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Market Daily Report: Bursa Malaysia Ends Higher In Line With Most Regional Markets

KUALA LUMPUR, Sept 20 (Bernama) -- Bursa Malaysia ended higher on Friday in line with most Asian markets, mirroring gains from Wall Street, where investors welcomed the US Federal Reserve's substantial interest rate cut. The FTSE Bursa Malaysia KLCI (FBM KLCI) rose by 3.17 points, or 0.19 per cent, to 1,668.82 at the close from Thursday's close of 1,665.65. It opened 5.03 points higher at 1,670.68, trading between 1,668.48 and 1,674.04 throughout the session. In the broader market, gainers outpaced decliners 732 to 468, while 465 counters were unchanged, 850 untraded and 32 suspended. Turnover swelled to 4.19 billion units worth RM5.97 billion, from Thursday's 3.99 billion units worth RM4.08 billion. UOB Kay Hian Wealth Advisors head of investment research, Mohd Sedek Jantan, noted the FBM KLCI's gains were led by utilities, logistics, and banking stocks, reflecting improved market sentiment. Additiona
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Warren Buffett Reduces Bank of America Stake, Reaping $982 Million

Warren Buffett's Berkshire Hathaway Inc. has continued to reduce its stake in Bank of America Corp (BofA), selling an additional $982 million worth of shares. This latest round of sales, disclosed in a regulatory filing, occurred on August 23, 26, and 27, marking a significant pullback from the investment that has been a cornerstone of Berkshire's portfolio.

Key Takeaways:

  1. Significant Reduction in BofA Stake: Since mid-July, Berkshire Hathaway has reduced its stake in Bank of America by nearly 13%, generating approximately $5.4 billion in total proceeds. This marks one of Buffett's most substantial reductions in a major investment in recent years.

  2. Impact on BofA Stock: Prior to the selling spree, BofA's shares had risen 31% this year. However, the stock has since declined by 10%, closing at $39.67, as investors react to Buffett's sell-off.

  3. Berkshire’s Continued Holding: Despite the sales, Berkshire Hathaway remains the largest shareholder of Bank of America, holding 903.8 million shares valued at $35.9 billion. The ongoing reduction, however, indicates a shift in Buffett's confidence or strategy regarding the bank's future performance.

Buffett has not publicly disclosed the reasons behind the sales, leaving market observers to speculate on the motivations for reducing what has been a highly profitable and long-standing investment in one of the largest U.S. banks.

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