1. KLCI hit the highest points 1876.5 on 14/05/18 and the lowest point 1655 on 28/06/18. It fall almost 200 points due to heavy selling from foreign fund everyday and foreign fund only start to buy back recently. However, confidence show from retail and local institution as the main supporter to the market.
140518 KLCI open 1815, highest point 1876.5, lowest 1781, close 1864 (Market hit highest points)
280618 KLCI open 1656, highest point 1675, lowest 1655, close 1666.5 (Market hit lowest points)
160818 KLCI open 1772, highest point 1782, lowest 1773 close 1777
2. Overall, Malaysia economy is predicted to have a slight fall in 2018 compare to 2017 due to change in government, reshuffle of all government related company and sovereign fund, and fiscal policy change as well. However the impact is positive because demolish of corruption and restore of rule of law will help to bring back the confidence from foreigner in the long run.
3. Construction sector is one of the worst performing sector due to mega project initiated by previous government will be review or reduce the project size. Export counters start to run recently due to RM vs USD fall to 4.10
4. Hang Seng index hit the highest point 33,484 on 29/01/18 however due to trade war we can see the HSI start to fall and China economy looks like facing some critical condition in this moment. Technically 27,000 is the support point now for HSI and strong support will be 26,000.
5. DJIA still maintain at high level around 25,000 points. We also have Apple which hit market cap USD 1 trillion or equal to 16th largest economy in the world. Amazon is another giant which follow closely to become next trillion company in US.
6. If you predicted another crash in world economy, can have a look on gold price it hit the lowest recently around USD1180. Gold normally is the save heaven for crisis but we didn't see any big jump on this. We foresee Asean market is facing a big correction now due to previous bull run but crisis might not happen yet at current moment. But bear in mind things change very fast nowadays and as the ball is rolling will it roll to become major crisis to the world market? This is what you need to be concern everyday as well.
7. Therefore, which shares or sector should we concern for Malaysia market now?
a. Follow government policy or minister action closely as this will impact Malaysia market the most.
b. Tun M go China, we hope to have some good news on ECRL and CPO.
c. Weakness in RM may bring export counters to run a bit. However unless RM fall again to 4.5 if not export counters wont run too much.
d. Technology counters may benefit from the growth of Apple. Trade war might have good impact to Malaysia technology counters as well due to some production in China might shift to here.
以上纯属个人分析与评论，如有任何疑问，欢迎与我交流讨论。任何股票买卖建议输赢绝对不负责。
From：林友志 （Lim Yu Chee)
