Support:  4110

Brent Oil: $74.22 (-$0.03, -0.04%)
⬆️ Resistance:  81.40
⬇️ Support:  71.90

Gold: $2,673.83 (+$0.23, +0.01%)
⬆️ Resistance:  2740
⬇️ Support:  2560

M+ Market update – 17 Oct 24
Volatile Market Movements Throughout Earnings Season

The FBM KLCI traded on a softer note throughout the session ahead of Budget 2025. However, some portfolio rebalancing was observed during the final hour of trading. On Wall Street, after a sharp decline due to ASML's weaker outlook, the market rebounded, buoyed by stronger-than-expected earnings from Morgan Stanley; the Dow closed at an all-time high, with sectors such as Financials, Utilities, Materials, and Industrials posting record highs. Looking ahead, traders will closely monitor AI-related stocks to assess their earnings growth. In the commodity markets, Brent crude oil extended its pullback, driven by concerns over China's demand and easing tensions in the Middle East. Meanwhile, gold prices surged past USD2,670, and CPO prices continued to range between RM4,250-4,300.

Sector Focus: With the USD strengthening further against the ringgit, we expect traders to shift their focus towards export-oriented sectors like Gloves and Technology. Additionally, investors may want to consider sectors expected to benefit from Budget 2025, such as Construction, Property, Building Materials, and Utilities. We also see potential in selected Plantation, O&G, and Finance stocks offering attractive dividend yields.

Stocks to watch: 

Construction: *BNASTRA*, *CHB*, KERJAYA, *SSB8*
Consumer: *LHI*, MRDIY
Property: IOIPG, SCIENTX
O&G: *DELEUM*
Technology: CLOUDPT

Source: M+

Disclaimer

The content published is solely for information and personal use only. It should not be construed to be, any advice, recommendation, offer or invitation to buy or sell any securities, futures contracts or any other instrument. Readers should seek independent advice from their own professional advisers (including legal, tax, financial and accounting) as to the risks and merits before entering into any transaction pursuant to or in reliance on any information here.

The content published above shall only be for your sole and personal non-professional use. No guarantee is given on the accuracy or completeness of the information published here. No warranty whatsoever is given and no liability whatsoever is accepted for any loss arising whether directly or indirectly as a result of any person or group of persons acting on such information.