KLCI futures to trade higher next week
The FTSE Bursa Malaysia KLCI (FBM KLCI) futures contract is likely to trend higher next week in line with the bullish cash market, dealers said.
Affin Investment Bank vice president and head of retail research Dr Nazri Khan said the local market is expected to receive a boost from the US debt-ceiling talks breakthrough and the pre-UMNO-election rally.
"The fact that President Barack Obama is considering a Republican proposal to extend the debt ceiling for six weeks will be the catalyst needed to spur more market optimism next week.
"We expect local equities to also ride on the positive global sentiment, alongside bargain hunting," he told Bernama.
He also expects the local market to receive more foreign fund inflows amid rising investor confidence ahead of the Budget 2014 announcement and launch of the two biggest 2013 initial public offerings (IPOs), namely, UMW Oil Gas Bhd and Westport Bhd.
On a Friday-to-Friday basis, October 2013 rose seven points to 1,789.5, November 2013 gained 6.5 points to 1,789.5, December 2013 was six points better at 1,789.5, and March 2014 advanced 8.5 points to 1,787.5.
Turnover declined to 21,582 lots from 38,508 lots traded last week, while open interest slipped to 46,374 contracts, against last Friday's 46,528 contracts.
Meanwhile, the benchmark FBM KLCI rose 9.19 points to 1,785.75 compared to 1,776.56 last Friday.-- Bernama