PETALING JAYA: While investor sentiment is expected to improve as vaccination rates increase, short-term risks, including the evolving pandemic environment and potential financial shocks from tighter liquidity, may keep the local bourse in a prolonged consolidation phase.
Although the FBM KLCI closed 2.07 points higher yesterday at 1,514.60 amid talk of economic reopening, year-to-date, the index has declined some 6.9%. Daily new Covid-19 cases remain close to record highs, weighing on consumer sentiment.
Notably, more speed bumps are emerging and underlying political risks point to a possibility of continued volatility in the market. Additionally, a “recovery scenario” may have already been priced in, said RHB Research.
Kuala-lumpur
Malaysia
Petaling
Malaysia-general
Tenaga-nasional-bhd
Genting-bhd
Guan-chong-bhd
Groupm-bhd
National-recovery-plan
Group-holdings-bhd
Hong-leong-bank-bhd
Properties-group-bhd