Momentum is strong for stock market

KUALA LUMPUR: The bullish momentum is strong in the stock market at present in the market aided by several factors, said the managing director of Affin Hwang Capital Teng Chee Wai.

These factors were the impending general elections, and the strengthening ringgit, he said.

There was also a spillover effect from the positive trading sentiment on the Dow Jones Industrial Average, he added.

However at home, there is still a lack of earnings visibility on the benchmark index due to a lack of a variety of companies from different sectors, he said.

“There are not many exporters on the local bourse as we are mostly dominated by domestic focused stocks such as oil & gas, palm oil etc. in the past two years the exporters were the big beneficiaries,” Teng added.

He did not have a target per se for the FBM KLCI index saying that most of these targets were not usually practicable.