KUALA LUMPUR, July 30 (Bernama) -- Bursa Malaysia's key index closed at an intraday high today, supported by continued buying interest even as renewed geopolitical tensions and a weaker overnight lead from Wall Street following the US Federal Reserve's (Fed) decision to stand pat on interest rates weighed on broader sentiment. The Fed has decided to hold rates steady for the fifth consecutive meeting, with the Federal Funds Rate unchanged between 3.50 per cent and 3.75 per cent. At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) rose 4.84 points to 1,720.40 from yesterday’s close of 1,715.56. The benchmark index, which opened 1.14 points lower at 1,714.42, hit its lowest level of 1,710.69 in early trade before gaining momentum for the rest of the day. However, the broader market was negative with losers outpacing gainers 581 to 411, while 612 counters were unchanged, 1,173 untraded, and 87 suspended. Turnover declined to 2.49 billion units valued at RM2.25 billion from ...
The yen experienced its sharpest decline in over two years, falling more than 2.9% against the dollar after Japan’s new prime minister, Shigeru Ishiba, stated that the economy isn't ready for another interest-rate hike. The currency hit its weakest level in a month, dropping beyond the 147 mark in morning trading in Tokyo.
Ishiba’s comments were echoed by Bank of Japan Governor Kazuo Ueda, contributing to the yen's plunge. This marks the yen’s largest daily drop since June 2022, with the currency experiencing significant volatility, surpassing even the swings seen in early August.
The yen’s fall coincided with a sell-off in US Treasuries, driven by a stronger-than-expected US jobs report. This led to the yield on the 10-year Treasury note rising five basis points to 3.78%. Meanwhile, Federal Reserve Chair Jerome Powell reaffirmed the Fed's hawkish stance on monetary policy, compounding the yen’s woes.
The yen’s volatility has sparked concerns about uncertainty surrounding the Bank of Japan's policy, with traders readjusting their positions. The BOJ is now expected to hold off on further rate hikes, leading to continued depreciation of the yen through the end of the year.
Comments
Post a Comment