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...
KUALA LUMPUR (Feb 10): The FTSE Bursa Malaysia KLCI (FBM KLCI) rebounded on Friday (Feb 10), snapping a three-day losing streak and bucking the regional trend as market participants cheered the slightly better-than-expected 2022 gross domestic product (GDP) data, a dealer said.
At 5pm, the benchmark FBM KLCI gained 9.95 points or 0.68% to 1,474.59, compared with Thursday’s close of 1,464.64.
The key index opened 0.41 points better at 1,465.05 and moved between 1,463.31 to 1,476.03 throughout the session.
However, the market breadth was negative as decliners thumped gainers
540 to 403, while 403 counters were unchanged, 828 untraded and 18
others suspended.
Turnover increased to 4.08 billion units worth RM2.5 billion, against Thursday’s 3.57 billion units worth RM2.19 billion.
Malaysia’s economic growth jumped to a 22-year record high of 8.7% in 2022, against 3.1% in the previous year.
However, Bank Negara Malaysia (BNM) said the nation’s GDP expanded by 7% in the fourth quarter of 2022 (4Q2022), versus 14.2% in 3Q2022, as support from the stimulus measures and low base effects waned.
Rakuten Trade Sdn Bhd vice-president of equity research Thong Pak Leng reckons that the strong set of GDP data boosted investor confidence.
“Besides, the (uptrend) was also driven by bargain hunting activities following three consecutive days of selldown,” he told Bernama.
Regionally, key indices closed mostly lower following negative cues from Wall Street overnight, as high inflation and worries about a slowing economy, as well as lacklustre corporate results, weighed on US markets.
Bursa Malaysia heavyweight stocks Malayan Banking Bhd (Maybank) gained 13 sen to RM8.75, Public Bank Bhd added seven sen to RM4.20, and Petronas Chemicals Group Bhd bagged one sen RM8.25. Tenaga Nasional Bhd (TNB) advanced 24 sen to RM9.77 and CIMB Bank Bhd was flat at RM5.37.
MyEG Services Bhd emerged as the most actively traded stock on Bursa Malaysia at the close on Friday, after the government announced that private vehicle owners are no longer required to display road tax stickers on their vehicles. Instead, they can use the digital Motor Vehicle Licence (e-LKM) starting Friday.
Its business also involves road tax renewals, among other government-related services.
MyEG shares tumbled 14.69% or 10.5 sen to 61 sen, with the trading volume spiking to 787.22 million shares. The stock opened higher at 73.5 sen on Friday, from 71.5 sen at the close on Thursday.
In other active stocks, Velesto Energy Bhd expanded two sen to 24 sen, EG Industries Bhd rallied 9.5 sen to 75.5 sen, Zen Tech International Bhd fell 1.5 sen to 3.5 and Sapura Energy Bhd was flat at 4.5 sen.
On the index board, the FBM Emas Index earned 45.04 points to 10,740.04, the FBMT 100 Index strengthened 46.21 points to 10,405.73, and the FBM Emas Shariah Index went down 0.11 point to 11,046.41. The FBM 70 Index dwindled 42.95 points to 13,569.98, and the FBM ACE Index was 68.47 points lower at 5,744.00.
Sector-wise, the Plantation Index edged up 7.86 points to 6,886.65, the Energy Index rose 11.49 points to 896.37, and the Financial Services Index surged 198.16 points to 16,1113.37. The Industrial Products and Services Index eased by 0.18 of-a-point to 190.15.
The Main Market volume widened to 2.64 billion shares worth RM2.05 billion, compared to Thursday’s 2.12 billion shares worth RM1.76 billion.
Warrant turnover improved to 425.55 million units worth RM49.88 million, from 342.21 million units worth RM51.05 million on Thursday.
The ACE Market volume was trimmed to 1.01 billion shares worth RM398.66 million, from 1.11 billion shares worth RM380.62 million previously.
Consumer products and services counters accounted for 233.10 million shares traded on the Main Market, while industrial products and services accounted for 515.78 million shares; construction (149.98 million shares); technology (988.38 million shares); SPAC (nil), financial services (56.56 million shares); property (170.90 million shares); plantation (34.00 million shares); REITs (5.34 million shares), closed/fund (12,700 shares); energy (329.95 million shares); healthcare (75.15 million shares); telecommunications and media (24.81 million shares); transportation and logistics (37.59 million shares); and utilities (23.54 million shares).
Source: The Edge
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