Bursa Malaysia opened on a firmer note on Wednesday, offering investors a degree of relief after enduring six consecutive sessions of decline. The FTSE Bursa Malaysia KLCI (FBM KLCI) advanced by 3.85 points to 1,507.10 at the opening bell, easing immediate concerns over a potential breach of the 1,500-point psychological threshold.
The moderate rebound was seen as a response to pent-up bargain-hunting activity, with the index appearing oversold after an extended downtrend. Nonetheless, broader market sentiment remains cautious, weighed down by persistent net foreign outflows and a tepid corporate earnings outlook.
TA Securities Research attributed the subdued investor mood to underwhelming first-quarter earnings from local corporates, compounded by weaker-than-expected manufacturing data from China—Malaysia’s largest trading partner. These developments have further clouded the market’s near-term direction and dampened risk appetite.
“Immediate index support stays at 1,490, while stronger supports can be found at 1,465 and 1,444. Immediate resistance is kept at 1,564, with subsequent upside hurdles located at the recent high of 1,586, followed by 1,610,” the firm stated in its technical outlook.
Wednesday’s early gains were supported by key blue-chip counters. Nestle (Malaysia) Bhd led the rebound, rising 30 sen to RM78.90. Kuala Lumpur Kepong Bhd added 10 sen to RM19.74, while Hong Leong Financial Group Bhd edged up eight sen to RM16.38.
Among actively traded stocks, KNM Group Bhd slipped 0.5 sen to three sen, while Avangaad remained unchanged at 28 sen and Sunview Group Bhd held steady at 38 sen.
Despite the technical rebound, analysts continue to caution against over-optimism, pointing to external headwinds and structural weaknesses within the domestic market as limiting factors for sustained recovery.
-The Star
