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Russia Holds Key Rate at 21% Amid Surging Inflation

The Bank of Russia unexpectedly maintained its key interest rate at a record-high  21% , defying analysts’ expectations of another significant hike as inflation remains stubbornly elevated. The decision marks a shift toward a more measured approach in balancing economic growth and price stability. Key Details Inflation Concerns: Annual inflation climbed to  8.9%  in November, well above the central bank’s  4% target , with inflation expectations reaching  13.9%  in December. Policy Rationale: The central bank cited the significant tightening of monetary conditions after October’s  200-basis point hike  as sufficient to resume disinflationary processes. Governor Elvira Nabiullina emphasized avoiding both economic overheating and severe slowdowns. Economic Overheating: Elevated government spending on the war in Ukraine and social programs, coupled with labor shortages and rising wages, have fueled strong domestic demand, exacerbating price pressures...

Market Daily Report: KLCI tumbles 26.91 points to intraday low on 2019 final trading day

KUALA LUMPUR (Dec 31): The FBM KLCI lost its footing on the last trading day of 2019. The benchmark index shed 26.91 points or 1.67% to end the year at its intraday low at 1,588.76, after US shares' overnight decline hit Asian market sentiment. For the year, the KLCI had declined 6.02% or 101.82 points, making it the third-largest percentage decliner among benchmark indices in Asia, after the Laos Securities Exchange Composite and Mongolia Stock Exchange Top 20. Asia's worst decliner Laos Securities Exchange Composite fell 12.95%, followed by the Mongolia Stock Exchange Top 20's 8.59% drop. Over the last 10 years, the KLCI had however gained 315.98 points or 24.83% from 1,272.78 on Dec 31, 2009. In Malaysia today, Areca Capital Sdn Bhd chief executive officer Danny Wong Teck Meng said weakness in the KLCI today was due to US shares' overnight decline, which affected sentiment across Asian stock markets today. Reuters reported Asian share...

Market Daily Report: FBM KLCI rises as CPO gains, ringgit strengthens

KUALA LUMPUR (Dec 30): The FBM KLCI closed 5.06 points or 0.31% higher today, led by Tenaga Nasional Bhd and as Bursa Malaysia plantation shares rose with crude palm oil (CPO) prices. The ringgit strengthened against a weaker US dollar and as crude oil prices rose. At 5pm, the KLCI closed at 1,615.67, led by Tenaga shares' 28 sen or 2.11% gain at RM13.54. Meanwhile, plantation shares including KLCI components Kuala Lumpur Kepong Bhd (KLK) and Sime Darby Plantation Bhd, finished up as CPO prices stayed above RM3,000 a tonne. KLK finished up 30 sen or 1.21% at RM25.10, while Sime Darby Plantation was up 10 sen or 1.83% at RM5.56.   Bloomberg reported CPO advanced to trade near its highest in almost three years, with firmer petroleum and soyoil underpinning the market. At Bursa, palm oil for March 2020 was traded up 0.4% at RM3,084 a tonne at 3:08pm, Bloomberg said. On the KLCI at 5pm, Public Investment Bank Bhd technical analyst Lee Siao Ping told thee...

Market Daily Report: FBM KLCI ends higher on window-dressing activities

KUALA LUMPUR (Dec 23): The FBM KLCI rose to close four points or 0.25% higher on Monday amid thin volumes, buoyed mainly by foreign buying of stocks as part of year-end window-dressing activities. The benchmark index finished well above its 1,600 psychological level at 1,614.18 at 5pm today, despite retreating from Friday's sharp gains earlier in the day to touch a low of 1,601.23. Hong Leong Bank Bhd led component stocks with a 2.09% gain, followed by MISC Bhd at 1.91% and Malaysia Airports Holdings Bhd at 1.84%. Meanwhile, decliners included IOI Corp Bhd and PPB Group Bhd, which closed down 4.56% and 0.7% respectively. Market breadth was positive with more gainers than losers at 432 versus 424 at the end of today's trading session. Total turnover stood at 1.96 billion shares worth RM1.45 billion, versus 2.17 billion shares, worth RM2.39 billion, traded last Friday.   The counters with most shares traded today were oil and gas stocks, namely Bumi...

Market Daily Report: Window dressing activities push KLCI to close at four-month high of 1,610.18

KUALA LUMPUR (Dec 20): After hovering below the 1,600 psychological level for a month, the FBM KLCI today closed 14.46 points or 0.91% higher, mainly supported by window dressing activities. At 5pm, the KLCI closed at an intraday high of 1,610.18 points, the highest in almost four months — surpassing the 1,610 resistance level at the 11th hour. Areca Capital Sdn Bhd chief executive officer Danny Wong Teck Meng told theedgemarkets.co m that the run-up was largely due to window dressing. "As expected, with less than ten business days until the year-end, that (gains in the KLCI today) would be due to window-dressing," Wong said.    Going forward, he is also expecting rotational play involving the large-caps or index-linked counters as sentiments begin to improve, with positive development from the trade truce between the US and China, and Brexit. Among the 30 component stocks, PPB Group Bhd led the top gainers, followed by Petronas Ga...

Market Daily Report: KLCI drifts lower on profit taking after Trump's impeachment

KUALA LUMPUR (Dec 19): The FBM KLCI drifted lower today on profit taking, amid fears of a more uncertain outlook following the impeachment of US President Donald Trump. At the 5pm closing bell, the KLCI was down 0.21% or 3.39 points at 1,595.72. Rakuten Trade Sdn Bhd vice president of equity research Vincent Lau told theedgemarkets.com that the profit taking came after the strong surge in the benchmark index on Wednesday, which saw it climbed 1.41% or 22.16 points higher to close at 1,599.11. He also attributed the sluggish performance seen in the KLCI today to the impeachment of Trump, which has cast more uncertainties on outlook. Nevertheless, he said the KLCI should still end the year at no less than 1,600, after factoring in the usual year-end window dressing initiatives. Trading volume declined to 2.11 billion shares worth RM1.7 billion from yesterday's 2.5 billion shares worth RM2.03 billion. Market breadth was negative with 538 decliners compare...

Market Daily Report: FBM KLCI climbs following trade war clarity

KUALA LUMPUR (Dec 18): The FBM KLCI closed 1.41% or 22.16 points higher today at 1,599.11 points, together with some Southeast Asian peers, following the recent de-escalation in trade tensions between the US and China. IHH Healthcare Bhd, Maxis Bhd and Malaysia Airports Holdings Bhd contributed to the rise in the local benchmark. A total of 2.5 billion shares worth RM2.03 billion were traded across the local bourse today, with 382 counters registering gains while 389 counters declined; 481 counters closed unchanged. Reuters wrote that Southeast Asian financial markets saw gains today, with Thailand leading the charge, after a recent run of upbeat data helped calm recession fears, while "phase-one" of a Sino-US trade deal has given some clarity to investors over their global outlook. Besides the Thai index, where the climb was underpinned by gains in energy stocks amid firmer overnight oil prices, the news agency noted that Indonesian stocks were...

Market Daily Report: KLCI drops on renewed trade worries

KUALA LUMPUR (Dec 16): Malaysian stocks closed lower today, ending a three-day streak of gains, on renewed worries about the phase one trade deal between the US and China. At 5pm, the FBM KLCI closed 1.81 points or 0.12% lower at 1,569.35. The market has been trading in the range of 1,565.59 to 1,573.41. Malacca Securities Sdn Bhd senior analyst Kenneth Leong said the KLCI started the week off on a weak note after lingering mostly in the negative territory for the entire trading session today amid fresh worries surrounding the phase one trade deal. "The decline today was also partially due to the persistent selling from foreign funds, which marks the sixth consecutive week," Leong told theedgemarkets.com , adding that this could be due to the weaker ringgit.    He added that there were also "mild signs of profit-taking" activities. Among the 30 component stocks of the KLCI, the top three laggards were Hartalega Holdings Bhd, Dialog G...

Market Daily Report: Malaysian stocks end week on positive note

KUALA LUMPUR (Dec 13): Malaysian stocks ended the week on a positive note today in line with regional markets as the US delayed a planned increase in its tariff on billions worth of Chinese-made goods. The FBM KLCI closed up for the third consecutive day, gaining 3.82 points or 0.24% to settle at its intraday low of 1,571.16. The market was trading between 1,571.16 and 1,579.23 points throughout the day. The top gainers on Bursa Malaysia were lead by Petronas Gas Bhd (+54 sen to RM16.94), Batu Kawan Bhd (+40 sen to RM17) and United Plantations Bhd (+38 sen to RM26.18). The top three laggards were Nestle Malaysia Bhd (-80 sen to RM144.60), Malaysia Airports Holdings Bhd (-34 sen to RM7.55) and QL Resources Bhd (-33 sen to RM7.55). Trading volume increased to 2.94 billion shares worth RM2.51 billion compared with yesterday's 2.49 billion shares worth RM2.12 billion. Market breadth was positive with 425 gainers versus 368 losers, while 454 counters were un...

Market Daily Report: FBM KLCI continues with marginal gains after US Fed maintains interest rates

KUALA LUMPUR (Dec 12): The FBM KLCI saw marginal gains continue today, rising 0.29% or 4.15 points after the US Federal Reserve decided to maintain interest rates. As of 5pm, the local benchmark index closed 0.29% or 4.15 points higher at 1,567.34 points. Rakuten Trade Research vice-president Vincent Lau attributes the modest rise in the stock market partly to the decision to keep interest rates steady. “Another reason could be bargain hunting as well, with today’s performance in line with regional markets,” he told theedgemarkets.com. Petronas Gas Bhd, Petronas Dagangan Bhd and MISC Bhd lead the index, while laggards included Malaysia Airports Holdings Bhd (MAHB), RHB Bank Bhd and IHH Healthcare Bhd. Across Bursa Malaysia, some 2.49 billion shares worth RM2.12 billion were traded. 381 counters saw gains, 399 counters declined while 456 counters remained unchanged. Top actives included Eco World Development Group Bhd, Sapura Energy Bhd and Ekovest Bh...

Market Daily Report: Marginal gain on FBM KLCI as attention back on Sino-US trade war

KUALA LUMPUR (Dec 10): The FBM KLCI ended the trading day on a higher note today, posting a gain of 0.09% as bargain hunting and positive news flow on scheduled US tariffs on Chinese goods swayed investors. Upon the ring of the closing bell, the local benchmark index closed 1.4 points higher at 1,563.19 points. According to Rakuten Trade Research vice-president Vincent Lau, some bargain hunting emerged amid hopes that the scheduled tariff hike might be postponed. "On top of that, regionally there are more green movements than red, and this could be a reaction to (news) reports suggesting that scheduled US tariffs on Chinese goods would be delayed," said Lau. Constituent stocks that saw gains today were Petronas Dagangan Bhd, IHH Healthcare Bhd and Press Metal Aluminium Holdings Bhd. Meanwhile, the laggards of the local benchmark index were Sime Darby Bhd, Tenaga Nasional Bhd and Genting Malaysia Bhd. Overall, some 2.37 billion shares worth RM1.71 ...

Market Daily Report: FBM KLCI falls as anxieties rise amid tariff uncertainties

KUALA LUMPUR (Dec 10): The FBMKLCI ended the day down 0.06% or 0.92 point lower at 1,561.79, tracking regional markets, as investors become anxious about whether the additional US tariffs on Chinese goods, scheduled to be imposed on Dec 15, will be implemented. When contacted, Rakuten Trade Research vice-president Vincent Lau told theedgemarkets.com that the decline seen in the local benchmark index was in line with regional markets. “Regional markets were also down today, this is because of worries over uncertainties over US tariffs on Chinese imports,” he said. Some 2.66 billion shares worth RM1.51 billion were traded across Bursa Malaysia today. A total of 407 counters declined versus 346 that climbed, while 426 counters were unchanged. The top three most active counters on the local bourse were JAKS Resources Bhd, Sanichi Technology Bhd and TDM Bhd, while top gainers were led by Panasonic Manufacturing Malaysia Bhd, Petronas Dagangan Bhd and Heine...

Market Daily Report: KLCI dragged by declines at Top Glove, TNB and banking stocks

KUALA LUMPUR (Dec 9): The FBM KLCI closed 0.37% or 5.73 points lower at 1,562.71 today, weighed down by Top Glove Corp Bhd and Tenaga Nasional Bhd (TNB), while banking constituents declined. In particular, AMMB Holdings Bhd, Public Bank Bhd, RHB Bank Bhd, Hong Leong Bank Bhd and CIMB Group Holdings Bhd retreated. But plantation stocks climbed, noted Areca Capital Sdn Bhd chief executive officer Danny Wong Teck Meng. Some 2.62 billion shares worth RM1.62 billion crossed on the local bourse today, with the most actively traded counters being Tiger Synergy Bhd, Sanichi Technology Bhd and TDM Bhd. Top gainers were Nestle Malaysia Bhd, Kuala Lumpur Kepong Bhd and Batu Kawan Bhd, while the biggest losers of the day were Sungei Bagan Rubber (Malaya) Bhd, Heineken Malaysia Bhd and TNB. A total of 389 counters saw gains, while 421 counters recorded declines, and 417 counters were unchanged. Reuters reported today that most Southeast Asian markets were subdued follow...

Market Daily Report: Malaysian stocks end higher on optimism of US-China trade deal

KUALA LUMPUR (Dec 6): Malaysian stocks closed higher today, after opening lower, as investors became optimistic on signs of the US and China striking a deal in their ongoing trade war. The FBM KLCI closed 4.86 points or 0.31% higher at 1,568.44. The benchmark index was traded between 1,561.58 and 1,569.01 points today. Hong Leong Investment Bank Bhd head of retail research Loui Low told theedgemarkets.com that the positive statements coming from both the US and China over the last two days have lifted the positive sentiment in the market. He added that crude palm oil (CPO) prices hovering at above the RM2,800-level have also contributed to the gains in the benchmark index. “Hopefully that the window dressing activities may sustain until the end of December,” said Low. Reuters reported that Asian stocks gained on Friday as investors took heart from the US President Donald Trump saying trade talks with China were “moving right along”, and US oi...

Market Daily Report: FBM KLCI up, led by Sime Darby stocks

KUALA LUMPUR (Dec 5): The FBM KLCI closed 2.65 points or 0.17% higher today while Bursa Malaysia's palm oil plantation index rose by a significantly larger quantum after crude palm oil (CPO) prices rose past RM2,800 a tonne. Globally, Malaysian shares tracked Asian equity gains on expectation the US and China may soon seal a phase one deal to end their 17-month trade war. At Bursa, the KLCI closed up at 1,563.58, led by Sime Darby Bhd and Sime Darby Plantation Bhd share gains. “On the broader market, we are seeing strong gains in the plantation sector after CPO prices rallied towards the RM2,800 per tonne mark on reports that stockpiles in Malaysia (could have headed) towards a two-year low and production falling to a five-month low in November,” Malacca Securities Sdn Bhd senior analyst Kenneth Leong said.    Across Bursa today, 2.39 billion shares worth RM1.71 billion were traded. Gainers led losers by 529 to 305 respectively. Among the KLCI'...

Market Daily Report: Trump's renewed tough trade and tariff rhetoric nudge benchmark down

KUALA LUMPUR (Dec 4): US President Donald Trump's renewed tough trade and tariff rhetoric nudged the FBM KLCI down 0.09% or 1.34 points to the 1,560.93 level. Malacca Securities Head of Research Victor Wan told the theedgemarkets.com that Trump's trade tariff talk had affected both global and regional markets. "There is a spillover from regional markets," he said, adding that recent corporate earnings had not been particularly encouraging either, leading to an absence of catalysts in the local stock market. A total of 2.14 billion shares worth RM1.7 billion were traded across the bourse today. Top actives included Impiana Hotels Bhd, Mudajaya Group Bhd and Bumi Armada Bhd.  Top gainers included IGB Bhd, Aeon Credit Service (M) Bhd and Tenaga Nasional Bhd. Among the top losers were Nestle (M) Bhd, Dutch Lady Milk Industries Bhd and Chin Teck Plantations Bhd. According to Reuters , global markets have been spooked by Trump's comments th...

Market Daily Report: KLCI falls 8.28 points on foreign selling, new trade war concerns

KUALA LUMPUR (Dec 3): The FBM KLCI declined 8.28 points or 0.53% to close at 1,562.27 with Asian shares, after US President Donald Trump restored tariffs on steel and aluminum imports from Brazil and Argentina and as investors evaluated US factory data. Trump's latest move on Brazil and Argentina added fresh global trade war concerns, amid the existing US-China dispute. In Malaysia, fund managers said the KLCI declined today, possibly on foreign selling, as institutional investors rebalanced their Malaysian equity portfolios. “It is the year-end, so may be foreign funds want to unwind certain positions. However, this might change later, once they have looked at the portfolios,” Areca Capital Sdn Bhd chief executive officer Danny Wong Teck Meng told theedgemarkets.com.   The KLCI pared losses at 1,562.27 at 5pm market close, after falling to its intraday low at 1,556.17. Across Bursa Malaysia at 5pm, 2.34 billion shares worth RM1.74 billion were trad...

Market Daily Report: KLCI ends 8.81 points up on technical rebound, China PMI

KUALA LUMPUR (Dec 2): The FBM KLCI closed up 8.81 points or 0.56% today on technical rebound and as prices of crude oil and global shares rose on news the Caixin/Markit Manufacturing Purchasing Managers' Index (PMI), which tracks China manufacturing activity, climbed to 51.8 in November 2019 from 51.7 in the previous month. Reuters reported today that the PMI's November reading marks the fastest expansion in China manufacturing activity since December 2016. At Bursa Malaysia today, the KLCI closed at its intraday high of 1,570.55 at 5pm. Analysts said the KLCI showed a technical rebound, after Friday's 22.03 point or 1.39% drop. "Following last week's sharp correction, most technical indicators on the KLCI stayed oversold and signaled higher possibility for mild technical rebound upside this week. However, downside risks remain, with sustained foreign selling and renewed uncertainty over the ongoing trade dispute between Washington and B...