KUALA LUMPUR: A mixed result on Wall Street overnight was enough to trigger a long-awaited rebound on the FBM KLCI, as investors halted a rout that saw the index shave 57 points since the start of the year.
At the opening bell, the benchmark index bounced 7.38 points higher to 1,592.97, although it was notably still below the 1,600-point key psychological level.
Gamuda was the leading gainer in early trade, jumping 21 sen to RM5, while index heavyweight Maybank shored up gains with an eight sen increase to RM10.16.
PETRONAS Dagangan rose 28 sen ot RM19.54 while there was some respite for YTL Power, climbing nine sen to RM4.09.
Of actives, Velocity rose 0.5 sen to 8.5 sen, TWL dropped 0.5 sen to 2.5 sen and Itronic gained 0.5 sen to four sen.
Rakuten Trade said in its market overview that investors are resetting their invest strategy in view of the recent sell-down.
In view of President-elect Donald Trump's return on Jan 20, investors are opting to stay sidelined, which the research firm said provides a good opportunity to bargain hunt.
"For today, we anticipate the index to hover within the 1,580-1,595 range," it said.
In its daily report, Malacca Securities Research noted that the local bourse may continue to experience volatility due to the announcement of the US's chip export curb.
However, trading opportunities may emerge within the O&G sector, supported by US sanctions on Russian oil and declining US inventories, which continue to drive a rebound in Brent crude oil.
In the technology sector, the upside potential may be limited following the recent announcements by President Joe Biden, but the research firm anticipates some oversold buying opportunities in the EMS, OSAT and ATE players, driven by a strengthening dollar.
Additionally, it said Gamuda will boost sentiment in the construction sector.
Lastly, Malacca Securities remains positive on property stocks in Johor following the JS-SEZ initiatives.
