business
Bursa to continue upward momentum next week
Bursa Malaysia is expected to continue its upward momentum next week, mostly driven by the further strengthening of crude oil prices.
Affin Hwang Investment Bank vice-president and retail research head Datuk Dr Nazri Khan Adam Khan said the local index was also expected to benefit from the stimulus programmes from China, Japan and Europe in the near term.
After reaching the highest level since December 2015, Nazri said the index was expected to further increase next week and break the 1,700-point level.
"The market sentiment has improved, with the Brent crude oil increased to two-month high of US$37 per barrel. We expect the FBM KLCI would benefit from the positive sentiment," he told Bernama.
He said solid US economic data would also build up investor confidence in the riskier assets as well as the local currency.
"We believe the local index could touch the 1,800 points by year-end," he said.
On the domestic front, Nazri said, the coming Sarawak's election was expected to support the FBM KLCI, with Cahaya Mata Sarawak to be among the key stocks next week.
The ringgit closed higher at 4.1175/1225 against the US dollar on Friday, from the 4.2010/2070 last week.
On a weekly basis, the FBM KLCI finished 29.05 points higher at 1,691.49 due mostly to the strengthening of the global oil prices.
The FBM Emas Index surged 182 points to 11,722.64, FBMT100 Index rose 185.30 points to 11,430.73 and the FBM Emas Shariah Index soared 114.11 points to 12,424.29.
The FBM 70 jumped 170.41 points for 12,946.53. The FBM Ace eased 6.52 points to 5,684.08.
On a sectoral basis, the Plantation Index decreased 18 points to 7,819.09, Industrial Index advanced 42.35 points to 3,291.82 and the Finance Index rose 335.45 points to 14,363.96.
Weekly turnover rose to 8.67 billion units worth RM10.37 billion from 8.39 billion units worth RM8.76 billion last week.
Main market volume strengthened to 6.14 billion shares valued at RM10.18 billion from 5.39 billion shares valued at RM8.25 billion last Friday.
Warrants turnover increased to 993.77 million units worth RM198.11 million from 866.76 million units worth RM180.39 million previously.
The ACE market volume fell to 1.41 billion shares worth RM261.30 million from 2.12 billion shares worth RM302.42 million last Friday. – Bernama, March 5, 2016.
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