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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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Asian Shares Rally After Fed Rate Cut; Yen Jitters Ahead of BOJ Decision

 

Asian markets extended their rally on Friday, buoyed by the US Federal Reserve's outsized interest rate cut, while investors remained cautious ahead of the Bank of Japan's (BOJ) monetary policy decision. Meanwhile, Chinese stocks lagged, with the central bank holding its benchmark lending rates steady, disappointing those hoping for further policy support.

MSCI's broad index of Asia-Pacific shares (excluding Japan) rose 0.5%, reaching a two-month high and aiming for a 2.4% weekly gain. Japan's Nikkei surged 1.9%, supported by a weaker yen and profit-taking from recent rallies. For the week, the Nikkei is up 3.4%.

The BOJ is expected to maintain its short-term rate at 0.25%, with traders focused on signals from Governor Kazuo Ueda regarding future rate hikes. The yen has already dropped 1% this week, trading at 142.28 per US dollar, as Japan's core inflation continued to rise, bolstering expectations of further tightening by the BOJ later in the year.

Overnight, Wall Street rallied as investors digested the Fed's rate cut. The S&P 500 and Dow Jones hit record highs, while the Nasdaq soared 2.5%, led by gains in tech stocks. Investors now expect further US rate cuts in the coming months, with the Fed's estimate of neutral rates at 2.85% by 2025.

In foreign exchange, the US dollar remained near one-year lows, while the British pound held steady at $1.3281 following a rate hold by the Bank of England.

In commodities, gold hovered near a record high of $2,587.75 an ounce, and oil prices are on track for a second consecutive week of gains. Brent futures slipped 0.3% to $74.69 a barrel, but are still up 4.2% this week.

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