KUALA LUMPUR: Penny stocks are seeing a buying frenzy of late as the local market is fuelled with positive sentiment driven by expectations of better financial results and positive foreign fund inflow. But if the ratio moves closer to 0.5 or below, it’s an indication that the penny counters are significantly more active than normal. In the beginning stage, any trading activity by retailers would be very small. Wong cited the US economic growth, momentum seen in the financial results for the second half of last year and the low-base effect as factors pointing to better earnings in the coming quarters. “I think the first quarter results in 2017 will be crucial to keeping the momentum in the stock market,” he said.

Source: The Edge Markets April 11, 2017 00:56 UTC