KUALA LUMPUR, April 24 (Bernama) -- Bursa Malaysia extended yesterday’s uptrend to close on a firmer footing today, staying above the 1,500 mark, supported by improving market sentiment amid easing US-China trade tensions, despite mixed performances across regional markets. At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) rose 5.33 points, or 0.36 per cent, to 1,506.52 from Wednesday’s close of 1,501.19. The benchmark index opened 0.64 of a point lower at 1,500.55, and moved between 1,500.40 and 1,507.45 throughout the day. Market breadth was positive, with advancers beating decliners 462 to 426, while 457 counters were unchanged, 1,070 untraded, and 13 suspended. Turnover improved to 3.08 billion units valued at RM2.14 billion against Wednesday’s 2.99 billion units valued at RM2.08 billion.
President Donald Trump’s sweeping “reciprocal” tariffs officially kicked in early Wednesday, sending shockwaves through global markets and escalating tensions in what’s shaping up to be the most aggressive trade war in decades.
Among the harshest measures: a 104% tariff on Chinese goods, nearly double the rate announced last week. The fallout has been swift — U.S. and global stocks are tumbling, safe-haven bonds are being sold off in a panic, and fears of a global recession are mounting.
The S&P 500 has now endured its deepest drop since its inception in the 1950s, nearing official bear market territory.
Markets Reel, Bonds Buckle
The turmoil has even spread to U.S. Treasury bonds, once considered the safest of assets, with forced selling triggering liquidity concerns. Stocks in Europe and much of Asia continued their descent, while China’s market found some footing thanks to government support.
Beijing has vowed to retaliate.
“China will never accept this kind of bullying,” said Chinese Foreign Ministry spokesman Lin Jian, calling the tariffs an act of pressure and blackmail.
Central Banks React
In response to the worsening outlook, central banks in India and New Zealand cut interest rates, with more expected to follow. Policymakers in Poland and other economies say Trump's tariffs strengthen the case for rate cuts to cushion the blow.
“Countries Want to Deal” — Trump
Despite the market chaos, Trump remained defiant.
“We have a lot of countries coming in that want to make deals,” he said Tuesday, suggesting pressure is working.
Talks are scheduled with South Korea, Japan, and Vietnam, while Italy’s prime minister is expected in Washington next week. But with U.S. consumers already bracing for price hikes, analysts warn the damage may already be done.
Consumers Brace for Impact
A recent Reuters/Ipsos poll found that nearly 75% of Americans expect prices to rise in the next six months. Companies like Bang & Olufsen are already raising prices to offset tariff costs.
Products already in transit to the U.S. before the deadline may escape the new duties — but only if they arrive before May 27.
The latest 104% tariff package comes on top of Trump’s 10% blanket import tax, which began Saturday and also targets close allies like the EU, now facing a 20% tariff and preparing countermeasures.
Trump has hinted he’s not done. He told Republican lawmakers Tuesday night that “major” pharmaceutical tariffsmay be next.
Recession Warnings
JP Morgan now sees a 60% chance of a global recession by the end of 2025. Germany’s finance minister warned the country could tip into another recession if trade tensions continue to escalate.
As the tariff war drags on, both U.S. consumers and global markets are left hoping for relief — or at least clarity.
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