Bursa Malaysia likely to trade with upside bias next week, FBM KLCI seen in 1,710-1,740 range

KUALA LUMPUR, Aug 1 — Bursa Malaysia is expected to trade with an upside bias next week, supported by resilient corporate earnings, improving foreign fund inflows, and easing concerns over global trade.

Rakuten Trade Sdn Bhd vice-president of equity research Thong Pak Leng expects the FTSE Bursa Malaysia KLCI (FBM KLCI) to remain on a gradual upward trajectory and trade within the 1,710-1,740 range, aided by continued institutional and foreign buying interest.

“Entering August, which is the corporate earnings season, market sentiment could improve if companies deliver results that exceed expectations,” he told Bernama.

Nonetheless, he said investors will continue to monitor developments surrounding the US monetary policy, geopolitical risks, and commodity price movements which could influence market direction.

On another note, several key US economic indicators are due for release next week, including the ISM Services PMI, Job Openings and Labor Turnover Survey (JOLTS), nonfarm payrolls, and the unemployment rate, all of which are expected to influence market sentiment.

On a Friday-to-Friday basis, the FBM KLCI rose 23.88 points to 1,724.90 from 1,701.02 a week earlier.

On the index board, the FBM Mid 70 Index expanded 244.96 points to 18,135.79 and the FBM ACE Index gained 47.81 points to 4,974.68, the FBM Emas Index jumped 162.25 points to 12,751.79, the FBMT 100 Index leapt 173.15 points to 12,585.11, and the FBM Emas Shariah Index advanced 152.04 points to 12,596.29.

By sector, the Financial Services Index surged 270.53 points to 20,327.11, and the Industrial Products and Services Index added 0.88 of a point to 188.74, while the Plantation Index slid 12.41 points to 9,288.57, and the Energy Index inched down 8.11 points to 765.72.

Weekly turnover decreased to 14.36 billion units worth RM13.12 billion from 16.43 billion units worth RM12.09 billion a week earlier.

The Main Market volume declined to 7.06 billion units valued at RM11.63 billion against 9.01 billion units valued at RM10.72 billion previously.

Warrants turnover edged up to 4.95 billion units worth RM650.82 million versus 4.94 billion units worth RM621.21 million last week.

The ACE Market volume narrowed to 2.30 billion units valued at RM832.72 million compared with 2.44 billion units valued at RM741.42 million in the previous week. — Bernama