KUALA LUMPUR, Nov 9 — The FTSE Bursa Malaysia KLCI (FBM KLCI) is expected to continue its upward trajectory next week, extending the positive momentum seen this week as it traded in the range of 1,635-1,645 points.

UOB Kay Hian Wealth Advisors head of investment research Mohd Sedek Jantan said external factors will continue to support the performance of the FBM KLCI.

“Influential recent developments included the recent Republican election victory in the United States, interest rate cuts from both the US Federal Reserve and the Bank of England, and China’s continued commitment to supportive monetary policy to spur economic recovery.

“While these factors currently provide a tailwind for the index, it is worth noting that market reactions to election results are often short-lived,” he told Bernama.

Although it remains too early to assess, Mohd Sedek said the foreign policy direction of the incoming Trump administration will maintain the continuity of trade policies focused on cost reduction and energy affordability for US industries.

“While these measures could pose some risks to global markets, they are largely in line with business expectations, having been anticipated well in advance of the election. Markets tend to react negatively to unexpected developments; therefore, as long as these policies remain within forecast parameters, any negative impact should be minimal,” he added.

Mohd Sedek also mentioned that the Department of Statistics Malaysia (DOSM) will release the country’s third quarter gross domestic product (GDP) data next Friday.

“We expect this figure to closely align with the forward estimate of 5.3%. Any GDP reading above 5.0% should boost investor sentiment, bolstering confidence in Malaysia’s economic resilience,” he added.

Rakuten Trade Sdn Bhd vice president of equity research Thong Pak Leng believes that the outlook for the stock market next week depends on signals from the US political landscape.

“Once stability is established, the outlook should become clearer. In the short term, we expect stronger upside momentum and anticipate the FBM KLCI to fluctuate in the 1,610-1,640 range next week,” he added.

On a Friday-to-Friday basis, the FBM KLCI added 17.26 points to 1,621.24 from 1,603.98 the previous week.

The FBM Emas index gained 137.52 points to 12,265.86, the FBM 70 index advanced 186.46 points to 17,865.39 and the FBMT 100 index rose 126.67 points to 11,966.46.

The FBM Emas Shariah Index rose 129.36 points to 12,231.80 and the FBM ACE Index added 148.57 points to 5,144.92.

By sector, the Financial Services Index gained 252.26 points to 19,257.02, the Plantation Index rose 175.21 points to 7,631.58, the Health Index rose 31.59 points to 2,103.30, and the Technology Index gained 2.85 points to 6,115.

The Energy Index fell 4.72 points to 834.08 and the Industrial Products and Services Index fell 0.96 points to 172.61.

Turnover increased to 14.87 billion units worth RM12.83 billion, compared to 9.60 billion units worth RM9.88 billion in the previous week.

Main market volume increased to 7.63 billion shares valued at RM11.09 billion, from 5.30 billion shares valued at RM8.88 billion last week.

Warrant turnover increased to 4.53 billion units worth RM691.43 million, compared to 2.55 billion units worth RM396.20 million previously.

ACE market volume rose to 2.71 billion shares valued at RM1.03 billion, up from 1.71 billion shares valued at RM598.99 million last week. — Bernama