Bursa Malaysia Ends Lower As Benchmark Index Slips Below 1,535
Market breadth was negative as other key indices also retreated: FBM 70 slid 85.55 points to 16,537.90
slid to FBM Emas declined 50.52 points to 11,468.14
declined to FBM Shariah dropped 68.29 points to 11,432.44
dropped to FTSE4Good Bursa Malaysia (F4GBM) slipped 4.53 points to 927.55
Heavyweights were mixed. Top Glove lost 0.5 sen to 68.5 sen, while Tanco also slipped 0.5 sen to 89 sen. However, Nexgram Holdings gained 1.5 sen to 43.5 sen, topping the most active list with 1.21 billion shares traded.
Analysts attributed the pullback to profit-taking and cautious regional sentiment ahead of key global economic data. Related
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New Straits Times
16 minutes ago
- New Straits Times
Bursa opens higher, CI breaches 1,530 on trade, sentiment boost
KUALA LUMPUR: Bursa Malaysia opened higher on Thursday, with the benchmark index breaching the 1,530 level after three days of choppy trading, supported by optimism over US-China trade talks and improved domestic sentiment following recent policy announcements. At 9.06am, the FTSE Bursa Malaysia KLCI (FBM KLCI) rose 1.48 points to 1,531.27, from Wednesday's close of 1,529.79. The index opened 1.26 points firmer at 1,531.05. Turnover totalled 174.73 million shares worth RM85.33 million. Rakuten Trade Sdn Bhd equity research vice-president Thong Pak Leng said the FBM KLCI closed near the 1,530 level on Wednesday, supported by Prime Minister Anwar Ibrahim's positive announcements for all Malaysians. "This is certainly a surprising feel-good factor, possibly intended to ease the Sales and Services Tax burden going forward. Whether this momentum is sustainable remains to be seen, but we expect the index to trade within the 1,530–1,540 range today," he told Bernama. On the global front, Thong said Wall Street ended broadly higher as confidence grew over the latest progress in trade talks. Meanwhile, the US 10-year Treasury yield eased to 4.38 per cent. In Hong Kong, the Hang Seng Index surged to a three-and-a-half-year high, fuelled by optimism that fresh US-China trade talks are progressing positively, following the recently concluded US-Japan agreement. Among heavyweight counters, Maybank, 99 SpeedMart and SD Guthrie each added three sen to RM9.62, RM2.37 and RM4.78, respectively. PPB rose 17 sen to RM9.47, while Petronas Chemicals gained two sen to RM3.39. Top gainers were led by Nestle, which jumped 60 sen to RM77.50. United Plantations added 20 sen to RM22.00, Hong Leong Industries rose six sen to RM15.96, and Unisem gained five sen to RM2.26. Active counters were led by NexG and TWL, which were unchanged at 52 sen and 2.5 sen, respectively. Sunzen Warrant added half a sen to 10 sen, TT Vision advanced 3.5 sen to 60 sen, while SFP Technologies and Notion Vtec each gained one sen to 20.5 sen and 60.5 sen, respectively. On the broader index board, the FBM Emas Index rose 13.47 points to 11,508.02, the FBMT 100 Index gained 11.75 points to 11,265.91, and the FBM Emas Shariah Index advanced 11.34 points to 11,527.82. The FBM 70 Index was up 21.17 points at 16,665.26, while the FBM ACE Index added 2.25 points to 4,667.30. By sector, the Financial Services Index increased 27.47 points to 17,457.72, the Energy Index dipped 0.92 of a point to 742.26, the Plantation Index rose 16.49 points to 7,427.93, and the Industrial Products and Services Index edged up 0.04 of a point to 155.47. — BERNAMA
The Star
an hour ago
- The Star
Bursa experiences short-term relief ahead of Aug 1 tariffs deadline
KUALA LUMPUR: Malaysia's equities remain buoyed by the feel-good sentiment of the Prime Minister's recent announcements to alleviate the Rakyat's cost of living, even as another record performance in US stock indices overnight encouraged the investment appetite. Starting on a cautious note, the FBM KLCI rose 1.26 points to 1,531.05 at the open. According to TA Securities, the government's measures to support Malaysians should have no major positive impact on equities, although it noted consumer staples should benefit from greater private consumption. While the market is seeing some temporary relief, more clarity over downside risks is pending the finalisation and implementation of the US tariff hike on Aug 1. "Our current 2H25 base case FBM KLCI target is 1,660 (based on CY26 PER of 14.3x) assuming US tariff is maintained at 10%. "Our worst-case target of 1,580 (based on minus-one standard deviation from long-term mean of 16x), if tariff is anything higher appears more plausible under the current scenario if it doubles to 20% or is sustained at 25%," said TA Securities. On the market today, Nestle rose 62 sen to RM77.52, United Plantations gained 18 sen to RM21.98 and PPB rose 18 sen to RM9.48. Of actives, NexG was flat at 52 sen, TWL unchanged at 2.5 sen and Dnex up 2.5 sen to 31 sen.
The Star
4 hours ago
- The Star
Muted 2Q earnings likely
PETALING JAYA: Malaysia's upcoming second-quarter of financial year 2025 (2Q25) earnings season is expected to be relatively muted, with overall corporate performance continuing to reflect challenges from external uncertainties, particularly the ongoing US-Malaysia tariff negotiations. While earnings growth may remain soft, the reporting cycle begins against a backdrop of stabilising macroeconomic indicators and fewer forecast revisions compared to the previous quarter. As such, Maybank Investment Bank Research (Maybank IB) believes the worst of the earnings downgrades may now be behind. 'The 2Q25 results season may yet be another unexciting one but at least one with fewer earnings downgrades in our view,' the research house said in its latest strategy note. Maybank IB has forecast a modest 2.5% earnings growth for the FBM KLCI in 2025, primarily weighed down by the banking sector. It anticipates a stronger rebound in 2026 with a projected growth of 7.7%. The research house's base case target for the FBM KLCI stands at 1,660, pegged to 14.4 times 2026 estimated price-to-earnings ratio (PER), representing minus 0.5 standard deviation of the 10-year mean, amid continued market volatility and uncertainty over trade policy. 'Our base case assumes further de-escalation in trade tensions and favourable outcome from tariff negotiations,' the report noted. Conversely, in a bearish scenario where earnings growth moderates to 5%, the index could dip to 1,450 based on 13 times PER. Despite a softer external environment, Malaysia's domestic economic fundamentals appear encouraging. The research house points to robust consumer activity, a sustained investment cycle, and signs of resilient private demand as cushioning the impact of weaker exports, particularly in May and June. 'The 2Q25 real gross domestic product growth advanced estimate of 4.5% year-on-year, with a rebound quarter-on-quarter from 4.4% in 1Q25, suggests a steady growth momentum and indicates external headwinds due to US tariffs are being mitigated by domestic tailwinds,' it said. Inflation has also cooled to 1.1% in June, while the labour market remains firm with the unemployment rate steady at 3%. Maybank IB attributed rising disposable incomes – fuelled by civil servant pay hikes, minimum wage increases, and a surge in Employee Provident Fund contributions – as supportive of its positive stance on the consumer, real estate investment trusts (REITs), and construction sectors. Sector-wise, consumer, construction, healthcare, REITs, and renewable energy remain Maybank IB's key 'overweights', with minimal changes to its top stock picks apart from Solarvest Holdings Bhd , which has outpaced its target price. 'We expect some positive momentum for construction, healthcare, property and, more selectively, the oil and gas and utilities sectors,' the research house added. The technology sector may face near-term weakness, but Maybank IB noted that most of the necessary earnings downgrades have already been made. 'From our channel checks, we expect most sectors are likely to deliver flattish earnings with few surprises,' it said. Notably, while plantation firms may post weaker quarterly numbers due to lower crude palm oil prices, some could benefit from disposal gains and foreign exchange tailwinds. The recent 25 basis points cut to the overnight policy rate, announced in July, is expected to have a limited impact on second-quarter bank earnings. 'We had already factored this rate cut into our bank forecasts; we stay 'neutral' on banks,' Maybank IB stated.
