Bursa set to re-test historical peak
There could be buying opportunities, especially among battered mid-caps and lower liners following their recent corrections.
KUALA LUMPUR: Shares on Bursa Malaysia are likely to stay range bound this week, but backed by some improving sentiment as Greece had agreed to a five-year austerity plan.
The plan was part of an effort to prevent Greece from falling into bankruptcy.
Bursa Malaysia is expected to re-test the historical peak, of which a break would send the bulls to unknown territory, analysts said.
Losses in the local market could also be limited as fund managers make adjustments to their portfolios and institutions prop up their mid-year performance.
There could also be buying opportunities, especially among battered mid-caps and lower liners following their recent corrections.
The FBM KLCI's rebound from the 1,543.56-point level on June 14 had been constructive and has the potential to challenge the all-time high of 1,576.95, if not breach the barrier after two previous attempts.
For the week just ended, the benchmark index stayed firm at its crucial 1,560 level and traded range bound before closing the week higher on buying support from selected heavyweights, especially Maybank and CIMB.
However, with no near term catalyst in sight and sluggish performance continues to loom the global front, this attempt may be a challenging feat.
Domestically, fundamentals and earnings remained intact with the key index showing resilient price performance with a mere 0.8 per cent slide against bigger markets, namely Dow Jones at 6 per cent and Nikkei suffering 11 per cent losses for this year.
The proposed listing of MSM Malaysia tomorrow would have some positive impact on Bursa Malaysia to offset battered sentiment following the failed merger plan of RHB Capital Bhd.
This follows the decision of the country's two biggest lenders, Maybank and CIMB to stop talks with RHB Capital.
For the week ended, the benchmark index ended the week 1.20 points higher at 1,564.66. The weekly volume increased to 4.6 billion shares worth RM7.64 billion from 4.12 billion shares worth RM7.81 billion in the previous week.
KUALA LUMPUR: Shares on Bursa Malaysia are likely to stay range bound this week, but backed by some improving sentiment as Greece had agreed to a five-year austerity plan.
The plan was part of an effort to prevent Greece from falling into bankruptcy.
Bursa Malaysia is expected to re-test the historical peak, of which a break would send the bulls to unknown territory, analysts said.
Losses in the local market could also be limited as fund managers make adjustments to their portfolios and institutions prop up their mid-year performance.
There could also be buying opportunities, especially among battered mid-caps and lower liners following their recent corrections.
The FBM KLCI's rebound from the 1,543.56-point level on June 14 had been constructive and has the potential to challenge the all-time high of 1,576.95, if not breach the barrier after two previous attempts.
For the week just ended, the benchmark index stayed firm at its crucial 1,560 level and traded range bound before closing the week higher on buying support from selected heavyweights, especially Maybank and CIMB.
However, with no near term catalyst in sight and sluggish performance continues to loom the global front, this attempt may be a challenging feat.
Domestically, fundamentals and earnings remained intact with the key index showing resilient price performance with a mere 0.8 per cent slide against bigger markets, namely Dow Jones at 6 per cent and Nikkei suffering 11 per cent losses for this year.
The proposed listing of MSM Malaysia tomorrow would have some positive impact on Bursa Malaysia to offset battered sentiment following the failed merger plan of RHB Capital Bhd.
This follows the decision of the country's two biggest lenders, Maybank and CIMB to stop talks with RHB Capital.
For the week ended, the benchmark index ended the week 1.20 points higher at 1,564.66. The weekly volume increased to 4.6 billion shares worth RM7.64 billion from 4.12 billion shares worth RM7.81 billion in the previous week.
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