ℹ️ #DAX #ANALYSIS
The DAX is having a strong drop at the opening but it has also just bounced quite quickly in the important support of the 13820 area. It is clear that the loss of this support would lead to continuity in the falls. While at the top until the maximum on Friday is not exceeded there would not be a new attack on maximums. As for data, today there is the German IFO and a speech by the president of the ECB.
TOKYO (Reuters) - Oil prices edged higher on Monday after a weak start, holding on to the past three months of gains, although patchy coronavirus vaccine rollouts, new infections, and the discovery of new variants are keeping a lid on prices.
Brent crude futures were up 10 cents at $55.14 a barrel by 0233 GMT, while U.S. West Texas Intermediate (WTI) gained 1 cent to $52.21. Both benchmarks gained nearly 8% in January.
Oil prices have been boosted by vaccination programs getting underway in hard-hit countries and output cuts by major producers like Saudi Arabia. But the euphoria over a possible end to the pandemic has been undermined by the slow pace of vaccinations and the rise of new variants of the coronavirus.
Still, with more vaccines proving successful in trials and infections falling in some areas, demand for oil and fuels is likely to pick up as more of the world's population gets inoculated against COVID-19.
"Demand will recover across the board, led by Asia-Pacific and North America," FitchSolutions said in a research note.
"Europe and Latin America will lag, largely a reflection of softer economic recovery in key markets in these regions," it said.
Oil prices are expected to remain around current levels for most of this year before a recovery gains ground towards year-end, a Reuters poll showed late on Friday.
U.S. oil and gas drillers are gearing up for a pickup in demand and as higher prices make news wells profitable again, adding rigs for the sixth month in a row in January. [RIG/U]
U.S. output is rising and was above 11 million barrels per day in November for the first time since April, according to the Energy Information Administration
The world went into real uncharted territories in 2020, beginning with a pandemic no one had foreseen, and one the world had not experienced in decades. And while the following fall in the equity markets was expected, the wild surge upwards as bulls dominated — including in Bursa Malaysia — was rather not, especially with the yet-to-dissipate shadows cast by the coronavirus.
IHH Healthcare Bhd, which has operations in various parts of Asia, has been touted as a proxy for regional recovery from the Covid-19 pandemic.
Genting Malaysia Bhd
The casino operator is in the sweet spot to benefit from growing domestic tourism as borders are closed; Malaysians cannot travel abroad. Should the international borders be re-opened in 2021, Genting Malaysia Bhd (GENM) will also benefit from the arrival of foreign tourists.
Tenaga Nasional Bhd
The utility giant was the second-worst performing FBM KLCI component stock in 2020 after Genting Bhd. Its share price drifted lower even after the global rout in March while others rebounded from the troughs.
If you still believe in the great earnings growth story in the rubber glove industry despite the availability of the Covid-19 vaccine, Hartalega Holdings Bhd could be a choice to buy on strength given that the stock has sagged almost 43% from its peak of RM21.16, according to Maybank IB.
British American Tobacco (Malaysia) Bhd
British American Tobacco (Malaysia) Bhd’s (BAT) share price staged a strong rebound in the final two months of 2020, recouping most of the lost ground as it hit a 20-year low of RM8.80 in March.
Unless there is another round of Movement Control Order that requires the shutdown of non-essential businesses, including number forecast operators (NFOs), to contain the Covid-19 pandemic, Magnum Bhd is expected to be well on the earnings recovery path.
Gamuda Bhd and Sunway Construction Group Bhd (SunCon) are perceived to be among the key beneficiaries of public mega infrastructure projects such as the East Coast Rail Link (ECRL) and High-Speed Rail (HSR) line
Malaysia Airports Holdings Bhd
For the airport operator, 2020 was an annus horribilis, with the company booted from the FBM KLCI as international air travel was brought to its knees as a result of the Covid-19 pandemic
For My EG Services Bhd (MyEG), investors may have to ignore the noises and focus on contracts that it has in hand, which will be a reflection of its earnings potential
Year 2021 could be a volatile year, Mega First Corp Bhd's steady and resilient earnings from the 260MW Don Sahong hydropower project could be a shelter
We are entering a dynamic of strong intraday rises and falls which can give a lot of play. The DAX resists falling in part also because the Americans still have a certain bullish force, but as soon as this is over we will see continued falls or, on the contrary, if they resume strength, we will return to highs again. After yesterday's strong rise, today the falls with gap included in the DAX return, if the minimum of yesterday holds it will not go ahead. Regarding data, today we have the German GDP, and personal expenses and the Michigan sentiment index in the USA.
Get more information on klse stock recommendation and malaysia stock picks seek expert from our website.
USD Index Price Analysis: A drop to the 200-day SMA cannot be ruled out DXY breaks below the 106.00 support to clinch new multi-month lows. ...
