Wall Street's optimism vanished late Wednesday as President Trump’s sweeping new tariffs triggered a sharp selloff in U.S. equity futures and a flight to safe-haven assets, casting a shadow over global trade outlook and corporate margins. Key Market Moves Instrument Move S&P 500 Futures -3.5% Nasdaq 100 Futures -4.5% Treasury Futures Surged (Yields fell sharply) Japanese Yen Gained as safe haven AUD & NZD Bonds Rallied Tariff Summary A 10% baseline tariff on all U.S. imports. Additional tariffs on ~60 countries, with higher duties targeting China, EU, and Vietnam . Steel and aluminum imports spared from the new round but remain under existing 25% duties. “Eye-watering tariffs scream ‘negotiation tactic,’ which will keep markets on edge for the foreseeable future.” — Adam Hetts, Janus Henderson Investors Sector Impact Major declines hit consumer, tech, and industrial names: Company Sector Move Nike, Gap, Lululemon Retail (Vietnam-based) -...
KUALA
LUMPUR (Jan 22): The FBM KLCI continued its downward trend since
Monday, closing down 9.35 points or 0.59% at 1,577.98 points today,
largely due to banking stocks being hit as a result of the overnight
policy rate (OPR) cut.
"The banking stocks are the ones bringing the KLCI down today. Other than that, the local stock market is doing pretty well today," Rakuten Trade Sdn Bhd research vice president Vincent Lau told theedgemarkets.com.
The banking stock components of the KLCI that were impacted by the announcement include Hong Leong Bank Bhd (-3.56%), Public Bank Bhd (-2.36%), CIMB Group Holdings Bhd (-1.95%), Malayan Banking Bhd (-0.58%), and AMMB Holdings Bhd (0.52%).
These stocks noticeably took a dip after Bank Negara Malaysia announced at around 3pm that the OPR has been reduced by 25 basis points to 2.75%.
Only RHB Bank Bhd was neutral to the announcement as it closed unchanged.
Across Bursa Malaysia, a total of 3.07 billion shares worth RM2.57 billion were traded.
Top gainers included consumer stocks Carlsberg Brewery Malaysia Bhd and Fraser & Neave Holdings Bhd while leading decliners included Dutch Lady Milk Industries Bhd and Panasonic Manufacturing Malaysia Bhd.
In other markets, a global outbreak of a pneumonia-causing virus, which started in China, dictated world market sentiment.
Reuters reported that China's response to the virus outbreak tempered fears of a global pandemic, although Shanghai shares slipped amid worries about a hit to domestic demand and tourism.
"Fears of contagion, particularly as millions travel for Lunar New Year festivities, [have] pushed stocks from record peaks," the newswire said.
Source: The Edge
"The banking stocks are the ones bringing the KLCI down today. Other than that, the local stock market is doing pretty well today," Rakuten Trade Sdn Bhd research vice president Vincent Lau told theedgemarkets.com.
The banking stock components of the KLCI that were impacted by the announcement include Hong Leong Bank Bhd (-3.56%), Public Bank Bhd (-2.36%), CIMB Group Holdings Bhd (-1.95%), Malayan Banking Bhd (-0.58%), and AMMB Holdings Bhd (0.52%).
These stocks noticeably took a dip after Bank Negara Malaysia announced at around 3pm that the OPR has been reduced by 25 basis points to 2.75%.
Only RHB Bank Bhd was neutral to the announcement as it closed unchanged.
Across Bursa Malaysia, a total of 3.07 billion shares worth RM2.57 billion were traded.
Top gainers included consumer stocks Carlsberg Brewery Malaysia Bhd and Fraser & Neave Holdings Bhd while leading decliners included Dutch Lady Milk Industries Bhd and Panasonic Manufacturing Malaysia Bhd.
In other markets, a global outbreak of a pneumonia-causing virus, which started in China, dictated world market sentiment.
Reuters reported that China's response to the virus outbreak tempered fears of a global pandemic, although Shanghai shares slipped amid worries about a hit to domestic demand and tourism.
"Fears of contagion, particularly as millions travel for Lunar New Year festivities, [have] pushed stocks from record peaks," the newswire said.
Source: The Edge
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