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.
President Donald Trump reversed course on steep reciprocal tariffs, pausing new levies on nearly 100 nations just hours after they took effect. But China wasn’t spared—its tariffs were increased to 125%, triggering a mixed reaction of market euphoria and policy confusion.
What Just Happened:
Trump’s 10% baseline global tariff remains, but a 90-day pause was granted for the steeper “reciprocal” tariffs—except for China.
China’s new 125% tariff rate is “effective immediately.”
Canada and Mexico stay exempt from the baseline tariffs, though higher levies on some goods remain planned.
Market Reaction:
Nasdaq soared 12%
S&P 500 jumped 9.5%
Dow surged 7.9% (up 2,962 points)
Bond markets also shifted sharply—long-term yields dropped, short-term yields spiked.
Trump’s Take:
On pausing tariffs: “They were getting a little yippy... a little bit afraid.”
On China: “They want to make a deal.”
On the markets: “THIS IS A GREAT TIME TO BUY!!!” (posted on Truth Social)
What Others Are Saying:
Sen. Jim Justice (R-W.Va.): “Big-time surprise... I love what it’s done to Wall Street.”
Sen. Adam Schiff (D-Calif.): Criticized policy flip-flops, warning of potential insider trading risks.
Sen. Bernie Moreno (R-Ohio): Praised Trump as “a master negotiator.”
Sen. Thom Tillis (R-N.C.): Questioned whether this was planned or a reaction.
🔍 What It Means for Policy & Business:
Trading partners now have 90 days to strike new tariff-reduction deals with the US.
Uncertainty remains, especially for small retailers and capital investment decisions.
Bond market volatility may influence future decisions—Trump cited watching yields before announcing the pause.
What’s Next?
The pressure is on other countries to cut tariffs, remove barriers, commit to U.S. purchases, and invest in U.S. manufacturing.
Critics warn that uncertainty still clouds business planning—especially as China trade relations deteriorate.
Markets celebrated Trump’s surprise pause, but the escalation against China and the unpredictable nature of U.S. trade policy means that businesses and allies remain on edge—watching closely for what comes next.
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