KUALA LUMPUR, April 8 (Bernama) -- The FTSE Bursa Malaysia KLCI (FBM KLCI) erased earlier gains to close marginally lower on Tuesday as mild bargain hunting activities were offset by cautious mode over ongoing global uncertainties. At 5 pm, the benchmark index slipped 0.24 of-a-point, or 0.02 per cent, to 1,443.56 from yesterday’s close of 1,443.80. The benchmark index opened 7.63 points firmer at 1,451.43 and climbed to as high as 1,454.58 in early trade before retreating to a low of 1,440.89 towards the end of the morning trading session. It then moved in a yo-yo mode during the afternoon session. In contrast, the broader market was positive with gainers outpacing decliners 669 to 367, while 419 counters were unchanged, 894 counters untraded, and nine others suspended. Turnover dwindled to 3.32 billion units valued at RM2.83 billion against 5.35 billion units valued at RM4.67 billion on Monday.
Wall Street's optimism vanished late Wednesday as President Trump’s sweeping new tariffs triggered a sharp selloff in U.S. equity futures and a flight to safe-haven assets, casting a shadow over global trade outlook and corporate margins.
Key Market Moves
| Instrument | Move |
|---|---|
| S&P 500 Futures | -3.5% |
| Nasdaq 100 Futures | -4.5% |
| Treasury Futures | Surged (Yields fell sharply) |
| Japanese Yen | Gained as safe haven |
| AUD & NZD Bonds | Rallied |
Tariff Summary
A 10% baseline tariff on all U.S. imports.
Additional tariffs on ~60 countries, with higher duties targeting China, EU, and Vietnam.
Steel and aluminum imports spared from the new round but remain under existing 25% duties.
“Eye-watering tariffs scream ‘negotiation tactic,’ which will keep markets on edge for the foreseeable future.”— Adam Hetts, Janus Henderson Investors
Sector Impact
Major declines hit consumer, tech, and industrial names:
| Company | Sector | Move |
|---|---|---|
| Nike, Gap, Lululemon | Retail (Vietnam-based) | -7%+ |
| Apple | Tech (China supply) | -6.9% |
| Nvidia, AMD | Semiconductors | ↓ |
| Caterpillar, Boeing | Industrials | ↓ |
“This slows trade and squeezes margins… expect retaliation, and likely escalation.”— Michael O’Rourke, JonesTrading
Market Sentiment
Investors are bracing for:
Retaliatory trade actions
Higher consumer prices
Earnings headwinds
Potential policy missteps
“This may create a short-term buying opportunity — if negotiations pull tariffs back from their peak.”— Steve Chiavarone, Federated Hermes
Forward Outlook
The Fed may face slower growth + sticky inflation due to disrupted supply chains.
Markets may trade in headline-driven cycles, with volatility tied to tariff clarity and global reaction.
For now, traders are in risk-off mode, with safe-haven demand rising and growth-sensitive assets under pressure.
“The silver lining is that this might be the start of negotiations. But until then, traders are shooting first and asking questions later.”— Chris Zaccarelli, Northlight Asset Management
Bottom Line
Markets are pricing in more than just tariffs — they’re bracing for an uncertain, potentially recessionary shift in global trade dynamics. The near-term may see volatility and selloffs, but selective entry points could emerge depending on how negotiations evolve.
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