KUALA LUMPUR: Bursa Malaysia ended the morning session higher after US Federal Reserve (Fed) kept rates unchanged and signalled the possibility of one rate cut at best.
At 12:30 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) increased by 4.19 points, rising by 0.26 per cent to reach 1,613.14, compared to yesterday's closing figure of 1,608.95.
The overall market sentiment remained optimistic, with gainers outnumbering losers 644 to 421, while 479 counters maintained their previous positions.
Rakuten Trade Sdn Bhd equity research vice president Thong Pak Leng said it was another confusing day on Wall Street as both the Nasdaq and S&P 500 closed on record highs while the Dow Jones Industrial Average (DJIA) ended in negative territory.
Acoording to him, the sentiment was buoyed but May's lower than expected Consumer Price Index (CPI) data but at the same time dampened by the Fed's indication of possibly only one cut in rates this year.
"In tandem with the cooling inflation figure, the Fed kept interest rates unchanged as the US 10-year yield eased to 4.318 per cent.
"Over in Hong Kong, the HSI declined to below the 18,000 mark as selling gathered momentum following China's latest inflation data that signals weak demand," he said.
Meanwhile, the EU's imposition of more tariffs on Chinese EVs next month to a tune of 48 per cent would see negative implications for such carmakers on the mainland, he added.
"Back home, the FBM KLCI ended lower despite a strong opening amid a mixed regional performance.
"Nonetheless, we believe buyers should emerge today after the broader market resurgence on Wall Street overnight thus expect the benchmark index to hover between the 1,610 to 1,625 range," Thong said.