Bursa Malaysia slightly firmer at midday on interest in certain heavyweights
At 12.30pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) rose 4.46 points or 0.29 per cent to 1,538.22, from Friday's close of 1,533.76.
The benchmark index opened 4.29 points firmer at 1,538.05 and moved between 1,531.28 to 1,539.38 throughout the session.
However, the broader market sentiment was slightly negative, with losers outpacing gainers 416 to 396, while 459 counters were unchanged, 1,238 untraded and 44 suspended.
Turnover stood at 1.78 billion units worth RM992 million.
Malacca Securities said sentiment on Wall Street has improved following recent progress in de-escalating the US-EU trade war, particularly with the new trade deal capping tariffs at 15 per cent.
"We believe the positive sentiment may spillover towards stock on the local front, tracking Wall Street's rally.
"Given Tenaga Nadiobal Bhd's capital expenditure rollout stretching until year-end and data centre packages expected to be announced over the next two in the second half of 2025," the firm added.
Although the recent overnight policy rate cut may directly impact the net interest margin, Malacca Securities said the banking sector commands undemanding valuations.
It said the sector is currently trading at an undemanding 10 times price-to-earnings (P/E) ratio, which is notably below its 10-year historical average of 12.2 times.
Meanwhile, real estate investment trusts remain attractive given their premium yields over government-backed securities.
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