KUALA LUMPUR, March 10 (Bernama) -- Bursa Malaysia rebounded to end higher today with the benchmark FBM KLCI reclaiming the 1,700 psychological level, supported by improved global sentiment after US President Donald Trump signalled a potential de-escalation of the Iran conflict, alongside Malaysia’s stronger Industrial Production Index (IPI) data. At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) increased 27.51 points, or 1.64 per cent, to 1,701.68 from yesterday’s close of 1,674.17. The benchmark index opened 10.68 points higher at 1,684.85, its lowest point today, and hit a high of 1,703.61 in the late afternoon session. Market breadth was positive, with gainers thumping losers 929 to 382. A total of 361 counters were unchanged, 982 untraded and 19 suspended. Turnover declined to 3.60 billion units worth RM3.75 billion from yesterday’s 5.52 billion units worth RM5.87 billion.
The ringgit took a breather this morning, slipping slightly against the US dollar as traders digest the US Federal Reserve’s latest policy signals. As of 8am, the local unit stood at 4.4245/4360 per USD, down from 4.4215/4270 the previous close.
Muted Reaction to Fed Cues
According to UOB Kay Hian’s Mohd Sedek Jantan, the market remains without strong directional signals. Overnight, US Treasury yields wavered but ended flat, suggesting no immediate catalyst for major capital flows.
“While Asian currencies, including the ringgit, briefly rose following the FOMC meeting, the gains were short-lived,” he said. With reciprocal US tariffs expected on April 2, risk sentiment could weaken further, driving investors toward the safe-haven greenback.
Mild CPI May Keep BNM Steady
Bank Muamalat’s Dr. Mohd Afzanizam Abdul Rashid highlighted today’s February CPI data as a key watchpoint. Inflation is projected to come in at 1.5% YoY, compared to 1.7% in the prior two months.
A softer reading would likely reaffirm Bank Negara Malaysia’s current monetary policy stance, with no rate hikes in sight.
Afzanizam expects the ringgit to trade within 4.42 to 4.43 against the USD for the day.
Ringgit vs Major & Regional Currencies
The ringgit weakened broadly this morning:
- Euro: 4.8028/8153 (vs 4.7973/8033)
- British Pound: 5.7368/7517 (vs 5.7276/7347)
- Japanese Yen: 2.9773/9852 (vs 2.9728/9767)
ASEAN currencies:
- Singapore Dollar: 3.3150/3241 (vs 3.3117/3164)
- Philippine Peso: 7.73/7.76 (vs 7.72/7.74)
- Indonesian Rupiah: 268.3/269.2 (vs 268.1/268.6)
- ✅ Thai Baht: Strengthened slightly to 13.1112/1538 (vs 13.1163/1388)
Takeaway for Investors
The ringgit’s pullback comes amid cautious global sentiment. While inflation remains under control at home, external risks — especially looming tariffs and a still-uncertain Fed outlook — may continue to pressure the local note. Traders should stay tuned to upcoming inflation data and tariff developments as key drivers for ringgit movement in the short term.
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