KUALA LUMPUR, Dec 5 (Bernama) -- Bursa Malaysia closed lower on Friday amid mixed regional market performance as investors turned cautious over a possible rate hike by the Bank of Japan (BOJ) and upcoming US economic data that may influence the Federal Reserve’s (Fed) interest rate decision next week. At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) pared most earlier losses to settle 4.55 points easier, or 0.28 per cent, to 1,616.52 from Thursday’s close of 1,621.07. The benchmark index, which opened 0.37 of-a-point lower at 1,620.70, moved between 1,609.67 and 1,621.25 throughout the day. The broader market was negative, with decliners outpacing advancers 604 to 439. A total of 550 counters were unchanged, 1,151 untraded, and 18 suspended. Turnover declined to 3.17 billion units worth RM2.24 billion from 4.48 billion units worth RM2.75 billion yesterday. Rakuten Trade Sdn Bhd vice-presiden...
Market Comeback Hits a New Milestone
After months of volatility, the S&P 500 briefly surpassed its all-time high of 6,144.15 on Thursday — marking its first visit back to record territory since February. While it didn’t close above that level, it reflects a strong 23% rebound from the index’s April lows.
The Nasdaq Composite and Nasdaq-100 have also climbed back to record levels, powered by tech stocks that have surged over 30% since April 8. In contrast, the Dow Jones has lagged, rising only 14% and remaining 4% below its peak.
Why the Rally?
Several catalysts have helped:
Tariff tensions eased as President Trump softened his stance.
Cooling inflation in May’s CPI report.
Oil prices tumbled, lowering cost pressures.
Middle East tensions eased, reducing geopolitical fears.
These events combined to stabilize market sentiment and restore confidence.
MoneyMaster Take:
The rebound is real — markets have shaken off tariff fears and found support in improving macro data.
Tech is still leading the charge, but watch for rotation into lagging sectors if breadth improves.
Investors are waiting for the next big signal, and that could be tomorrow’s May PCE inflation report.
What’s Next for the Market?
Here are three major catalysts to watch:
🟡 May PCE Report (June 28):
A tame core PCE reading (expected at +0.1% MoM) could confirm inflation is easing, giving the Fed more room to cut rates — possibly as early as September.
🟡 Trump’s July 4 Bill Deadline & July 9 Tariff Talks:
Progress or delays on these two policy fronts could swing market sentiment sharply.
🟡 Q2 Earnings (Mid-July):
Investors will look for clarity on how companies managed through April-May tariff risk and consumer spending trends.
Smart Moves:
Stay diversified, but keep overweight positions in leading tech and AI.
Watch bond yields — falling yields + soft PCE = bullish equities.
Trim if extended, but don’t chase FOMO without checking key inflation and earnings signals.
Bottom Line:
The S&P 500’s comeback shows the market is ready to run — but it’s looking for fuel. Inflation data, tariff clarity, and earnings season will decide whether this rally turns into a breakout or stalls at resistance.
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