KUALA LUMPUR, Jan 7 (Bernama) -- Bursa Malaysia’s benchmark index rebounded from earlier losses to close at its intraday high on Wednesday, gaining 0.27 per cent in late trading as buying interest returned to selected heavyweights. At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) advanced 4.48 points to 1,676.83 from Tuesday’s close of 1,672.35. The benchmark index opened 0.88 of-a-point lower at 1,671.47 and subsequently hit a low of 1,665.94 during the mid-morning session before gaining momentum toward closing. On the broader market, losers led gainers by 565 to 512, while some 526 counters were unchanged, 1,046 untraded, and 10 suspended. Turnover improved to 2.73 billion units worth RM2.76 billion versus Tuesday’s 2.66 billion units worth RM2.76 billion. Dealers said that investors were cautious following geopolitical developments in Asia.
The year 2024 was marked by transformative shifts in global financial markets, with standout performances from Bitcoin, U.S. equities, and gold, while other assets, like crude oil, faced challenges.
Key Market Highlights
1. Bitcoin’s 136% Surge: A Digital Gold Rush
- Performance: Bitcoin soared 136.88%, becoming the top-performing asset of 2024.
- Drivers:
- Institutional Investment: Increased adoption for its inflation-hedging properties.
- Bitcoin ETFs: Approval in the U.S. improved liquidity and accessibility.
- Technological Advancements: Lightning Network upgrades attracted long-term investors.
- Trump’s Re-Election: Analysts expect lenient crypto policies, including potential tax reductions and compatibility initiatives with the U.S. dollar.
- Outlook: Analysts warn of potential regulatory scrutiny in 2025, but Bitcoin’s appeal may strengthen if inflationary pressures persist globally.
2. U.S. Equities Soar on Tech Leadership
- Nasdaq: +32.74%
- S&P 500: +26.86%
- Key Drivers:
- Generative AI Boom: Companies like Nvidia and Microsoft fueled the tech sector's exponential growth.
- Federal Reserve Policy: A dovish stance mid-year bolstered liquidity.
- Shareholder Returns: Stock buybacks and dividends drove prices higher.
3. Asia-Pacific Markets: Mixed Performance
- Nikkei 225: +17.95%, supported by Japan’s ultra-loose monetary policy.
- Hang Seng Index: +16.48%
- FTSE China A50: +15.86%, recovering late in the year due to supportive policies.
4. Commodities: Gold Shines, Oil Stumbles
- Gold: +28.68%, driven by geopolitical tensions and inflows into gold ETFs amid a weaker dollar.
- Natural Gas: +30.88%, rebounding due to global cold waves and supply disruptions.
- Crude Oil: -3.31%, impacted by the faster transition to renewables, reducing demand.
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