Trump cues take spotlight as Sarawak mourns chief minister's demise

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KUALA LUMPUR (Jan 12): Malaysian shares may take the cue from US President-elect Donald Trump's Wednesday press conference, which lacked clarity on the US' fiscal policy. Such sentiment weakened the US dollar as US bond yields fell.  

A weaker US dollar led to higher crude oil prices. As crude oil is transacted in US dollars, a weaker US dollar makes the commodity cheaper for buyers with other currencies.

In Malaysia, news on Sarawak Chief Minister Tan Sri Adenan Satem's demise may direct the spotlight on shares of Sarawak-related companies as the state undergoes a leadership transition.

Yesterday, the FBM KLCI rose 3.16 points or 0.2% to close at 1,675.21 points. The ringgit strengthened to 4.4722 against the US dollar.

In overnight US share trades, the Dow Jones Industrial Average rose 0.5% to 19,954.28 points, S&P 500 climbed 0.28% to 2,275.32 points while Nasdaq Composite was 0.21% higher at 5,563.65 points.

In crude oil markets, Brent futures increased US$1.46 or 2.7% to US$55.10 a barrel while the US' West Texas Intermediate rose US$1.43 or 2.8% to US$52.25.

Reuters reported that US Treasuries rallied across the board on Wednesday, while the dollar fell to one-month lows after Trump, in a widely-awaited press briefing, failed to provide clarity on future fiscal policies.

Bernama reported that Adenan died from heart complications at 1.24pm yesterday at the Kota Samarahan Heart Centre. He was 72.