Pending the FOMC meeting outcome and Evergrande’s bond interest payment due tomorrow, we expect Bursa Malaysia to trade cautiously but downside risk is likely to be supported near 1500 levels amid grossly oversold stochastic reading and positive expectation of the 12MP announcement on 27 Sep. For investors that missed out on the “mini Aug rally” (+7.1% in Aug), we reckon that current market weakness could be the next boat to catch on the broader re-opening theme play, underpinned by Bursa Malaysia’s laggard status (KLCI: -6.2% YTD; 14.4x CY22E EPS), hopes of easing political risks and confidence in policy continuity, coupled with economic reopening gaining traction.
accept the fate .of lifecycle of stock... all catalysts (all their potential businesses otw, tourism, gold mine and property, and vaccine.) hv been priced in .. prices already reached high n many TP..... obsoleted... now in end of consolidation stage....
Tracking a relief rally in US markets, Asian bourses ended higher, as investors reacted calmly to the Fed’s timeline to taper asset purchases and hike rates as a vote of confidence that the US recovery is on track. Investors also found some solace after China Evergrande's chairman reassured investors the company's unit had resolved the interest due on RMB-bond (though questions remained over its interest payment on its USD-bond) and China’s central bank continued to inject liquidity into the financial system. Overnight, the Dow rallied 507 pts to 34762 underpinned by energy, financials and cyclical stocks as worries about Evergrande’s ripple effect faded and investors appeared relieved with a more clarity and carefully-planned Fed tapering and tightening monetary policy timeline on the back of a resilient US economic growth.
Tracking higher Wall St and regional markets, KLCI jumped 10.3 pts to 1539.3 amid bargain hunting activities on recently bashed down heavyweights such as TENAGA, AXIATA, SIMEPLT, CIMB and GENTING as economic reopening is gaining traction and Covid-19 cases fell to a 2-month low. This appeared to overshadow the latest government’s proposals to boost its coffer with capital gain tax and one-off higher tax rate for companies benefited under the Covid-19 environment. Meanwhile, foreigners resumed buying for a 3rd day amounting to RM118m whilst local institutions net sold RM104m, logging its 21th consecutive day of net outflow totalling RM3.05bn. Meanwhile, local retailers net sold RM14m, logging its 1st outflow after recording 15th straight day of net inflow totalling RM825m.
market weakness could be the next boat to catch on the broader re-opening theme play, underpinned by Bursa Malaysia’s laggard status (KLCI: -5.9% YTD; 14.5x CY22E EPS), hopes of easing political risks and confidence in policy continuity as well as further re-opening of economic sectors as the nation is entering endemic phase by year-end.
Pembayaran Bantuan Prihatin Rakyat (BPR) Keluarga Malaysia Fasa 3 dan rayuan BPR akan dikreditkan ke dalam akaun penerima mulai Selasa ini (28 Sept) secara berperingkat.
It is not BPR.. many will prefer for basic expenses as these people are from low to mid income earners.. if happen market boost, it was due to the moratorium as lenders were from wide range of income earners... that time supposedly last month...
Despite Dow’s relief rally, Asian markets ended lower last Friday amid lingering concerns about the impact of China Evergrande debt crisis with regards to the USD83.5m dollar-bond interest payments due last Thursday and another USD47.5m due on 29 Sep. Sentiment was also dampened by Beijing’s latest ban on all digital currency activities. The Dow fluctuated within 34648-34857 levels before ending +33 pts at 34798 (+214 pts WoW). Investors shrugged off an impending Fed’s pullback in stimulus, potential contagion risks from Evergrande and Beijing’s latest crackdown on crypto-currencies.
After slipping 25 pts in two days, there could be a mild bounce today in tandem with the Wall St rally last Friday but any rebound is likely to be capped near 1537-1549-1558 territory, as investors continue to weigh on multiple external headwinds, a resumption of foreign selling and ahead of the Budget 2022 (29 Oct).
Even airasia is better than this counter.....this counter even evry quarter result profit also lose to airsia with so many debt..what to do..lousy management always fail the hope of his supporter...wahahaha....
Is so true that investors wont come back for the same counter that doesnt even make them profitable..good luck yongtai..wish those who trap will feel easy of that..
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
PenghuluGia
115 posts
Posted by PenghuluGia > 2021-09-22 10:58 | Report Abuse
Looks like it will go further down.