KUALA LUMPUR: The movements on Bursa Malaysia are expected to stay cautious as investors look towards the release of US inflation data and the Federal Reserve’s rate decision.
At the opening bell, the FBM KLCI was up 1.13 points to 1,437.02, holding on to gains made over the last three trading days amid expectations that the US central bank could signal that its rate hike cycle was coming to an end.
As it stands, lower inflation numbers coming out of China and expectations that Asian central banks are ready to take pause on interest rate hikes are buoying investor sentiment in the region.
On the Malaysia bourse, TA Securities Research suggested that the recent buying interest could continue owing to recent developments.
“Stocks could be buoyed by hopes the recent interest rate upcycle in Asia may end soon due to reducing inflationary pressures, while oil & gas related stocks attract bargain hunters due to the firm oil price trend,” it said in its market commentary.
“On the index, immediate overhead resistance stays at 1,450, followed by the easing 200-day moving average level at 1,457, with 1,500, and then 1,512 as stronger resistance levels.
“Key chart supports are from the recent low of 1,391, and last October’s low of 1,372.”
On the blue chip index, Maybank was seen losing steam, falling five sne ot RM8.68.
PETRONAS Chemicals shaved eight sen to RM7.30, Tenaga Nasional lost five sen to RM9.08 and Press Metal dropped five sen to RM5.10.
Revenue Group, which yesterday gave its assurance to stakeholders that its operations remain unaffected by the ongoing boardroom tussle, rose six sen to 33 sen.
Meanwhile, Revenue’s newly appointed group executive director, Francis Leong Seng Wui, resigned from the board of Classita Holdings amid allegations of witness intimidation in a lawsuit against Classita. Classita’s share price rose 1.5 sen to 19 sen.
Both Revenue and Classita were among the top traded stocks with 55.48 million and 16.56 million shares exchanging hands respectively.
Other actively traded stocks included Hong Seng up 0.5 sne ot 13 sen and Salute climbing 3.5 sen to 75 sen. – The Star