KUALA LUMPUR: Bursa Malaysia ended the first trading day of the week on a high note, thanks to strong buying interest and improved regional market sentiment.
At 5pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) closed 14.74 points higher to 1,464.67 from Friday's closing of 1,449.93.
The key index began the day with a 2.46-point gain, opening at 1,452.39, and fluctuated within the range of 1,452.29 to 1,464.67 during the entire trading session.
On the broader market, gainers outnumbered decliners 665 to 284, while 441 counters were unchanged.
Rakuten Trade Sdn Bhd equity research vice president Thong Pak Leng said the FBM KLCI continued its upward trajectory with broad based buying following improved market sentiment regionally.
He is optimistic about the near to mid-term local market outlook given improved local market sentiment and returning foreign inflows.
Meanwhile, Thong said the ringgit appreciated against the US dollar, reaching approximately 4.65 from its previous close of nearly 4.72, driven by expectations that the Fed will halt its interest rate increases.
As such, he anticipates the benchmark index to trend within the range of 1,460 to 1,480.
"The benchmark index seems to be on its way to the next resistance level at 1,465. "If the benchmark index can break through the 1,465 resistance and hold this position for an extended period, we foresee additional upside potential to the psychological 1,500 level," he told Business Times.
Thong added that major regional indices also saw upward trends, reflecting growing optimism that the US Fed has concluded its market-disrupting interest rate hikes aimed at curbing inflation.
In the mean time, he said the yield on the US 10-year Treasury retreated to 4.58 per cent early on Monday, down from its peak above five per cent just two weeks ago.