KUALA LUMPUR: The FBM KLCI rose on Thursday as easing tensions in the Strait of Hormuz and falling oil prices bolstered a growing risk appetite for equities.
"The near-term market outlook remains cautious but stabilising, as investors balance improving earnings momentum against lingering geopolitical risks," said Apex Securities in its market outlook.
The research firm added that developments around the Strait of Hormuz remain fluid. "While the U.S.–Iran ceasefire has eased immediate disruption risks, sporadic tensions continue to cap sentiment."
Following reassurances from US leaders that the ceasefire remained intact, Brent crude futures extended its fall by 1.3% to US$108.41, after diving 4% in the previous session.
From a technical standpoint, Apex is bullish on the FBM KLCI as it has staged a breakout above its symmetrical triangle formation, indicating further upside towards 1,777 and confirming a continuation of the broader uptrend after a three-month consolidation phase. Immediate support is pegged at 1,722.
At the time of writing, the FBM KLCI was up 2.18 points to 1,749.61, returning the index to pre-war levels of trading.
Among the leading blue chips, CIMB gained nine sen to RM7.98, Gamuda rose five sen to RM4.47 and MISC added three sen to RM8.55.
On the actives list, Manforce completed its migration to the ACE Market of Bursa Malaysia. As at 9.20am, the share was trading at 34.5 sen with 13.14 million units changing hands.
