New RM 20 billions fund for valuecap and Khazanah injection will boost KLCI in short term 

We think the sentiment is largely lifted up deal to Najib announcement of additional RM 20 bill to buy undervalued stocks by the government.  Additional RM 6 billions over announced by Khazanah are evidence that lots of liquidity in Malaysia.  We think KLCI will stable above 1600 in short with buy on dip suggestion.  KLCI related with middle cap linked to government funds will be the best bet.