KUALA LUMPUR, Oct 12 — The FTSE Bursa Malaysia KLCI (FBM KLCI) futures contract on Bursa Malaysia Derivatives is anticipated to trade in a rangebound manner next week, aligning with the trends observed in the underlying cash market, according to analysts.
Market Outlook
Projected Trading Range: Thong Pak Leng, vice president of equity research at Rakuten Trade, expects the index to fluctuate between 1,630 and 1,650 points. A breakout above the 1,650-point level could indicate a more sustained upward trend.
Long-term Optimism: The outlook for the long term remains positive, supported by improving economic conditions, stronger corporate earnings, and significant foreign direct investments, which are expected to enhance market momentum.
Weekly Performance Recap
For the week ending today, the performance of the FBM KLCI futures contracts was as follows:
October 2024 Contract: Increased by 6.0 points to settle at 1,638.0.
November 2024 Contract: Gained 5.5 points, closing at 1,641.0.
December 2024 Contract: Rose by 4.5 points to 1,644.0.
March 2025 Contract: Climbed 5.0 points to 1,632.0.
Market Activity
Turnover: The total turnover dropped to 32,671 lots, a decline from 48,310 lots the previous week.
Open Interest: Open interest decreased to 46,608 contracts, down from 49,905 contracts in the prior week.
Closing Summary
On a Friday-to-Friday basis, the FBM KLCI saw a modest gain of 3.58 points, closing at 1,633.55, compared to 1,629.97 in the previous week.
As traders position themselves for the upcoming week, keeping a close watch on market dynamics will be crucial to navigating potential movements within the expected range.
