At 9.10am, the FTSE Bursa Malaysia KLCI (FBM KLCI) climbed 3.65 points to 1,606.99, from yesterday’s close of 1,603.34, after opening at 1,604.90.
Market breadth was positive, with gainers outnumbering losers 214 to 102.
Meanwhile, 271 counters were unchanged, 2,057 untraded, and 37 suspended.
Turnover stood at 173.33 million units worth RM97.21 million.
In a research note, Malacca Securities Sdn Bhd said the capital expenditure rollout will fund data centres with at least 10 gigawatts (GW) of capacity, powered by Nvidia’s advanced AI chips to train and deploy OpenAI models.
“Also, with Nvidia’s US$5 billion investment in Intel, we expect the technology sector to grow steadily in the near term. This could translate into further buying interest in major tech giants, supporting a sustained uptrend on Wall Street,” it said.
Locally, the brokerage expects the market to trade on firmer footing as Wall Street sentiment may spill over into the domestic technology sector in the near term.
“We favour Itmax System Bhd, given its sticky solutions and services, as well as contract wins of approximately RM51 million stretching over the next 15 years. On the data centre front, we like CBH Engineering Holding Bhd due to its undemanding valuations and strong exposure to DC plays,” it added.
The firm also issued a non-rated report on Cheeding Holdings Bhd with a fair value of RM0.72 (IPO price: RM0.36), citing its niche in overhead infrastructure utilities and robust operational efficiency, with net margins well above peers’ average.
Commenting on the impact of RON95 subsidy rationalisation, Malacca Securities research head Loui Low said the programme is unlikely to have a significant effect for now.
“Sector-wise, we don’t foresee major changes, as the policy is designed to ease inflationary pressures on the rakyat. It may be neutral to foreign investors despite the policy shift,” he noted.
Yesterday, Prime Minister Anwar Ibrahim announced RON95 petrol prices would drop to RM1.99 per litre from RM2.05, effective Sept 30, under the Budi Madani RON95 targeted subsidy programme.
Among heavyweights, Maybank, Public Bank and IHH Healthcare rose 2.0 sen each to RM9.86, RM4.29 and RM7.38. CIMB gained 1.0 sen to RM7.32, while Tenaga Nasional added 6.0 sen to RM13.48.
In active trade, JS Solar, an ACE Market debutant, gained 8.5 sen to 39.5 sen. NexG and IFCA MSC rose 1.0 sen each to 51 sen and 34 sen, NexG Bina added 0.5 sen to 9.0 sen, while JAG was flat at 26 sen.
Top gainers included Malaysian Pacific Industries, up 20 sen to RM29.48; Petronas Gas, 18 sen to RM18.48; KESM Industries, 17 sen to RM3.55; D\&O Green Technologies, 10 sen to RM1.57; and Pentamaster, 6.0 sen to RM3.88.
Top losers were United Plantations, down 8.0 sen to RM23.46; SD Guthrie, 7.0 sen to RM5.23; Chin Hin, 5.0 sen to RM2.23; Ralco Corporation, 4.5 sen to 81 sen; and AMMB Holdings, 3.0 sen to RM5.60.
On the broader market, the FBM Emas Index rose 32.39 points to 11,958.89, the FBMT 100 Index gained 30.81 points to 11,707.42, the FBM Emas Shariah Index added 37.08 points to 12,009.03, the FBM 70 Index climbed 62.66 points to 16,813.77, and the FBM ACE Index advanced 7.34 points to 4,981.24.
By sector, the Industrial Products and Services Index edged up 0.05 of-a-point to 169.23, the Energy Index gained 2.67 points to 762.04, and the Financial Services Index rose 28.11 points to 18,118.31, while the Plantation Index fell 27.78 points to 7,740.10.