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 (May 28): The FBM KLCI closed 5.77 points or 0.4% higher today tracking overnight gains on Wall Street on the back of optimism about the reopening of the US economy.
The benchmark index closed at 1,457.5, after moving between 1,449.25 and 1,458.73.
Apart from the Wall Street gains, the KLCI’s rise was also due to the index playing catch up after the Aidilfitri holiday break on Monday and Tuesday, Rakuten Trade Research head Kenny Yee Shen Pin told theedgemarkets.com.
He, however, warned that the uptrend is unlikely to sustain as the market is lacking a catalyst to provide the support for further gain.
Among KLCI component stocks, Genting Malaysia Bhd led the gainers with a 3.14% or seven sen rise to RM2.30, followed by Dialog Group Bhd (up 2.97% or 11 sen to RM3.81), and CIMB Group Holdings Bhd (up 2.63% or nine sen to RM3.51).
Total turnover on Bursa Malaysia was 6.94 billion shares, worth RM5.45 billion. Losers led gainers by 546 to 366, while 451 counters remained unchanged.
Elsewhere in Asia, Japan's Nikkei 225 grew 2.32%, while South Korea's Kospi fell 0.13% and Hong Kong’s Hang Seng was down 0.72%.
Reuters reported that Asian shares erased gains and the yuan languished today on growing worries China’s planned security law for Hong Kong would spark a broader diplomatic confrontation with the US.
Source: The Edge
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