India’s move to cut tax on CPO imports and tighter output is likely to trend CPO prices higher which bodes well for the plantation sector, Malacca Securities said in a note. It said that the energy sector may also continue to ride onto the high crude oil prices.
The stockbroking house said that the technology sector is expected to remain choppy as quick profit-taking activities are emerging from the recent rebound.
Looking at the day ahead, it said that volatility would remain a feature as investors are uncertain of the direction of the interest rates direction, albeit it is less hawkish after the meeting yesterday
Reviewing yesterday’s performance, the stockbroking firm said that FBM KLCI (+0.3%) registered its fourth-day winning streak, boosted by gains in selected plantation and oil & gas heavyweights yesterday. Business Today had said yesterday that plantation and energy sectors are likely to stir the interest of investors.
Malacca Securities said that the lower liners, however, staged a pullback, while the broader market ended mixed with the technology sector (-2.5%) underperformed on the back of profit-taking activities.
