Market outlook remains optimistic

The Malaysian market remained cautious as the FBM KLCI (-0.1%) edged lower, diverging from positive trends in regional markets. With half of the key index components in red and the energy sector (-1.7%) underperforming amid weaker crude oil prices, cautiousness continues to persist. Meanwhile, lower liners saw mixed performance.

Optimistic market outlook

In the global scene, U.S. markets closed higher on the back of a robust 3% GDP growth for 2Q24 and lower-than-expected jobless claims. European and Asian markets, especially China and Hong Kong, advanced due to optimism over potential economic stimulus from China.

Key economic data

Market outlook remains optimistic with potential momentum resuming, taking cues from Wall Street’s positive close. However, local stocks may still experience volatility due to a lack of fresh catalysts. Key economic data from the EU and the U.S. will also be watched closely. Sectors like technology may rebound, while oil and gas counters may face continued pressure from lower oil prices due to Saudi Arabia’s decision to increase production.

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