FBM KLCI rises on Wall St rebound

KUALA LUMPUR: The momentum of Wall Street's rebound spilled over on to the global equities at Tuesday's open, giving the sluggish domestic market some upward lift.
At 9am, the benchmark FBM KLCI was up 1.65 points to 1,540.64, still tightly wound around a consolidation channel as investors awaited fresh catalysts.
According to TA Securities, the overnight rally on Wall Street should cushion the lack-luster local market today, but the undertone remains cautious as investors refrain from trading commitments in the absence of market direction.
"Immediate index support remains at 1,490, with stronger support found at 1,465 followed by 1,444. Immediate resistance stays at 1,564 with next upside hurdles seen at the recent high of 1,586, followed by 1,610 ahead," it said in a commentary.
Malacca Securities said it favoured the technology sector as the OPR cut and anticipated Federal Reserve rate easing are expected to lower borrowing costs for technology companies.
"Malaysian tech players remain exempted from US tariffs, with our top picks including Frontken, Vitrox and EG," it said in a note.
It added that Sunlogy's rally yesterday may spur spillover interest in other solar-related counters, supported by positive developments in the renewable energy space, including NETR and the 13MP.
Lastly, the research firm said investors may shift their attention to REIT s for domestic-focused exposure.
On the market today, Maybank rose nine sen to RM9.63 and Hong Leong Bank jumped eight sen to RM18.98.
Kelington jumped 17 sen to RM4.37 on reports the company is in talks with a client for a semiconductor hook-up project at a wafer fabrication plant in Dresden, Germany, potentially worth up to EUR50mil.
Meanwhile, Inari Amertron rose two sen to RM3.01.
Of actives, NexG dropped 0.5 sen to 53 sen, Pharmaniaga gained 0.5 sen to 18.5 sen and Top Glove fell 0.5 sen to 65 sen.

Sumber : thestar.com.my