KUALA LUMPUR (Bernama): Bursa Malaysia is expected to trend higher this week, with a cheaper valuation of the local bourse after profit-taking activities during the last two trading days this week may attract more foreign investors into the market.
Rakuten Trade Sdn Bhd equity research vice-president Thong Pak Leng said sentiment on the domestic front, however, may be cautious in view of increasing market risks and volatility on the global markets.
"Nevertheless, we believe valuations of the FBM KLCI remain cheap and still offer potential upside for investors.
"For next week, we expect the FBM KLCI to stay in consolidation mode and trend between 1,440 and 1,460 points. Technically speaking, we spot immediate resistance at 1,465 and support at 1,440,” he told Bernama.
For the week just ended, the FBM KLCI moved in a volatile trading pattern with a fair share of influence from domestic and external factors, including the announcement of the second quarter gross domestic product (GDP) as well as worries over the global economic outlook.
On a Friday-to-Friday basis, the FBM KLCI declined 11.07 points to end the week at 1,446.09 versus 1,457.16 a week earlier.
On the index board, the FBM Emas Index was 33.57 points weaker at 10,661.56, the FBMT 100 Index decreased 39.77 points to 10,347.53, the FBM Emas Shariah Index fell 45.20 points to 10,873.51, the FBM ACE Index erased 80.01 points to 5,264.14 while the FBM 70 Index expanded 112.59 points to 14,099.52.
Sector-wise, the Financial Services Index went down 42.88 points to 16,254.10, the Plantation Index dropped 91.43 points to 6,995.80, the Industrial Products and Services Index eased 0.09 of-a-point to 167.27, and the Energy Index slipped 16.27 points to 815.26.
Weekly turnover rose marginally to 15.57 billion units worth RM9.19 billion from 15.33 billion units valued at RM8.93 billion in the preceding week.
The Main Market volume improved slightly to 11.24 billion shares worth RM7.99 billion compared with 10.97 billion shares worth RM7.71 billion the previous week.
Warrant turnover was slightly higher at 1.69 billion units valued at RM251.44 million versus 1.64 billion units valued at RM251.87 million last week.
The ACE Market volume declined to 2.61 billion shares worth RM943.32 million from 2.68 billion shares worth RM963.61 million previously. - Bernama
