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 (Sept 14): Shares on Bursa Malaysia ended lower on Thursday although volatility subsided amid renewed hope of a US Federal Reserve’s rate hike pause after the latest US inflation data.
At 5pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) slid 3.96 points to 1,449.58 from Wednesday’s close of 1,453.54.
The index opened 4.32 points lower at 1,449.22 and fluctuated between 1,445.31 and 1,455.09 throughout the session.
On the broader market, gainers outnumbered decliners 527 to 342 while 459 counters were unchanged, 1,006 untraded and nine suspended.
Turnover was higher at 2.96 billion units worth RM2.20 billion against Wednesday’s 2.51 billion units worth RM1.88 billion.
Rakuten Trade Sdn Bhd equity research vice-president Thong Pak Leng said the FBM KLCI finished in negative territory as investors shifted their buying interest to smaller cap stocks.
“Buying interest can be seen mainly on plantation, healthcare and telco stocks while the energy sector was under selling pressure,” he told Bernama.
He said the domestic market’s tone is now more steady as compared with the start of the week after the release of the US Consumer Price Index (CPI) data.
He added that bargain-hunting activities also can be seen in most regional bourses following the sell-down in the past few days as investors held the belief that the marginal positive inflation surprise in the US is unlikely to result in higher interest rates.
US CPI accelerated to 3.7% in August compared with market predictions of 3.6%.
At home, heavyweight Maybank traded at ex-dividend Thursday in respect of the single-tier first interim dividend for the financial year ending Dec 31, 2023.
At closing, its shares rose one sen to RM8.84 compared with the reference price of RM8.83 while Public Bank added three sen to RM4.17. Axiata also added three sen to RM2.50.
Of the actives, KNM was flat at 10.5 sen, Sarawak Consolidated Industries at 47 sen and MQ Technology at three sen.
On the index board, the FBMT 100 Index shed 10.11 points to 10,375.72 and the FBM Emas Index eased by 5.55 points to 10,700.46.
The FBM Emas Shariah Index advanced 21.94 points to 10,939.27, the FBM 70 Index perked 63.21 points to 14,151.55 and the FBM ACE Index was 20.26 points higher at 5,164.56.
Sector-wise, the Financial Services Index slipped 93.52 points to 16,237.42, the Energy Index improved one point to 881.41, the Industrial Products and Services Index inched up 0.07 of-a-point to 172.24 and the Plantation Index edged up 36.29 points to 6,965.20.
The Main Market’s volume widened to 2.12 billion units worth RM2 billion from 1.77 billion units worth RM1.70 billion on Wednesday.
Warrant turnover improved to 288.45 million units valued at RM41.40 million against yesterday’s 265.15 million units valued at RM36.82 million.
The ACE Market volume expanded to 546.61 million shares worth RM157.78 million from 465.79 million shares worth RM144.47 million previously.
Consumer products and services counters accounted for 331.82 million shares traded on the Main Market, industrial products and services (374.33 million); construction (121.57 million); technology (132.86 million); SPAC (nil); financial services (75.41 million); property (332.58 million); plantation (35.76 million); REITs (11.57 million), closed/fund (87,300); energy (467,49 million); healthcare (76.80 million); telecommunications and media (33.92 million); transportation and logistics (43.60 million); and utilities (80.15 million).
Source: The Edge
Comments
Post a Comment