FBM KLCI remains sideways as wait for leads continues

KUALA LUMPUR: The FBM KLCI is expected to continue trading in a range-bound motion as traders await the release of blue-chip earnings over the coming weeks.
TA Securities said the muted tehcnical momentum and subdued trend indicators on the index point to a continued phase of sideways consolidaiton in the near term.
"Investor sentiment is likely to remain cautious, with market participants staying on the sidelines while awaiting fresh domestic catalysts to reignite buying interest," it said in its outlook.
Meanwhile, the research firm also expects risk appetite to stay restrained amid growing uncertainty over the Federal Reserve's interest rate path, exacerbated by signs of a softening US labour market.
Additionally, the prolonged US government shutdown is expected to continue delaying the release of key economic data, which will further cloud the global macroeconomic outlook.
At the open, the FBM KLCI rose 2.4 points to 1,621.53 after ending the previous week with three consecutive days of losses.
There was some buying interest in bank stocks, spurred by a return to dividend plays.
CIMB rose three sen to RM7.56, RHB gained six sen to RM6.83 and AMMB aded one sen to RM5.76.
Among active counters, MMAG was flat at 8.5 sen, ECA rose one sen to 23 sen and Pharmaniaga gained one sen to 27.5 sen.

Sumber : thestar.com.my