Malaysian equities staged a powerful rebound on Thursday , riding the wave of global relief after US President Donald Trump paused his reciprocal tariffs —except on China. The move restored RM75 billion in market value on Bursa Malaysia in just one morning. Market Highlights: FBM KLCI jumped 4.5% at open , hitting 1,473.36 before pausing at 1,465.00 (+64.41 pts). All 30 KLCI component stocks traded higher. CIMB (+9%) , Gamuda , Petronas Chemicals , and Nestlé Malaysia each climbed nearly 8% . FBM ACE Index : +5% Technology Index : +12% Energy Index : +7% Construction Index : +6% Global Boost: Malaysia joined a broader Asia-wide rally , with: Taiwan Taiex and Japan’s Nikkei 225 up ~9% South Korea’s Kospi surged 6% Market Commentary: Danny Wong (Areca Capital) : “Today’s rebound may be a temporary blip... downside risks remain due to unresolved tariff issues.” Areca manages over RM5 billion in ...
Survey Shows American Wealth Set to Grow Under Either Trump or Harris, With Stocks Expected to Benefit
A recent Bloomberg survey reveals that the wealth of American investors is poised to grow, regardless of whether Donald Trump or Kamala Harris wins the upcoming November 5 election. The survey suggests that stocks are expected to perform well under both candidates, though Trump is viewed as more favorable for Bitcoin and gold, while a Harris presidency could provide a slight relief in housing costs.
According to the Bloomberg Markets Live Pulse survey, 38% of respondents believe stock market gains will accelerate under Trump, compared to 13% who anticipate the same under Harris. Still, nearly half of investors expect the stock market to continue its strong performance under the Democratic candidate, with 59% predicting similar results under Trump.
Historical data shows that US elections tend to have a limited long-term effect on the markets. Analysts at Deutsche Bank AG, led by Jim Reid, note that 13 of the last 15 US presidents saw annualized stock returns of between 10% and 17%, regardless of party affiliation. In fact, the S&P 500 has historically tended to rally by 6.6% on average in the six months following an election.
In terms of housing, Harris is seen as having a more favorable impact on mortgage rates. Survey participants estimate that mortgage rates could fall to 5.5% under Harris, compared to 5.9% under Trump. With mortgage rates currently at 6.54%, many potential buyers have been waiting for borrowing costs to decrease, as high rates have strained housing affordability.
Meanwhile, gold, a popular haven asset, is expected to rally further under Trump, with 57% of survey respondents anticipating higher gold prices compared to 45% under Harris. Bitcoin is also forecast to hit a new record above $80,000 if Trump wins, while under Harris, it is expected to reach $65,000.
The survey, conducted from October 21-25, involved 350 respondents, including portfolio managers, economists, and retail investors.
source: bloomberg
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