FBM KLCI Futures Likely To Trade Cautiously Next Week

KUALA LUMPUR, The FTSE Bursa Malaysia KLCI (FBM KLCI) futures contract on Bursa Malaysia Derivatives is likely to trade cautiously next week, in tandem with the underlying cash market.

SPI Asset Management managing director Stephen Innes expects the global markets, including the local bourse, to be highly sensitive to the economic events in the United States (US), perhaps even more so than local data.

“So, while a test of 1,600 on the FBM KLCI might be on the cards, I believe the market could slip into a bit of a wait-and-see mode, taking its cues from global trends, particularly from the US,” he told Bernama.

Innes said all eyes will be on whether the Federal Reserve will ride in to rescue the economy if it falters, perhaps with a 50 basis point rate cut.

For the week just ended, the spot month August 2024 contract decreased 25.5 points to 1,593.5, September 2024 inched down 25.0 to 1,575.5, December 2024 weakened 28.5 points to 1,581.0 and March 2025 dropped 3.3 points to 1,567.0.

During the week, tur
nover fell to 76,617 lots from 156,743 in the previous week, while open interest dropped to 48,975 contracts from 53,986 contracts.

On a Friday-to-Friday basis, the FBM KLCI eased 15.0 points to 1,596.05 from last week’s 1,611.05.

Source: BERNAMA News Agency

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