FBM KLCI to hit 1,650 at end-2011: ECM
ECM Libra maintains its base-case FTSE Bursa Malaysia Kuala Lumpur Composite Index (FBM KLCI) target of 1,480 and 1,650 at the end of next year though the FBM KLCI retraced by about three per cent since hitting a high of 1,528.01 three weeks ago.
While the market seems to be fairly valued, it is still positive in the near term as foreign net equity inflows remain strong, said ECM LIbra.
"We are unfazed by it and believe the market will continue its uptrend in a more meaningful manner in the first quarter of 2011.
"This is driven by resilient domestic consumption, strong foreign net equity inflows, merger and acquisition activities and pre-election play," it said in a research note today.
In the best scenario, ECM Libra said FBM KLCI could potentially touch 1,870 by end of next year based on 17 times should the current liquidity-driven rally continue into 2011. - Bernama
"We are unfazed by it and believe the market will continue its uptrend in a more meaningful manner in the first quarter of 2011.
"This is driven by resilient domestic consumption, strong foreign net equity inflows, merger and acquisition activities and pre-election play," it said in a research note today.
In the best scenario, ECM Libra said FBM KLCI could potentially touch 1,870 by end of next year based on 17 times should the current liquidity-driven rally continue into 2011. - Bernama
Comments
Post a Comment