FKLI Related News

U.S. stocks could struggle to extend their seven-week winning streak as the quarterly earnings period draws to a close and the market bumps into strong technical resistance. Many analysts say the market could spend the next few weeks consolidating gains that have lifted the benchmark Standard & Poor's 500 by 6.6 percent since the start of the year. The S&P 500 ended 0.1 percent higher for the week, recovering from a late sell-off on Friday after a Bloomberg report about slow February sales at Wal-Mart triggered a slide in the retailer's shares. It was the index's seventh week of gains.

Odds of a pullback are increasing, with the market in slightly overbought territory, said Bruce Zaro, chief technical strategist at Delta Global Asset Management in Boston. On Thursday, Wal-Mart, the world's largest retailer, is due to report results, unofficially closing out the earnings period. Investors will be keen to see its quarterly numbers, especially after the Friday's news report that rattled investors. The S&P 500 has gained 4.3 percent since Alcoa kicked off the earnings season on Jan. 8.

The approaching March 1 deadline for across-the-board federal budget cuts unless Congress reaches a compromise adds another reason for caution, especially with recent economic data indicating the recovery remains bumpy. Manufacturing output fell 0.4 percent last month, the Federal Reserve said on Friday, but production in November and December was much stronger than previously thought. In the coming days, the market will focus on minutes from the latest Federal Reserve meeting, due to be released on Wednesday, which could provide support if they suggest the Fed will remain on its current course of aggressive monetary easing.

The Fed minutes released in January spooked markets a bit when they revealed that some Fed officials thought it would be appropriate to consider ending asset purchases later in 2013. U.S. Treasury yields rose on that news, though market worries about a near-term end to quantitative easing have since faded. Among other companies expected to report earnings next week are Nordstrom, Hewlett-Packard and Marriott International.           [Reuters]

Stocks on Bursa Malaysia ended lower last Friday due to the lack of buying interest and profit taking ahead of the weekend. The FBM KLCI ended 2.96 points or 0.18% lower at 1,627.93, after opening at 1,628.30, and hovered between 1,624 and 1,632.56 for the day. 

FKLI spot month contract opened at 1,618 this morning and reached a high of 1,621.5. Today’s Support and Resistance for February contract is located around 1,610 and 1,626 respectively.