BELOW are excerpts of viewpoints from two selected research houses on what investors can expect in the day ahead:
Berjaya Research
The FBM KLCI reversed all its intraday gains to close lower as the key index marked its third straight session of losses, weighed down by profit-taking activities during the second half of yesterday’s trading session.
The decline was primarily driven by selling pressure in selected plantation and banking heavyweights.
Despite market sentiment turning sour, trading volume rose to 3.3 billion shares, up from 3 billion in the previous session, reflecting heightened selling activities.
Lingering uncertainties surrounding the on-going US-Malaysia trade negotiations will continue to weigh on market sentiment.
As the deadline for an agreement approach, the lack of tangible progress has reinforced a cautious tone among investors.
Looking ahead, attention will also shift to the US Federal Reserve’s interest rate decision later tonight.
While the Fed is widely expected to maintain its current stance, markets will be closely watching for any signals on the timing of future rate cuts.
Technically, the FBM KLCI has formed another bearish candle stick after reversing all its intraday gains to remain within the consolidation band.
Amid the prevailing downward bias tone, the key index looks to head towards the immediate support at 1,518 points, followed by 1,511 points. Meanwhile, the 1,540 level will serve as the near-term resistance, followed by 1,550 points.
Malacca Securities Research
Taking a cue from Wall Street’s overnight performance, the local bourse may open on a weaker note.
However, with the spike in Brent oil price, we believe traders may shift their attention to the oil & gas (O&G) sector.
Meanwhile, we still like selected utilities stocks like KJTS Group Bhd, MN Holdings Bhd and UUE Holdings Bhd, supported by Tenaga Nasional Bhd’s capex on power grid upgrades and on-going roll-out of data centre packages.
Besides, IGB Commercial REIT’s earnings came in above our expectations, driven by robust occupancy rates could see potential buying interest.
The local bourse reversed its early gains on Tuesday with technical indicators showing mixed signals at the current juncture; the MACD histogram has expanded above zero while the RSI has hooked below the 50 level.
Resistance is anticipated around 1,538-1,543 while support is located at 1,503-1,508. – July 30, 2025
