KUALA LUMPUR: Bursa Malaysia ended the morning session higher in tandem with Wall Street after the retail sales data came in stronger in November, coupled with this week's lower inflation data and the Federal Reserve (Fed) dovish comments.
At 12.30 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) improved 4.76 points to 1,461.02 compared with 1,456.26 chalked up at yesterday's close.
The FBM KLCI opened 0.31 of a point weaker at 1,455.95. and moved between 1,455.69 and 1,461.54 throughout the session.
On the broader market, gainers thumped losers 432 to 368, while 425 counters were unchanged, 1,113 untraded and 45 others suspended.
Turnover stood at 2.20 billion units valued at RM1.33 billion.
SPI Asset Management managing director Stephen Innes said global markets, including the FBM KLCI, continue to revel in the aftermath of the dovish stance adopted by the Fed.
This is particularly noteworthy, considering the substantial gains witnessed this week, he said.
"Nevertheless, as numerous Fed rate cuts are factored into the forecast for 2024, it becomes challenging to overlook the likelihood of investors conducting a thorough market temperature check.
"This is prompted by the growing discrepancy between the anticipated policies of the Fed and the market's expectations for rate cuts, currently standing at a significant 75 basis points difference or three cuts apart," he told Business Times.
"With this bullish tone in the US markets, we expect buying interest to
spillover towards stocks on the local front, especially the Technology sector.
"We also favour Healthcare - amid improving outlook on glove average selling price. Besides, we like the stability in the Banking sectors," said Malacca Securities Sdn Bhd.