November 5, 2021

Bursa Malaysia Opens Higher Following Nasdaq Performance Overnight

 At 9.05am the benchmark FTSE Bursa Malaysia KLCI (FBM KLCI) jumped 6.65 points at 1,537.98 from Wednesday's close of 1,531.33 after seeing indications from the Nasdaq's overnight performance as investors assessed the Federal Reserve's (Fed) decision to begin month -end asset buying (tapering) this.

The index opened 4.44 points higher at 1,535.77.

The broader market saw gains outnumbering losses with 207 versus 154 while 293 counters were unchanged, 1,637 untraded and 19 suspended.

Total turnover at 187.68 units worth RM91.88 million.

A note issued by Malacca Securities Sdn Bhd said the Fed's move to introduce a reduction in bond purchases starting this month was in line with consensus expectations and overall market conditions in the United States (US) remained positive.

For the commodity market, crude palm oil (CPO) prices traded at RM5,000 per tonne while Brent oil prices traded less volatile at a daily level of US $ 84.88 or RM351.52 down US $ 81 at the time of this writing as Saudi Arabia's oil production reportedly exceeded 10 million barrels a day deck Covid-19 outbreak transmission.

So investors may consider recovery -themed sectors such as tourism and aviation while for the short term focus on the upcoming November report.

Heavyweights saw Malayan Banking Bhd (Maybank) up 3 sen at RM8.03, Public Bank Bhd up 1 sen at RM4.05, Petronas Chemicals (PetChem) up 2 sen at RM8.33 and Tenaga Nasional Bhd (TNB) up 4 sen sen at RM9.62 while IHH Healthcare remained at RM6.52.

Active stocks saw NMP Holding rise 2.5 sen at 32.5 sen, Scope Industries Bhd and Dagang NeXchange (DNeX) added 1 sen each at 39.5 sen and 79.5 sen while Sapura Energy Bhd and Tanco Holdings Bhd remained 10 sen and 27 sen respectively.

On the index board, the Emas index rose 52.12 points to 11,410.63, the FBMT 100 index increased 41.45 points to 11,026.18, the FBM Emas Shariah index added 66.99 points to 12,466.61 and the FBM ACE jumped 21.709 points to 7,129.21 while the FBM 70 reached 32.51 points to 15,123.71.

The Industrial Products and Services index increased 0.48 points to 203.53, the plantation index expanded 32.82 points to 6,821.32 and the financial services index drove 48.21 points to 15,235.30.