FX.co ★ Malaysia Stock Market May Add To Its Winnings On Thursday

The Malaysian stock market has experienced gains over two consecutive sessions, accumulating over 7 points or 0.4 percent in total. Currently, the Kuala Lumpur Composite Index (KLCI) stands just under the 1,620-point mark and appears set to continue its upward trajectory on Thursday.

The global outlook for Asian markets is positive, bolstered by technology stocks as investors anticipate key inflation data. Both European and U.S. markets closed higher, setting a favorable precedent for Asian markets.

On Wednesday, the KLCI closed with a modest gain, influenced by mixed performances across financial, plantation, and telecom sectors. Specifically, the index climbed 3.96 points or 0.25 percent to finish at 1,618.38, with a trading range between 1,613.65 and 1,620.83.

Among the active stocks, Axiata fell by 1.97 percent, while Celcomdigi increased by 0.56 percent. CIMB Group saw a significant boost of 1.72 percent, whereas Genting decreased by 0.66 percent. Genting Malaysia and Maybank both dropped by 0.40 percent. IOI Corporation declined by 0.54 percent, and Kuala Lumpur Kepong rose by 0.40 percent. Maxis gained 0.87 percent, MISC fell by 0.91 percent, MR DIY dropped by 0.52 percent, and Petronas Chemicals slid by 0.80 percent. PPB Group advanced by 0.85 percent, Press Metal rose by 0.50 percent, and Public Bank collected 0.73 percent. RHB Capital eased by 0.18 percent, while Sime Darby sank by 0.75 percent. SD Guthrie rallied 1.45 percent, Sunway slipped by 0.25 percent, Telekom Malaysia soared 1.76 percent, Tenaga Nasional was down by 0.14 percent, YTL Corporation surged 1.62 percent, YTL Power added 0.58 percent, and QL Resources, IHH Healthcare, and Petronas Gas remained unchanged.

The trend from Wall Street is predominantly positive, with major indices starting flat but progressively gaining strength throughout the session to close with significant gains. The Dow jumped 429.39 points or 1.09 percent to end at 39,721.36, while the NASDAQ surged 218.16 points or 1.18 percent to a record 18,647.45, and the S&P 500 increased by 56.93 points or 1.02 percent, closing at a record 5,633.91.

The rally on Wall Street was driven by the strong performance in the technology sector, particularly evident in the tech-heavy NASDAQ's advance. Investors might also be optimistic about interest rate cuts in anticipation of key consumer price inflation data to be released later today.

Federal Reserve Chair Jerome Powell, during congressional testimony, indicated that favorable data would enhance the Fed's confidence in inflation sustainably approaching the 2 percent target, potentially paving the way for an interest rate cut.

Oil futures saw an increase on Wednesday after data revealed a larger-than-expected decline in U.S. crude inventories. Specifically, West Texas Intermediate Crude oil futures for August closed higher by $0.69, reaching $82.10 per barrel.