KUALA LUMPUR, June 22 (Bernama) -- Bursa Malaysia ended on a softer note today as investors engaged in profit-taking following the recent rebound in the local market, an analyst said. At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) declined by 0.65 per cent, or 11.19 points, to 1,700.84 from last Friday's close of 1,712.03. The benchmark index opened 1.56 points lower at 1,710.47 and moved between 1,699.94 and 1,712.32 throughout the trading session. Market breadth was negative, with decliners outnumbering gainers 560 to 481. A total of 608 counters were unchanged, 1,649 untraded, and 14 suspended. Turnover slipped to 3.29 billion units worth RM2.40 billion from 3.45 billion units worth RM3.79 billion on Friday.
Despite Japan's economic progress, rural towns like Misato continue to face economic decline, highlighting the challenge for Japan's next prime minister to ensure the broad and lasting recovery of the entire nation. The disparity is evident in regions like Kumamoto, where a semiconductor boom fueled by Taiwan Semiconductor Manufacturing Co. (TSMC) is driving growth, higher wages, and population influx. In contrast, nearby towns such as Misato suffer from shrinking populations and shuttered businesses, with agriculture struggling due to rising costs.
Japan's next leader, to be chosen by the Liberal Democratic Party (LDP), will face the task of addressing these stark contrasts. While urban centers benefit from foreign investments and a revived tech industry, rural areas are left behind. Candidates in the LDP leadership race have proposed varying solutions, from replicating the TSMC model across the country to boosting tourism and incentivizing businesses and academic institutions to relocate to rural areas.
Japan’s aging population, declining birthrates, and depopulation are ongoing challenges that compound its economic stagnation over the past 30 years. Despite gains in the stock market, rising inflation, and increased military spending, many rural areas remain disconnected from these benefits. Economic strategies like the TSMC semiconductor plant may offer localized prosperity, but replicating this success on a national scale remains a daunting challenge for Japan’s future leaders.
Without comprehensive policy shifts, Japan risks solidifying a two-track economy with a stark divide between urban prosperity and rural decline.4o
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