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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 ends above 1,400 as Covid-19 treatment trial results spur optimism

KUALA LUMPUR (April 30): The FBM KLCI closed up 27.48 points or 1.99% at 1,407.78 today after broad-based buying lifted share prices across Bursa Malaysia as global investors cheered encouraging early results of a Covid-19 treatment trial. In Malaysia, analysts and remisiers said, local shares also appeared to take their cue from International Trade and Industry Minister Datuk Seri Mohamed Azmin Ali’s statement on Tuesday that realising the urgent need to tackle the current economic crisis, the government had agreed that the economic sectors that were allowed to operate during phases one, two and three of the movement control order (MCO) period be allowed to raise their operational capacity to the fullest and operate without time limits effective yesterday. Maybank Investment Bank Bhd remisier Jeffry Azizi Jaafar told  theedgemarkets.com : "More businesses have been allowed to operate at full capacity, which creates a positive perception that th...

Market Daily Report: Oil price rise spurs equity gains as corporate results trickle in

KUALA LUMPUR (April 29): The FBM KLCI closed up 8.1 points or 0.59% at 1,380.3 after broad-based buying as investors weighed factors including higher crude oil prices and Malaysia corporate financial results against the COVID-19 pandemic’s impact on the world economy. At a glance, Malaysian shares also appeared to take cue today from International Trade and Industry Minister Datuk Seri Mohamed Azmin Ali’s statement yesterday that realising the urgent need to tackle the current economic crisis, the Government has agreed that the economic sectors that were allowed to operate during phases one, two and three of the Movement Control Order (MCO) be allowed effective today to raise their operational capacity to the fullest and to operate without time limits. Across Bursa at 5pm today, a total of 4.825 billion shares valued at RM2.464 billion were traded. There were 630 gainers and 248 decliners as investors evaluated financials of companies including Sapura Energ...

Market Daily Report: Bursa energy index falls most as oil sinks amid dwindling storage room

KUALA LUMPUR (April 28): The FBM KLCI closed up 2.04 points or 0.15% at 1,372.20 today after erasing intraday losses as crude oil’s price drop fuelled uncertainty in world markets already laden with Covid-19 pandemic concerns. Bursa Malaysia’s energy index, which tracks oil and gas companies’  shares, fell the most among the exchange’s indices on news oil prices slumped again today amid concern about dwindling capacity to store crude oil worldwide, heightened by fears that fuel demand may be slow to pick up once countries ease curbs imposed on business and social life to combat the Covid-19 pandemic. It was reported that US West Texas Intermediate crude futures fell to as little as US$10.64 (RM46.44) a barrel today, and were off 12.8%, or US$1.64, at US$11.14 a barrel as of 0635 GMT after plunging 25% yesterday. "Brent crude futures fell to a low of US$18.85 and were last down 4.3%, or 85 US c...

Market Daily Report: KLCI trails ACE Market rise as BOJ stimulus buoys world shares

KUALA LUMPUR (April 27): The FBM KLCI closed up 0.31 point or 0.02% at 1,369.85 today while Bursa Malaysia’s ACE Market index rose by a significantly larger quantum, as world equities responded to news that the Bank of Japan (BOJ) expanded monetary stimulus and pledged to buy an unlimited amount of bonds to mitigate the economic impact of the Covid-19 pandemic. In Malaysia, analysts said the local stock market will take cue from the country’s Movement Control Order (MCO) and global crude oil prices. Across Bursa at 5pm, 5.18 billion shares were traded for RM2.24 billion across the exchange. There were 469 gainers and 369 decliners. The ACE Market index closed up 138.95 points or 3.12% at 4,588.13 to be the largest percentage gainer across the exchange. The KLCI ended up 0.31 point or 0.02% at 1,369.85 after rising to its intraday high at 1,378.40. At a glance, the KLCI pared gains at 5pm after a sharp drop in the final trading hour. "The local mark...

Market Daily Report: Glove shares up as Covid-19 drug development doubt rattles sentiment

KUALA LUMPUR (April 24): The FBM KLCI closed down 11.79 points or 0.85% at 1,369.85 today with Asian stock indices, spurred by doubts about the progress in the development of drugs to treat Covid-19 patients. Such sentiment, however, led to gains in rubber glove manufacturers' share prices, in anticipation lingering Covid-19 concerns will result in higher demand for gloves. Across Bursa Malaysia at 5pm today, 4.69 billon shares were traded for RM2.49 billion. There were 445 gainers and 400 decliners across the exchange, as news Gilead Sciences Inc's antiviral drug Remdesivir which had failed to help severely ill Covid-19 patients in its first clinical trial, hit global stock market sentiment. "Any piece of bad news is likely to rattle the market," New York-based wealth management firm Inverness Counsel chief investment strategist Tim Ghriskey was quoted as saying by Reuters. Across Bursa, top decliners included Heineken Malaysia Bhd, besides KL...

Market Daily Report: Equities erase gains after rising with crude oil prices

KUALA LUMPUR (April 23): The FBM KLCI closed down 0.25 point or 0.02% at 1,381.64 today, after erasing gains in volatile trade. The volatility stems from optimism as equities rose with crude oil prices at above UDS$20 a barrel and as investors continued to be mindful of the Covid-19 pandemic’s impact on world economy. Across Bursa Malaysia at 5pm, a total of 5.05 billion shares were traded for RM2.58 billion. There were 462 gainers and 376 decliners. "The local market should bounce back along with the rebound on overnight Wall Street and oil markets, but sentiment may still be clouded by concerns over the negative economic impact from the oil price collapse and continued lockdowns in neighbouring countries,” TA Securities Holdings Bhd wrote in a note earlier today. At Bursa, volatile trades today saw the KLCI rising to its intraday high at 1,395.34, before falling to its intraday low at 1,378.78. The KLCI ended lower, after profit taking ...

Market Daily Report: Rubber glove shares rise as oil prices fall into a seemingly bottomless pit

KUALA LUMPUR (April 22): The FBM KLCI closed up 0.16 point at 1,381.89 today after erasing losses with Asian share indices as investors weighed the economic impact of crude oil prices at below US$20 a barrel and as nations contend with the Covid-19 pandemic. Rubber glove manufacturers' share prices rose against such sentiment. At 5pm, the KLCI closed up at 1,381.89 after falling to its intraday low at 1,359.54. Across Bursa Malaysia, 5.1 billion shares worth RM2.85 billion were traded. Leading gainers included KLCI-linked rubber glove manufacturers Top Glove Corp Bhd and Hartalega Holdings Bhd. Top Glove’s share price closed up 35 sen or 5.38% at RM6.85, while Hartalega rose 32 sen or 4.41% to RM7.57, as the Covid-19 pandemic leads to expectation of higher demand for rubber gloves. Covid-19 has however led to demand destruction in other sectors including crude oil markets, as the outbreak prompted countries to impose movement restrictions to curb the pandem...

Market Daily Report: Malaysia shares roiled after US crude oil futures fall below zero

KUALA LUMPUR (April 21): The FBM KLCI closed down 31.39 points or 2.22% at 1,381.73 today, while Bursa Malaysia’s energy index fell by a significantly larger quantum, after prices of US crude oil futures fell below zero for the first time in history. Anticipation of Malaysia’s corporate financial reporting season for the January to March quarter is also seen influencing share trades, as investors evaluate the extend of the Covid-19 pandemic’s impact on businesses. Across Bursa at 5pm, 6.53 billion shares were traded for RM2.94 billion. There were 827 decliners and 198 gainers, after broad-based selling across the exchange where all indices ended lower. The energy index, which tracks prices of oil and gas companies’ shares, fell the most after the gauge dropped 43.48 points or 6.05% to 674.87. "The overnight slide on Dow (Jones Industrial Average) and oil prices, coupled with technically overbought market, are likely to witness KLCI in wild swings today ...

Market Daily Report: AirAsia X, MSM volume spike spurs Bursa share trade

KUALA LUMPUR (April 20): The FBM KLCI closed up 5.78 points or 0.41% at 1,413.12 today with Asian share indices, after China cut its benchmark lending rate by 20 basis points to 3.85% and as investors weighed the progress in the global effort to curb the Covid-19 pandemic. Meanwhile, share trade across Bursa Malaysia received support from AirAsia X Bhd, AirAsia Group Bhd and MSM Malaysia Holdings Bhd's volume rise. At 5pm, Bursa saw 5.99 billion shares traded for RM3.21 billion across the exchange. There were 504 gainers versus 434 decliners. On the KLCI, TA Securities Holdings Bhd wrote in a note today that while short-term technical momentum has turned overbought due to last week's index rally to a fresh five-week high, trend momentum registered significant improvement to imply potential reversal from the prior downtrend. "Meantime, further improvement in the domestic Covid-19 outbreak situation with lower daily infection rates, and hopes for grad...

Market Daily Report: FBM KLCI closes above 1,400 level on optimism of US kickstarting economic activity

KUALA LUMPUR (April 17): The FBM KLCI rose actively today to close over the 1,400 level after more than one month, tracking regional gains amidst optimism on US plans to resume economic activities as it works to contain the Covid-19 spread. At 5pm, the benchmark index, which had been trading in green territory throughout the day, closed 20.81 points or 1.5% higher at 1,407.34, with a high volume of 6.31 billion shares worth RM3.02 billion. Market breadth was positive with 660 gainers against 222 losers. The list of top gainers was dominated by consumer stocks such as Dutch Lady Milk Industries Bhd, Panasonic Manufacturing Malaysia Bhd, Carlsberg Brewery Malaysia Bhd, British American Tobacco (Malaysia) Bhd, and Heineken Malaysia Bhd. Malacca Securities Sdn Bhd senior analyst Kenneth Leong said the FBM KLCI advanced alongside gains across its regional peers following US plans to gradually reopen economic activities amid signs of a flattening of the Covid...

Market Daily Report: Final hour plunge lands KLCI in the red

KUALA LUMPUR (April 16): The FBM KLCI closed down 1.26 points or 0.09% at 1,386.53 today after a final hour plunge on profit taking, as investors weighed the impact of the Covid-19 pandemic on the global economy and corporate earnings. At 5pm, Bursa Malaysia registered a trade volume of 4.83 billion shares valued at RM2.67 billion. There were 624 gainers and 253 decliners. Reuters quoted J.P. Morgan Asset Management global market strategist Kerry Craig as saying “markets are looking for the peak in the viral spread, but this is only the start of a very bumpy road back to economic strength.” "Investors should remain vigilant to what the market is pricing and realise that market rallies in a longer bear market are not unusual,” Craig said. At Bursa today, the KLCI rose to its intraday high at 1,398.53, before a final hour plunge landed the index in the red, when market closed. Across the exchange, top gainers included Rubberex Corp (M) Bhd,...

Market Daily Report: KLCI finishes up 1.18% as IMF report adds perspective to Covid-19-driven markets

KUALA LUMPUR (April 15): The FBM KLCI closed up 16.13 points or 1.18% at 1,387.79 today while share trade volume across Bursa Malaysia rose past five billion units, as markets took cue from factors including US equities’ Tuesday overnight rise and after the US Department of Justice (DoJ) said it repatriated to Malaysia some US$300 million (RM1.292 billion) in additional funds misappropriated from 1Malaysia Development Bhd (1MDB). The International Monetary Fund's (IMF) latest World Economic Report, which included forecast for Malaysia’s gross domestic product (GDP) and unemployment rate, may have also influenced Malaysia share trades today as the fund weighed the economic impact of the Covid-19 pandemic. Across Bursa Malaysia today, 5.54 billion shares worth RM2.73 billion were traded. There were 535 gainers and 373 decliners across the exchange. Top gainers included shares of Bursa Malaysia Bhd, Yinson Holdings Bhd and Malaysia Airports Holdings Bhd. T...

Market Daily Report: Respite for stocks as China exports fall less than expected

KUALA LUMPUR (April 14): The FBM KLCI closed up 15.63 points or 1.15% at 1,371.66 today, while Bursa Malaysia’s ACE Market index rose by a significantly higher quantum as investors weighed updates on China’s March 2020 exports, which fell less than expected and as global economies mitigate the impact of the Covid-19 pandemic. Crude oil price gains also appeared to support Malaysia share market sentiment. It was reported that Asian equities extended gains on Tuesday, after China's trade data came in better than expected and as some nations tried to restart their economy by partly lifting restrictions aimed at containing the coronavirus outbreak. "Market sentiment was boosted by data showing China's exports in March fell only 6.6% from the year-ago period, smaller than the expected 14% plunge. Imports eased a modest 0.9%, compared with expectations for a 9.5% drop,” Reuters reported. Across Bursa at 5pm , 4.79 billion shares were traded for RM2.08 bill...

Market Daily Report: KLCI down, Bursa healthcare index rises the most

KUALA LUMPUR (April 13): The FBM KLCI closed down 1.47 points or 0.1% at 1,356.03 today, while rubber glove manufacturers’ share price gained, following global updates on the rising number of Covid-19 pandemic cases and higher death toll from the outbreak. At 5pm, the KLCI closed down at 1,356.03, after erasing gains in the final trading hour. During the day, the KLCI had fallen to its intraday low at 1,352.78, before rising to its intraday high at 1,359.68. Rubber glove manufacturers’ share price rise had partly helped Bursa Malaysia’s healthcare index become the top gainer among Bursa indices. Among rubber glove manufacturers, Top Glove Corp Bhd’s share price closed up 17 sen or 2.62% at RM6.67. Top Glove had earlier today risen to its all-time high at RM6.83. Bursa’s healthcare index, which tracks share prices of rubber glove manufacturers, pharmaceutical companies and hospital operators ended up 20.65 points or 1.55% at 1,349.01. Pharmaniaga Bhd’s sha...

Market Daily Report: Shares down as OPEC+ planned oil output cut dissappoints, Malaysia extends MCO

KUALA LUMPUR (April 10): The FBM KLCI ended 12.26 points or 0.9% lower at 1,357.5 today after the Organization of the Petroleum Exporting Countries and its allies, including Russia - a group known as OPEC+ - agreed to reduce crude oil output by a smaller quantum than what the market was anticipating. Such sentiment had hurt crude oil prices and shares of oil and gas-related companies. Fund managers said Malaysia equities could have also ended lower today on negative sentiment over the extension of Malaysia's movement control order (MCO) until April 28 to curb the COVID-19 pandemic. “It is possible that there is a low sentiment issue as a result of the extension of the MCO. However, another issue is the production cut by OPEC+ as the market does not think it is enough,” Areca Capital Sdn Bhd chief executive officer Danny Wong told theedgemarkets.com. It was reported that oil producers in the OPEC+ group, led by Saudi Arabia and Russia, were expected to...

Market Daily Report: KLCI rises as hopes of global crude oil output cut spurs O&G shares

KUALA LUMPUR (April 9): The FBM KLCI closed up 8.37 points or 0.61% today at 1,369.76 as Bursa Malaysia oil and gas (O&G) shares rose with crude oil prices, on expectation that major producers of the commodity will agree to cut output. Investors are anticipating a truce in the Saudi Arabia-Russia crude oil price war, which has increased supply of the commodity and sent prices lower. The price war does not help crude oil markets at a time when the Covid pandemic has led to expectation of lower demand for crude oil and generated economic uncertainty. At 5pm today, Bursa saw 4.71 billion shares traded for RM2.25 billion. There were 634 gainers versus 252 decliners, as O&G shares Bumi Armada Bhd, Sapura Energy Bhd and Hibiscus Petroleum Bhd topped Bursa’s most active list. Top active stock Bumi Armada saw some 200 million shares traded. The stock closed up one sen or 5.71% at 18.5 sen. Globally, Reuters reported Asian shares rose on Thursday, on hopes t...

Market Daily Report: Stocks down as global Covid-19 death toll mounts

KUALA LUMPUR (April 8): The FBM KLCI closed down 8.53 points or 0.62% at 1,361.39 today with global shares, as news on the higher global death toll at about 80,000 from the Covid-19 pandemic hit sentiment as investors weighed the economic impact from the outbreak. Across Bursa Malaysia at 5pm, 5.36 billion shares worth RM2.67 billion were traded. There were 617 decliners versus 316 gainers across the exchange. "Despite several stimulus packages [from our (Malaysian) government] to cushion the impact of Covid-19, traders are advised to deploy the sell into rally strategy for the near term as we believe the KLCI is facing a stiff resistance along 1,370-1,400,” Hong Leong Investment Bank Bhd wrote in a note today. Globally, it was reported that world stocks turned negative on Wednesday as the coronavirus death toll mounted and eurozone finance ministers failed to agree on a rescue package to help economies recover from the impact of the outbreak. It w...

Market Daily Report: KLCI finishes up at intraday high as Bursa volume exceeds 6b shares

KUALA LUMPUR (April 7): The FBM KLCI closed up 28.23 points or 2.1% today at its intraday high at1,369.92 after Asian equity indices ended higher on hopes the Covid-19 outbreak is slowing and as investors anticipated a truce in the Saudi Arabia-Russia crude oil price war. The price war has increased supply of the commodity and sent prices lower. In Malaysia, investors also took cue today from the government’s announcement yesterday of an additional RM10 billion assistance package targeted at helping small and medium enterprises affected by the country’s movement control order to curb the Covid-19 pandemic. On March 27, the government announced the RM250 billion Prihatin Rakyat Economic Stimulus Package to mitigate the economic impact of the Covid-19 outbreak on the country. At 5pm today across Bursa Malaysia, 6.61 billion shares were traded for RM3.37 billion. Bursa registered its all-time high trading volume on Aug 20, 2014, when the exchange saw 7.67 billion sh...

Market Daily Report: Bursa volume nears 6 bil units as O&G shares steal limelight

KUALA LUMPUR (April 6): The FBM KLCI closed up 11.04 points or 0.83% at 1,341.69 today while trading volume across Bursa Malaysia neared six billion shares after Asian equities ended higher as investors weighed the possibility that the increase in new Covid-19 cases has slowed. The Saudi Arabia-Russia crude oil price war is also closely watched. At 5pm, trade volume across Bursa ended at 5.99 billion shares worth RM2.61 billion as oil and gas-related share prices rose among top-active stocks. "Investors are now trying to find pockets of positive developments and are seeking trading opportunities," Rakuten Trade Sdn Bhd research vice-president Vincent Lau told theedgemarkets.com. “As such, any positive developments will make a difference to investor sentiment,” Lau said. TA Securities Holdings Bhd wrote in a note today that conflicting signals flashed on momentum and trend indicators of the KLCI following last week's choppy trading sessions i...

Market Daily Report: No respite for stocks as global Covid-19 cases top 1 million

KUALA LUMPUR (April 3): The FBM KLCI closed down 0.25 point or 0.02% at 1,330.65 today, as the Covid-19 pandemic, which has killed more than 50,000 people globally and infected over a million individuals, raised concerns on world economic growth. Crude oil markets are also closely watched as the pandemic led to demand destruction and as markets take cue from a potential truce in the Saudi Arabia-Russia price war. At 5pm, the KLCI closed at 1,330.65, after falling to its intraday low at 1,324.41. Across Bursa, 5.35 billion shares worth RM2.48 billion were traded. Top decliners included KLCI stocks Petronas Dagangan Bhd and Hong Leong Financial Group Bhd, as investors weighed Bank Negara Malaysia's (BNM) latest forecast for the Malaysian economy. BNM said today in its Economic and Monetary Review 2019, that Malaysia's economic growth, as measured by Gross Domestic Product (GDP), is projected at between -2% to 0.5% in 2020 against a highly-challenging ...

Market Daily Report: Bursa energy index jumps 14% after Trump raises hopes of Saudi Arabia-Russia oil war truce

KUALA LUMPUR (April 2): The FBM KLCI closed up 8.24 points or 0.62% at 1,330.90 today as Bursa Malaysia’s energy index jumped 14% in an apparent reaction to crude oil futures’ 10% rise on anticipation of a deal between Saudi Arabia and Russia to end their price war. Reuters reported that crude oil futures jumped some 10% on Thursday after US President Donald Trump said he expected Saudi Arabia and Russia to reach a deal soon to end their oil price war and Russian President Vladimir Putin called for a solution to "challenging" oil markets. It was reported that Brent crude futures rose 11.36%, or US$2.81, to US$27.55 as of 0701 GMT, while US West Texas Intermediate crude futures increased 10.0%, or US$2.03, at US$22.34. Across Bursa at 5pm, 5.15 billion shares were traded for RM2.44 billion. There were 671 gainers and 203 decliners. Bursa’s energy index, which tracks oil and gas companies’ share prices, closed up 87.13 points or 14.23% at 699.56, as ...

Market Daily Report: Shares sink on profit-taking as global Covid-19 death toll tops 40,000

KUALA LUMPUR (April 1): The FBM KLCI closed down 28.23 points or 2.09% at 1,322.66 today, as the Covid-19 pandemic, which has killed more than 40,000 globally, gave no respite to world share markets. The spectre of a global economic slowdown and lower crude oil prices due to the outbreak, gave reasons to equity investors to take profit today, following yesterday’s gain. Across Bursa Malaysia at 5pm today, 4.74 billion shares were traded for RM2.77 billion. There were 523 decliners and 355 gainers across the exchange. "Profit-taking should arise to check yesterday's window-dressing gains, with downside cushioned on hopes extended social distancing and lockdowns in the US and Europe may slow the coronavirus infection rate, and relieve over China's surprise manufacturing expansion in March,” TA Securities Holdings Bhd wrote in a note earlier today. Globally, Reuters reported Asian shares and Wall Street futures fell on Wednesday, in the first tradin...