Investors may turn their focus to technology and financial stocks following the overnight rallies on Wall Street, Malacca Securities said in a note.
It said that the outlook for the plantation counters should remain bright amid a tighter supply environment in the global markets while the upside on the O&G counters may be capped over the near term following the retracement in oil prices.
Reviewing Bursa’s performance, it said that the FBM KLCI outperformed the mixed regional bourses despite the overnight negative performances on Wall Street, as bargain hunting activities took place.
With the rebound in Wall Street overnight amid the easing tension between Ukraine and Russia, the stockbroking house reckons that the gains on the local bourse could be extended, in most of the sectors that were being bashed down over the past month.
On the commodity markets, Malacca Securities said that crude oil cooled down after the positive progress between Ukraine and Russia and OPEC is willing to raise output, while palm oil price may stay elevated on the further restrictions of export in Indonesia that may lead to tighter supply of CPO in the global markets.
