KUALA LUMPUR, Jan 7 (Bernama) -- Bursa Malaysia’s benchmark index rebounded from earlier losses to close at its intraday high on Wednesday, gaining 0.27 per cent in late trading as buying interest returned to selected heavyweights. At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) advanced 4.48 points to 1,676.83 from Tuesday’s close of 1,672.35. The benchmark index opened 0.88 of-a-point lower at 1,671.47 and subsequently hit a low of 1,665.94 during the mid-morning session before gaining momentum toward closing. On the broader market, losers led gainers by 565 to 512, while some 526 counters were unchanged, 1,046 untraded, and 10 suspended. Turnover improved to 2.73 billion units worth RM2.76 billion versus Tuesday’s 2.66 billion units worth RM2.76 billion. Dealers said that investors were cautious following geopolitical developments in Asia.
China left its key lending rates unchanged in September, marking the fourth straight month without adjustments as the economy shows signs of cooling.
Market Snapshot
1-year loan prime rate (LPR): 3.0% (unchanged)
5-year LPR: 3.5% (unchanged)
Last cut: May 2025, aimed at lowering financing costs and supporting demand.
Economic backdrop: Credit demand remains weak, growth momentum soft in 3Q.
Outlook: Economists see scope for further easing before year-end.
Key Takeaway
Beijing is holding rates steady for now, balancing weak credit demand with the need to maintain financial stability. With growth slowing, markets expect the People’s Bank of China may cut rates again later this year.
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