M+ Market Wrap - 21Jan25

FBM KLCI: 1,580.46 pts (+8.12pts, +0.52%)
The FBMKLCI (+0.52%) continued its winning streak for the third consecutive day, closing higher at 1580.46 pts, with gains in PMETAL (+20.0 sen) and YTL (+14.0 sen) led the key index higher. As President Trump refrained from imposing tariffs on his first day in office, it has led to bullish sentiments in the region. The market breadth was also positive, with 665 winners against 372 losers. In the broader market, Construction (+1.97%) sector emerged as the top performing sector, driven by IJM (+14.0 sen) and SUNCON (+19.0 sen), while REIT (-0.03%) was the only sector ended in the negative territory.

Top 3 Active stocks:
HM (0060): RM0.170 (+0.5 sen)
CBHB (0339): RM0.365 (+5.0 sen)
TWL (7079): RM0.025 (unch)

Volume: 3.43 bn (100-bar avg vol: 3.01 bn)
Value: RM2.61 bn (100-bar avg val: RM2.81 bn)
Market Breadth: ⬆️665 ⬇️372
Crude palm oil: RM4,235 (+RM29)
Dow Futures: 43,833 pts (+138 pts)

**Source: Bloomberg, M+**

M+ Morning Market Buzz - 23Jan25

Dow Jones: 44,156.73 pts (+130.92pts, +0.30%)
⬆️ Resistance: 45100
⬇️ Support: 42300

FBM KLCI: 1,587.80 pts (+7.34pts, +0.46%)
⬆️ Resistance: 1630
⬇️ Support: 1520

HSI Index: 19,778.77 pts (-327.78pts, -1.63%)
⬆️ Resistance: 20700
⬇️ Support: 19000

Crude Palm Oil: RM4,208 (-RM27, -0.64%)
⬆️ Resistance: 4370
⬇️ Support: 4030

Brent Oil: $79.00 (-$0.29, -0.37%)
⬆️ Resistance: 84.30
⬇️ Support: 76.90

Gold: $2,756.48 (-$0.65, -0.02%)
⬆️ Resistance: 2820
⬇️ Support: 2640

Source: Bloomberg, M+

M+ Market Update – 23Jan25
Focus Remains on RE and Data Center Themes

The local bourse continued to close higher, supported by Malaysia’s CPI growth of 1.7% for December (below consensus estimate of 1.8%), coupled with BNM’s decision to keep the OPR unchanged. In the US, markets closed higher, driven by optimism about potential tax cuts and a relatively stable economic outlook under President Trump as well as Netflix’s blowout quarterly results. Investors will also access the initial jobless claims later today. In the commodities market, Brent crude oil stayed below the USD80 mark, while gold price traded flat along USD2750 level. Meanwhile, CPO prices have crossed below RM4,200 level.

Sector Focus: With PM Anwar reiterating that Malaysia is still committed to the Paris Agreement despite the US's exit from the climate pact, coupled with Malaysia serving as the ASEAN 2025 chair and various government RE initiatives, we remain optimistic about the Renewable Energy sector. Besides, the upcoming CNY festive season and the commencement of Sumbangan Tunai Rahmah cash payments will benefit the Consumer, Aviation, and Tourism sectors. On the data center theme, we expect a continuation of the rebound this week after last week’s sell-off.

Stocks to watch:

Technology: ADB, *AWANTEC*, CLOUDPT, EG, *RAMSSOL*
Property: *VLB*
Construction: *INTA*
Utility: *PEKAT*

Source: M+

M+ Market Wrap - 23Jan25

FBM KLCI: 1,577.20 pts (-10.60pts, -0.67%)
In tandem with the regional markets’ selloffs, the FBMKLCI (-0.67%) snapped its 4-days winning streak to close lower at 1577.20 pts, dragged down by the banking heavyweights. All eyes were on the listing of KOPI (+43.5 sen) today, which share price achieved more than 100% intraday gain from the issue price of 44.0 sen, reaching an intraday high of 98.5 sen before closing lower at 87.5 sen. Market breadth was also negative, with 671 losers against 283 winners. In the broader market, all sectors ended negatively except REIT (+0.10%). Meanwhile, the Energy (-1.45%) sector declined the most.

Top 3 Active stocks:
KOPI (0338): RM0.875 (+43.5 sen)
EAH (0154): RM0.010 (+0.5 sen)
CBHB (0339): RM0.370 (+2.0 sen)

Volume: 3.24 bn (100-bar avg vol: 3.00 bn)
Value: RM2.75 bn (100-bar avg val: RM2.77 bn)
Market Breadth: ⬆️283 ⬇️671
Crude palm oil: RM4,183 (-RM25)
Dow Futures: 44,318 pts (-35 pts)

**Source: Bloomberg, M+**

2025 Eye on the Market Outlook
—> https://tinyurl.com/2h9xs4ad

M+ Market Wrap - 24Jan25

FBM KLCI: 1,573.73 pts (-3.47pts, -0.22%)
Despite the upbeat across the regional market, the FBMKLCI (-0.22%) bucked the trend and closed lower at 1573.73 pts, dragged down by YTLPOWR (-44.0 sen) and YTL (-26.0 sen). The YTL-related counters suffered from strong selloffs following the Group’s plan to issue non-tradeable warrants, as investors worry about dilution concerns due to the increase in the share base. The market breadth was also negative, with 654 losers against 314 winners. In the broader market, the Telecommunications & Media (+0.46%) gained the most, led by CDB (+5.0 sen) and MAXIS (+3.0 sen), while Utilities (-2.67%) declined the most due to the selloffs in the YTL-related counters.

Top 3 Active stocks:
KOPI (0338): RM0.850 (-2.5 sen)
YTL (4677): RM2.120 (-26.0 sen)
GAMUDA (5398): RM4.190 (-10.0 sen)

Volume: 3.01 bn (100-bar avg vol: 2.99 bn)
Value: RM3.06 bn (100-bar avg val: RM2.74 bn)
Market Breadth: ⬆️314 ⬇️654
Crude palm oil: RM4,227 (+RM37)
Dow Futures: 44,751 pts (+2 pts)

**Source: Bloomberg, M+**

M+ Morning Market Buzz - 27Jan25

Dow Jones: 44,424.25 pts (-140.82pts, -0.32%)
⬆️ Resistance: 45500
⬇️ Support: 42700

FBM KLCI: 1,573.73 pts (-3.47pts, -0.22%)
⬆️ Resistance: 1630
⬇️ Support: 1540

HSI Index: 20,066.19 pts (+365.63pts, +1.86%)
⬆️ Resistance: 20700
⬇️ Support: 19300

Crude Palm Oil: RM4,216 (+RM26, +0.62%)
⬆️ Resistance: 4370
⬇️ Support: 4050

Brent Oil: $78.50 (-$0.18, -0.23%)
⬆️ Resistance: 82.90
⬇️ Support: 76.10

Gold: $2,770.58 (-$3.18, -0.11%)
⬆️ Resistance: 2850
⬇️ Support: 2640

Source: Bloomberg, M+

M+ Market Update – 27Jan25
Bargain Hunting May Be Seen In YTL Stocks

The local bourse closed lower, dragged down by sell-offs in YTL-related counters following the issuance of a 1-for-5 non-tradable warrant, which is seen as an inflexible corporate exercise. In the US, Wall Street closed lower ahead of the FOMC meeting, which is expected to provide clarity on the direction of future rate cuts. Traders will closely monitor key economic data, including (i) US economic growth, (ii) unemployment claims, and (iii) the core PCE index. In the commodities market, Brent crude oil remained below USD80, while gold prices closed higher, surpassing the USD2,750. CPO prices traded flat around RM4,200.

Sector Focus: With the proposition of issuing bonus warrants for YTL-related counters, where the exercise price is set at RM2.45 for YTLPOWR, we believe bargain-hunting opportunities will emerge if there is further retracement. Meanwhile, with the recent announcement from the Ministry of Communication, we believe that the 67 identified industrial areas set to be equipped with 5G facilities will benefit companies involved in underground utilities work, at least in the mid-term. Also, we are positive on the ongoing NETR and LSS projects, coupled with the data center boom, which are expected to drive higher electricity demand in the RE segment.

Stocks to watch:

Financial: *ABMB*, *AMBANK*, MAYBANK
Utility: *KENERGY*, *PEKAT*
Technology: *CORAZA*
Consumer: *FOCUSP*
Logistics: WPRTS

Source: M+

Eco World Development Launches New Lifestyle Hub

Eco World Development Group (ECOWLD) officially launched the Tuah 1895 dining and lifestyle hub on 24 Jan’25 at the Bukit Bintang City Centre (BBCC) mixed-use development in Pudu, Kuala Lumpur.

The project was developed by BBCC Development, a joint venture (JV) between EcoWorld Malaysia, UDA Holdings, and the Employees Provident Fund (EPF), featuring a total net lettable area of 45,000 sq ft.

BBCC Development’s CEO also announced at the opening ceremony that another project will be due launch next month.

Investors optimistic about the growth of ECOWLD and its joint ventures may explore Call Warrants like ECOWLD-C35 to gain leveraged exposure over ECOWLD.

#DailyHighlights

UOBKH Malaysia Trading Idea
27 January 2025
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*Corporate news*

A JV between *Gamuda Bhd* and Ferrovial (GFJV) has inked an early contractor involvement (ECI) agreement with Capricornia Energy Hub (CEH) for a hydroelectric storage project in Queensland, Australia. CEH is backed by Copenhagen Infrastructure Partners, one of the world's largest clean energy investors. (The Edge Malaysia)

A consortium led by Khazanah Nasional Bhdhas received valid acceptances of 1.5bn shares or 92.8% of the total number of issued shares in *Malaysia Airports Holdings Bhd* on its conditional voluntary offer for shares of the airport operator, better known as MAHB. (The Edge Malaysia)

TH Properties and *Affin Bank Bhd* have entered into a strategic partnership to introduce flexible home financing solutions aimed at young homebuyers and property investors. (The Edge Malaysia)

*Taghill Holdings Bhd*, formerly known as Siab Holdings Bhd, has secured a RM152m construction job in Kuantan, Pahang. (The Edge Malaysia)

Packaging manufacturer and developer *Scientex Bhd* on Friday said it is acquiring 528.5 acres of land in Paya Rumput, Melaka for RM333.8m cash (RM14.50 per sq ft) from *Genting Plantations Bhd*. (The Edge Malaysia)

*Petronas* has transferred the operatorship of the Kebabangan Cluster production sharing contract (KBBC PSC) to ConocoPhillips Sabah Gas Ltd, a subsidiary of ConocoPhillips, a global energy company. (The Edge Malaysia)

*Resources Corp Bhd* is partnering with Melaka Corp to develop a hospital on a parcel of land in Melaka Tengah, that will have an estimated gross development cost of RM520m. (The Edge Malaysia)

*Solid Automotive Bhd*'s (SAB) wholly- owned subsidiary Part Center Sdn Bhd (PC) has entered into Sale and Purchase Agreements (SPAs) with two land owners to buy two plots of land, both measuring 1.9 hectares (4.7 acres) in Kapar, Klang. (The Edge Malaysia)

Building and infrastructure construction services provider *TCS Group Holdings Bhd* saw the emergence of a new substantial shareholder. James Liew Vun Tak acquired an 11.9% stake, equivalent to 71.5m shares, through a direct business transaction on Friday. The shares were purchased from TCS’ managing director and largest shareholder, Datuk Tee Chai Seng, at 16 sen per share, amounting to RM11.4m, the group's bourse filings show. (The Edge Malaysia)

Building materials and construction engineering firm *Chin Hin Group Bhd* has proposed to acquire an additional 37.4m shares or a 12.3% stake in metal roofing and safety glass maker *Ajiya Bhd* for RM54.2m or RM1.45 per share. Upon completion, the shares purchase will effectively raise Chin Hin’s stake in Ajiya to 66.4% from 54.1%. (The Edge Malaysia)


*27th Jan 2025*

Disclaimers: This distribution is by CGS International Securities Malaysia Sdn. Bhd. (“CGS MY”) in Malaysia only. The views are our own as of this date and subject to change. No further distribution is allowed without our prior written consent. CGS MY, its related corporations, affiliates and business partners make no recommendation, offer or invitation to transact in any securities, futures contracts or other instruments. Please make your independent evaluation, consider your own investment objectives and financial situation and consult your own professional advisers before participating in any transaction.

*Local Bourse Recap: Market Rebounds Amid CNY Effect*

- The *KLCI index* bounced back by 0.45% last week, despite institutional investors continued to sell down DC related mid and big caps, on the back of downgrades from brokers. Foreign investors continued to sell stocks in the local market with net outflows of ~RM700mn last week, despite MYR has strengthened against USD after US President Trump said to speed up rate cutting later. The performance of small and mid caps was mixed, as FBM Small Cap Index lost 0.07%, while ACE index gained 0.66%.

- The *industrial sector* was the top performer of the week, supported strong buying interest into PMETAL, backed by stable global aluminium price at ~USD2,600/tonne. The *plantation and telco sectors* were the other better performed sector of the week, as investors seek for defensive stocks amid market uncertainties, especially the potential surprise from Trump’s administration.

- The *technology sector* was the biggest laggard of the week, as investors reduced exposure from tech stocks amid upcoming lacklustre earnings to be announced later. The *construction sector* was another underperforming sector, as brokers downgraded the sector amid DC jobs risk.

- We believe that the share prices of DC related stocks will stabilize later, as investors assessed and digested the impact of DC chip export restriction by Biden’s administration. In fact, the DC small caps, i.e. M&E players, have actually bounced back last week after the correction. The market is expected to turn quiet next week due to CNY holiday.