Locally, the FBM KLCI to remain lacklustre today thus expect the index to trend between the 1,375-1,390 range.
Technology stocks may face some headwinds today judging by the steep fall on Nasdaq last Friday. Meanwhile, the Brent crude eased to below the USD93/barrel on concerns of weakening demand globally, says Rakuten.
FBM KLCI closed higher tracking positive performance on Wall Street last Thursday.
The benchmark index rose 0.66% or 9.11 points to end at 1,382.47 with gainers led by NESTLE, KLK and PETGAS. Market breadth was positive with 481 gainers against 335 losers while 407 remain unchanged. Total volume stood at 2.25bn shares valued at RM1.76bn.
Wall Street Lower
Wall Street closed sharply lower amid interest hike fears. The DJIA slumped 1.34% to finished down at 29,634.83. S&P500 and Nasdaq dived 2.37% and 3.08% to end at 3,583.07 and 10,321.39 respectively.
Wall Street was unable to sustain Thursday’s rebound weighed by profit taking activities as the US 10-year yield broke past the 4.0% level to 4.02%. The DJI Average lost 404 points while the Nasdaq declined by 328 points.
"In view of the heightened volatility, we expect regional markets to follow suit as we anticipate some selling pressure today after a strong performance last Friday," analysts say.
Key regional markets were broadly higher after Wall Street rallied last Thursday. Nikkei 225 soared 3.25% to close at 27,090.76 while STI ended flattish with 0.03% lower to 3,039.61. HSI and SHCOMP gained 1.21% and 1.84% to end at 16,587.69 and 3,071.99 respectively.