Ripe for a rebound

Analysts are betting the local benchmark has a low bar to cross and is ripe for a lift following the state elections on Aug 12, on the assumption the unity government maintains control of leading three of the six states involved in the process.

PETALING JAYA: The potential peak in the rate cycles of central banks and the easing of the political risk premium on the local equity market could be the catalyst for a narrowing of year-to-date losses in the FBM KLCI in the second half of the year (2H23).

Analysts are betting the local benchmark, which has come off six-month lows but still down some 9% for the year in US dollar terms, has a low bar to cross and is ripe for a lift following the state elections on Aug 12, on the assumption the unity government maintains control of leading three of the six states involved in the process.