HDBSVR sees KLCI testing the 1,650 level again

KUALA LUMPUR: Hwang DBS Vickers Research
(HDBSVR) expects the FBM KLCI to probably attempt to challenge the
immediate resistance level of 1,650 again on Friday after its flattish
performance on Thursday.
“Essentially, the benchmark index would
be striving to overcome profit-taking pressures after chalking up gains
of 45.5-point or 2.8% so far this month,” it said on Friday. Overnight
on Wall Street, key US indices rose between 0.3% and 0.8% on hopes that
the US Federal Reserve might pursue additional quantitative easing
measures amid disappointing economic reports. At Bursa Malaysia, there
could be added interest in Tenaga Nasional after the power utility recorded weak core profit in its latest quarterly result.
As for BAT, it posted above par earnings in the April-June quarter. Top Glove
could also see trading interest as it embarks on an aggressive
expansion plan by targeting to invest RM3bil over the next 15 years.