KUALA LUMPUR (July 5): The FBM KLCI is seen trending sideways today ahead of the Friday deadline for U.S. trade tariffs on China, that has kept global investors on tenterhooks.

World stocks were flat on Wednesday amid growing anxiety ahead of Washington's end of week deadline to impose tariffs on Chinese imports, while the yuan steadied after China's central bank acted to calm investors, according to Reuters.

The MSCI All-Country World index, which tracks shares in 47 countries, was lower by less than 0.1 percent on the day, recovering slightly from a 0.2 percent fall earlier, it said.

U.S. markets were closed on account of the U.S. Independence Day holiday.

AllianceDBS Research in its evening edition Wednesday said despite the down close in the preceding day, the FBM KLCI had on July 4 traded higher to 1,690.56 as market participants changed their game play pattern to buying.

It said in the absence of stronger selling interest, the benchmark index was in the green throughout the trading sessions before settling near the day’s high at 1,688.45 (up 8.08 points or 0.48%).

“In the broader market, gainers outnumbered losers with 497 stocks ending higher and 322 stocks finishing lower. That gave a market breadth of 1.54 indicating the bulls were in better control,” it said.

AllianceDBS Research said given the down close on July 3, it was a little surprise to see a higher low on July 4, because it suggested that sellers were not keen to play an aggressive selling game on an immediate basis.

“While it remained premature to confirm anything at this juncture, the inability on the part of the benchmark index to go lower than previous day’s low of 1,674.11 on July 4 was somehow seen a positive development for the market as it showed that market participants were beginning to look for a small consolidation platform between 1,664 and 1,709.

“This small consolidation platform should subsequently serve as a base for the market to pave an upward movement in later days. Following the up close on July 4, we should see buying attempt with immediate hurdle at 1,701,” it said.

AllianceDBS Research said the analysis of overall market action on 4 July 2018 revealed that buying power was stronger than selling pressure.

“As such, the FBM KLCI would likely trade above the 1,690.56 level on July 5,” it said.

Based on the corporate announcements and news flow yesterday, companies in focus today may include: Serba Dinamik, Xian Leng, SCGM, Perdana Petroleum, TA Global, MNRB, China Automobile Parts and JMR.