KUALA LUMPUR, Sept 8 (Bernama) -- Bursa Malaysia closed almost flat on Tuesday as buying interest rotated away from index heavyweights towards smaller-cap construction stocks, with sentiment affected by geopolitical uncertainty, said an analyst. At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) eased 0.39 of a point to 1,714.40 from Monday’s close of 1,714.79. The benchmark index opened 1.65 points lower at 1,713.14 and moved between 1,710.44 and 1,714.50 throughout the trading session. The broader market was almost evenly balanced, with decliners leading gainers 548 to 546, while 598 counters were unchanged, 1,107 were untraded and 25 were suspended. Turnover expanded to 4.13 billion units valued at RM3.14 billion from 3.60 billion units valued at RM2.45 billion on Monday.
Volatility Ahead, But Panic on Hold
Indian stocks are expected to open choppy as Trump threatens higher tariffs on India, citing its continued purchase of Russian oil. Still, Nifty futures held steady in early trade, suggesting markets aren’t pricing in immediate shock — at least for now.
“Short-lived,” says Mark Mobius on Trump’s tariff noise.
Earnings Recovery Delayed
Jefferies & Motilal Oswal: More FY26 profit downgrades ahead
Q1 results largely underwhelming — marking the 4th straight quarter of muted growth
Morgan Stanley remains hopeful for a September quarter rebound
Key earnings today:
Bharti Airtel
Adani Ports
Britannia Industries
MSCI Inclusion Buzz
Nuvama sees rising passive inflows ahead of the MSCI Standard Index reshuffle. Candidates include:
Vishal Mega Mart
Swiggy
Hitachi Energy India
Waaree Energies
➡️ Estimated passive flows: up to $270M
➡️ Signals strong global interest in Indian consumer, digital & green energy names
Founders Ride the Deal Boom
Promoter ownership hits 8-year low (40.58%) in listed Indian firms
Founders are selling stakes for profit-taking, debt reduction, and legacy planning
Driven by a buoyant equity capital market, this trend is expected to continue
Analyst Actions
MCX: Downgraded to Reduce at Avendus Spark (TP: ₹7,900)
ABB India: Downgraded to Add at Axis Capital (TP: ₹5,536)
Ajax Engineering: Initiated Buy at Asian Markets (TP: ₹861)
Consumer Staples Shine Amid Trade Tensions
Nifty FMCG Index: ▲1.7% in July
Nifty 50: ▼2.9%
Driven by:
6-year low inflation
Rate easing expectations
Strong domestic demand
Cigarette & detergent makers are emerging as defensive favorites, offering both safety and growth in uncertain times.
Takeaway
India’s markets are holding steady — for now — despite escalating trade rhetoric. While earnings recovery is delayed, passive flows, resilient consumption, and low inflation offer support. However, the real test may come if tariffs materialize, affecting both sentiment and earnings outlook in the quarters ahead.
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