Continue in-flow of cheap funds i believe during this trade war between countries will push market up further.
BNM may likely to follow all countries to lower Ringgit to support competitiveness of our export. BNM endorsed lower RM across years. Since after election and BOJ strategy in lowering Yen. RM has improved near 10% against certain currency. If RM continue to improve with stable inflation, BNM will have 50% chance to reduce interest by 25% points in next monthly meeting.
We believe rotational play on selective counters will continue as of now. We recommend defensive investment but sell on unreasonable PE and those company without consistent profit patern.