KUALA LUMPUR (Nov 21): Malaysian shares may track overnight US equity gains amid more optimistic data from the world's largest economy.
Positive US news flow could, however, be tempered by uncertainties
in Japan's political landscape. This is in anticipation of Japan's parliament dissolution today.
Yesterday, Malaysia's FBM KLCI fell 2.1 points or 0.12% to settle at 1,822.29.
In the US, the Dow Jones Industrial Average rose 0.19% to a record close in overnight trade. S&P 500 climbed 0.2% while Nasdaq Composite added 0.56%.
Today, Bloomberg reported that Japanese index futures signaled a retreat in the nation’s stocks, while the yen headed for a fifth weekly drop before Prime Minister Shinzo Abe dissolves parliament ahead of elections.
The Nikkei 225 Stock Average futures in the Osaka pre-market were bid 0.3% below their closing level in Japan yesterday.
According to news reports, Abe has indicated he would dissolve parliament today to make way for a snap election next month.
Abe is seeking fresh mandate from the Japanese people to implement transformation plans for the world's third-largest economy. Japan fell into a recession after the economy contracted for two straight quarters.