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 (Jan 19): Bursa Malaysia snapped three consecutive days of losses to end at its intraday high on Friday on bargain hunting in selected heavyweights led by the financial services and utilities sectors.
This was in tandem with a few key Asian markets which rebounded on Friday while taking the cue from the strong performance of US stocks, buoyed by artificial intelligence optimism which drove gains in chipmakers and brightened the earnings outlook for technology stocks, a dealer said.
At 5pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) rose 7.19 points to 1,486.37 from Thursday's close of 1,479.18.
The barometer index opened one point better at 1,480.18 and moved to as low as 1,477.05 in the early morning session.
On the broader market, gainers beat losers 639 to 359, while 423 counters were unchanged, 844 untraded and 16 others suspended.
Turnover decreased to 5.39 billion units worth RM2.73 billion from 6.10 billion units worth RM3.62 billion on Thursday.
Rakuten Trade equity research vice-president Thong Pak Leng said the optimism for a US interest rate cut reemerged after data showed that manufacturing in the mid-Atlantic region contracted by more than economists expected.
He also shared that economists predicted that Bank Negara Malaysia will maintain the overnight policy rate at 3% and hold at this level until at least by end-2025.
"We believe this will instil confidence in the improving economy, providing greater stability in corporate earnings and, in turn, enhancing the fundamentals of the local market.
"We reckon that interest in Malaysian equities will remain strong, given the robust daily trading volume, however, investors are staying cautious due to the rising volatility in the global markets," he told Bernama.
Regionally, Japan's Nikkei 225 rose 1.4% to 35,963.27, South Korea’s Kospi surged 1.34% to 2,472.74 and Singapore’s Straits Times Index added 0.4% to 3,152.29.
Hong Kong’s Hang Seng Index eased 0.54% to 15,308.69 and Shanghai Stock Exchange Composite Index shed 0.47% to 2,832.28.
Back home, heavyweights Malayan Banking Bhd added one sen to RM9.03, Public Bank Bhd gained four sen to RM4.35, CIMB Group Holdings Bhd bagged seven sen to RM6.01, Tenaga Nasional Bhd rose eight sen to RM10.44, and Petronas Chemicals Group Bhd improved two sen to RM6.78.
Of the actives, Widad Group Bhd declined eight sen to 11 sen, Sarawak Consolidated Industries Bhd fell 24.5 sen to 29 sen, Sapura Energy Bhd eased half-a-sen to 4.5 sen, Tanco Holdings Bhd slipped 14.5 sen to 36.5 sen, while Artroniq Bhd added 5.5 sen to 28.5 sen.
On the index board, the FBM Emas Index increased 61.05 points to 11,065.16, the FBM 70 Index soared 120.87 points to 15,041.39, the FBMT 100 Index climbed 60.65 points to 10,734.29, the FBM Emas Shariah Index gained 59.41 points to 11,170.67, and the FBM ACE Index added 4.21 points to 4,790.15.
Sector-wise, the Financial Services Index jumped 66.57 points to 16,613.52, the Property Index improved 11.24 points to 890.97, the Plantation Index advanced 38.54 points to 7,163.09, the Industrial Products and Services Index edged up 0.52 of-a-point to 172.92, and the Energy Index perked up 3.28 points to 843.32.
The Main Market volume decreased to 3.28 billion units valued at RM2.40 billion from 3.68 billion units valued at RM3.14 billion on Thursday.
Warrants turnover declined to 530.55 million units worth RM65.93 million from 715.58 million units worth RM103.70 million previously.
The ACE Market volume slipped to 1.56 billion shares valued at RM261.65 million versus 1.68 billion shares valued at RM366.14 million on Thursday.
Consumer products and services counters accounted for 334.35 million shares traded on the Main Market, industrial products and services (1.37 billion), construction (144.51 million), technology (263.46 million), SPAC (nil), financial services (77.80 million), property (419.91 million), plantation (39.95 million), REITs (8.75 million), closed/fund (28,600), energy (350.39 million), healthcare (74.93 million), telecommunications and media (43.55 million), transportation and logistics (43.13 million), and utilities (107.38 million).
Source: The Edge
Comments
Post a Comment