The sentiment on the local front may remain tepid ahead of the interest rate decision by the US Fed in the upcoming FOMC meeting, Malacca Securities said in a note.
It said that while market sentiment may remain cautious, investors may look out for bargain-hunting opportunities in REITs, consumer, and banking stocks. “Meanwhile, traders may look out for trading opportunities within the O&G sector as the crude oil price remains elevated above USD120 zone,” the stockbroking firm said.
On the local bourse, the FBM KLCI (+1.1%) snapped an 8-day losing streak on the back of bargain hunting activities after more than two-thirds of the key index components performed the relief rally.
It said that the lower liners rebounded, while the broader market closed mostly higher with the plantation sector (+2.3%) leading the pack.
On the global markets, it said that Wall Street remained downbeat as the Dow (-0.5%) fell ahead of the US Federal Reserve monetary policy decision with investors pricing in the potential of 75 basis points interest rate hike. The European stock markets also edged lower, while Asia stock markets ended mixed.
