BELOW are excerpts of viewpoints from two selected research houses on what investors can expect in the day ahead:
Berjaya Research
The FBM KLCI rebounded marginally higher on Wednesday, recovering all of its intraday losses to brush off the renewed geopolitical tensions in the Middle East.
Trading activity improved to 2.96 billion shares from 2.69 billion shares in the prior session.
Market breadth, however, stayed negative with 627 decliners surpassing 460 advancers, reflecting continued risk aversion and broad-based profit-taking across the market.
The FBM KLCI could remain in a cautious bias tone over the near term as renewed geopolitical uncertainties in the Middle East and the hawkish tone from the latest US Federal Open Market Committee (FOMC) meeting minutes should inflation remains elevated continue to weigh on market sentiment.
The minutes reinforced expectations that the US Fed keeping interest rates elevated for longer, thus prompting investors to remain defensive amid lingering inflation concerns.
Domestically, investors will closely monitor Bank Negara Malaysia’s (BNM) monetary policy decision with the central bank widely expected to keep the Overnight Policy Rate (OPR) unchanged.
Technically, the key index continues to trade within the short-term consolidation band. The immediate resistances are located at 1,690-1,700 points. On the flip side, near-term supports are pegged at 1,670 points and 1,656 points respectively.
Malacca Securities Research
Tracking Wall Street’s sell-down for the second consecutive day, we expect the FBM KLCI to exhibit a lacklustre tone today.
Meanwhile, the rebound in oil prices expected to bode well for energy players, namely upstream and downstream counters such as Dialog Group Bhd, Hengyuan Refining Company Bhd and Bumi Armada Bhd poised to benefit.
Concurrently, plantation players might also see increasing buying interest following the on-going El Niño weather conditions alongside the market treating CPO (crude palm oil) as a viable structural alternative to rising energy prices.
Lastly, digital transformation and IT solutions provider SRKK AI Bhd (M+ target price: 54 sen) will make its ACE Market debut today.
With the FBM KLCI having rebounded, its technical indicators are also showing recovery signals at this current juncture with the MACD histogram expanding towards the positive region while the RSI is also nearing 50.
Resistance is seen around 1,698-1,703 with support at 1,663-1,668. – July 9, 2026
