Omicron has an article, the stock of rubber gloves is up. Don't know if you want to be happy or sad?
‘I just want to ask which raya this year, all Intraday.my readers are a bit?’-Lola Aspalela.
Shares of the rubber glove maker soared on Monday, led by Top Glove Bhd following a new wave of Omicron worldwide.
Top Glove was the most profitable and most actively traded counter with an increase of 28 sen or 12.9% to RM2.46 and a total of 42.42 million shares traded.
Hartalega Holdings Bhd also recorded a profit with its shares adding 37 sen or 6.61% to RM5.97.
Next, Supermax Corporation Bhd and Kossan Rubber Industrial Bhd were also on an uptrend with Supermax jumping 8 sen or 6.35% at RM1.34 while Kossan advanced 9 sen or 4.92% at RM1.92.
Careplus Group Bhd added 9.5 sen or 10.05% to RM1.04, Comfort Gloves Bhd and Rubberex Corp (M) Bhd rose 6.5 sen or 6.74% to RM1.03 while Rubberex expanded 2.5 sen or 5% to 53 sen.
Fortress Capital Asset Management Chief Executive Officer (CEO) Thomas Yong noted the new wave of Omicron around the world has raised expectations that high demand for gloves will remain longer than initially expected.
Apart from that, the CEO of Areca Capital Sdn Bhd, Danny Wong thinks that the upward trend in glove stocks is due to the sharp increase in Covid-19 cases in Malaysia over the past 2 to 3 days.
Malacca Securities Sdn Bhd senior analyst Kenneth Leong opined that the rise in glove shares was a reaction to the increase in Omicron cases in Malaysia and other countries.
Rakuten Trade's head of research, Kenny Yee, is of the view that the uptrend in glove stocks is just a surprise reaction to the rise in the Covid-19 case and advises investors not to be too enthusiastic.
According to media reports, there has been an increase of more than 100,000 deaths from Covid-19 cases since December 12 while in Malaysia, Covid-19 cases have reached the highest level of more than 10,000 cases since October 2 last year.
Meanwhile, Health Minister Khairy Jamaluddin stated that Malaysia is currently experiencing an Omicron wave full of new cases expected to reach 15,000 cases soon.
