Bursa Malaysia lifted on slower US inflation data

KUALA LUMPUR: Investors will turn towards economic data now the corporate results period has ended, with the spotlight trained on inflation data and potential interest rate cuts in the US.

Wall Street markets performed admirably overnight following the release of the US personal consumption expenditures (PCE) report, which matched economist expectations, showing a slowing rate of price increase.

The S&P500 and Nasdaq both hit record levels of trading as technology counters rose amid signs of cooling price pressures.

The S&P500 rose 0.5% to finish at 5,095 while the Nasdaq closed up 0.9% at 16,091. The Dow Jones, meanwhile, was up 0.1% to 38,996.

"We expect the FBM KLCI to march higher as signs of recovery are on the cards.

"Given that the US markets have turned calmer overnight, we reckon the path of potential interest rate cut in the world largest economy remains on track in June 2024," said Apex Securities Research in a note.

"We favour the technology sector that is expected to mirror the positive performance on Nasdaq that re-claimed 16,000 level overnight.

"Also, the energy sector will be in focus after Brent oil prices advanced for the fourth straight session."

At the start of trading, the benchmark FBM KLCI was up 1.72 points to 1,553.16.

Stocks lifting the market included Axiata up five sen to RM2.83, MISC rising five sen to RM7.65, QL Resources adding 11 sen to RM5.92 and Maybank gaining three sen to RM9.56.

Of actives, HM was up one sen to 15.5 sen, RGB lost one sen to 28 sen and Jaks Resources falling 1.5 sen to 17.5 sen.