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.
President Donald Trump has extended a key tariff deadline with China by 90 days, preventing a sharp increase in U.S. levies on Chinese imports that was set to take effect Tuesday. The extension, confirmed by the Wall Street Journal and CNBC, comes as both sides continue trade negotiations.
Key Points:
Without the extension, tariffs on goods such as toys, footwear, and furniture could have risen sharply.
Current U.S. tariffs on Chinese goods stand at 30%, down from an earlier 145% as part of a temporary truce.
China imposes 10% tariffs on U.S. products, with exemptions for certain goods.
Trump described U.S.–China relations as “very good” but stopped short of confirming a full trade deal. “We’ll see what happens,” he told reporters. He later signed an executive order to formalize the 90-day pause.
Agricultural Pressure & Market Reaction:
Trump has urged Beijing to increase purchases of U.S. soybeans, calling it a way to reduce China’s trade deficit with America.
Following his remarks, soybean futures rose as markets priced in potential demand from China.
Economic Context:
The U.S. imports billions in goods from China annually, excluding electronics, meaning tariff hikes could push up prices for common consumer items. Economists warn the cost burden from tariffs could feed U.S. inflation in the coming months. The next consumer price index (CPI) report, due Tuesday, will be closely watched for signs of impact.
Trump has indicated he may meet Chinese President Xi Jinping later this year — but only if a trade deal is reached.
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