KUALA LUMPUR: The latest developments in the Middle East offered some relief to investors, who are expected to tread lightly amid the heightened uncertainty.
Markets will remain cautious during this period, said Apex Research, as geopolitical tensions evolve.
"Against this backdrop, markets may continue to trade with elevated volatility, particularly as investors assess the risk of further escalation and its implications for global energy supply and inflation.
"Nevertheless, any signs of diplomatic de-escalation or policy restraint could help stabilise sentiment and support a gradual recovery in risk assets," it said in its report.
The FBM KLCI bounced 8.03 points higher to 1,706.25, tracking Wall Street's rebound as US President Donald Trump pledged US naval escort for oil tankers in the Straits of Hormuz.
Apex said the index continues to trade above its uptrend line, which indicates an intact broader upward structure.
"As long as the index holds above this key support, we retain our constructive bias and expect the underlying uptrend to persist.
"A more cautious outlook would only be warranted if clearer reversal signals emerge, particularly a decisive break below the established uptrend support," it added.
Among the early gainers, Maybank rose four sen to RM11.70, IHH climbed four sen to RM9 and Press Metal
addd 17 sen to RM7.57.
Of actives, Bumi Armada slipped one sen to 34.5 sen, NexG gained three sen to 30 sen and Hengyuan Refining slid one sen to RM1.53.
In other Asian markets, the Korea Exchange, which had been routed over 18% in two days, rebounded 12% to 5,684 in the first hour of Thursday trade. The easing in global sentiment saw investors return to 2025's best-performing market in droves, shoring up the AI-related stocks that had driven much of the index's gains last year.
Also bouncing strongly after sharp losses, Japan's Nikkei rose 4.12% to 56,478.
