KUALA LUMPUR, Nov 19 (Bernama) -- Bursa Malaysia gave up earlier gains to end mixed today, amid a higher regional market showing, as property, construction, and healthcare counters attracted buying interests, while plantation, banking, and telecommunication stocks saw some profit-taking, an analyst said. At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) eased 1.70 points to close at 1,602.34 from yesterday’s close of 1,604.04. The benchmark index, which opened 0.86 of-a-point lower at 1,603.18, moved between 1,601.02 and 1,608.88 during the trading session. However, the broader market was mixed to higher, with gainers leading decliners by 565 to 438 while 502 counters remained unchanged, 961 untraded, and 14 suspended. Turnover narrowed to 2.83 billion units valued at RM2.08 billion versus 2.96 billion units valued at RM2.23 billion yesterday. Rakuten Trade Sdn Bhd equity research vice-president Thong Pak Leng said the benchmark index remained range-bound and it required a dec
Key Takeaway: The US dollar surged to its highest level in a year, fueled by Federal Reserve Chair Jerome Powell's stance against rushing rate cuts. Meanwhile, mixed Chinese economic data added complexity to the global market outlook.
The dollar extended its gains on Friday, driven by rising short-term Treasury yields after Powell reaffirmed the Fed’s cautious approach to rate cuts. Rate cut expectations for December fell to 61%, down from 82.5%, reflecting concerns over sustained inflation and a strong economy.
Market Highlights:
- US Dollar Strength: The dollar is set for a weekly gain of 1.6% against major currencies. The euro fell 1.7% for the week, hitting $1.0540, as dovish European Central Bank (ECB) signals weighed on the single currency.
- Treasury Yields: The two-year Treasury yield climbed six basis points to 4.36%, its highest since July, as markets adjusted to Powell's remarks.
- Stock Performance: Nasdaq futures slipped 0.4%, S&P 500 futures eased 0.3%, and EUROSTOXX 50 futures dropped 0.5%. MSCI Asia-Pacific shares outside Japan fell 4.3% this week, their largest loss in two years, despite a modest 0.2% gain on Friday.
Chinese Economic Data:
- Retail sales rose 4.8% in October, surpassing forecasts and offering a positive signal for consumer spending.
- However, industrial output growth lagged expectations, and property investment declines deepened, highlighting ongoing challenges in China’s economy.
Commodities Under Pressure:
- Gold fell 4.3% this week to $2,568.55, marking an 8% loss for the month.
- Oil prices dropped, with Brent crude futures losing 2.3% this week to $72.15 per barrel, reflecting the pressure of a stronger dollar.
Global Outlook: With Fed rate cuts becoming less likely, Powell's remarks have raised uncertainty about the pace of monetary easing in 2024. Meanwhile, China's mixed economic signals and a stronger dollar continue to shape market sentiment as investors weigh global growth prospects.
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