KUALA LUMPUR (April 14): Investors should take a long position on crude oil and other commodity-linked stocks, according to MBSB Research. 

The firm expects Brent crude to hold above support and retest resistance at US$114 (RM451.50) per barrel, while crude palm oil prices may similarly test RM4,890 per tonne.

MBSB’s top pick stocks include Malaysia Marine and Heavy Engineering Holdings Bhd (KL:MHB), Deleum Bhd (KL:DELEUM), Yinson Holdings Bhd (KL:YINSON) and Hap Seng Plantations Holdings Bhd (KL:HSPLANT). 

On Tuesday, the benchmark FBM KLCI opened 0.62% higher at 1,690.96. The index later eased to 1688.12 at market close — still up 0.45% from the previous day, with 99 Speed Mart Retail Holdings Bhd (KL:99SMART) leading gains, though energy and plantation counters slipped after the US moved to block Iranian ports following the collapse of weekend peace talks. 

The Bursa Malaysia Energy Index fell 0.98% to 823.53 as Brent crude slipped below US$100 to US$98.63 a barrel, while the plantation index edged down 0.31% to 8,940.78. 

Despite the pullback in commodity sectors, overall market sentiment remained positive with gainers outpacing losers at 663 to 425, though Hong Leong Investment Bank warned that conditions will stay choppy and headline-driven, with major support at 1,664-1,673 and resistance at 1,705-1,720.