With Wall Street taking a pause after a recent strong rebound, profit-taking activities may spill over to the local front, especially the technology stocks, Malacca Securities said in a note.
It said that investors may stay cautious in the anticipation of further sanctions against Russia, which may lift commodity prices another round. Crude oil jumped above the US$121 per barrel mark as the disruptions to the crude export via the Caspian pipeline fuelled worries over tighter global supplies. Meanwhile, CPO is traded above RM6,300.
On the sector focus, the stockbroking firm said that the soaring crude oil and CPO prices may trigger buying interest in the O&G and plantation sector.
Besides, Malacca Securities said that traders may look into aviation stocks amid the reopening of travel borders. Meanwhile, we do expect traders to focus on construction stocks following the release of Gamuda’s result.
On the performance of the market, it said that FBM KLCI swung higher as returned buying interest was noticed in banking and plantation heavyweights in the anticipation of the reopening of borders and firmer FCPO price
