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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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BlackRock and Microsoft to Raise $30 Billion for AI Investments

 

BlackRock Inc and Microsoft Corp are joining forces to launch one of the largest efforts yet to finance the development of data warehouses and energy infrastructure needed to support the rapid growth of artificial intelligence (AI).

The two companies, along with the United Arab Emirates' MGX investment vehicle, aim to raise $30 billion (RM127.85 billion) in private equity capital over time, which could be leveraged up to $100 billion in potential investments, according to an announcement on Tuesday.

"The need to build out data centres globally is a multi-trillion-dollar financing opportunity," said BlackRock CEO Larry Fink in an interview. He noted that the Global AI Infrastructure Investment Partnership has been months in the making, describing it as "a great example of the capital markets building out infrastructure and opportunities for new technologies."

Focus on US and Partner Countries

The infrastructure investments, including energy projects, will be primarily in the US, with some funds directed to US partner countries, the companies said. The plan involves attracting additional investors, including pension funds and insurers that are looking for long-term infrastructure investments.

Fink expressed confidence in the fund-raising effort, saying, "We don’t believe it will be a difficult task."

The coalition includes Global Infrastructure Partners (which BlackRock is acquiring for $12.5 billion), Abu Dhabi's MGX (created this year to invest in AI), and Nvidia Corp, which will support the coalition with its expertise in AI data centres and technology infrastructure.

"The investment opportunity is real, and the investment need is even greater," said Brad Smith, vice chairman and president of Microsoft. He described AI as "the next general-purpose technology that will fuel growth across every sector of the economy both in the United States and abroad."

Impact on Energy and Infrastructure

Microsoft has invested $13 billion in AI research lab OpenAI and is integrating AI features throughout its product line. The software giant is expanding its investment in data centres and computing infrastructure to meet the surging demand for AI services, but its growth is currently constrained by limited chip supplies and data centre capacity.

Energy demand is a significant concern, with AI data centres expected to see electricity usage increase up to 10 times current levels by 2030, according to Bloomberg Intelligence. To meet this demand, energy companies are delaying the retirement of coal and gas plants, planning new gas plants, and building renewable energy sources like solar and wind farms.

“It’s clear today that the availability of power is one of the constraints on building not just data centres but electrification in general,” said Bayo Ogunlesi of Global Infrastructure Partners. He highlighted the need to accelerate the development of new renewable power plants to support this growth.

Expanding AI Infrastructure

Microsoft is also in discussions with OpenAI co-founder and CEO Sam Altman, who is developing plans for investor and tech company collaborations to significantly expand the computing infrastructure required for AI products.

The collaboration between BlackRock, Microsoft, and MGX marks a significant step toward addressing the growing infrastructure needs driven by the AI boom.

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