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.
Key Takeaway: U.S. equities advanced Monday, with the Nasdaq closing at an all-time high and the S&P 500 gaining 0.21%, as weaker jobs data reinforced expectations for faster Federal Reserve rate cuts this year.
Market Overview
The S&P 500 (.SPX) rose 0.21%, while the Nasdaq Composite reached a fresh record close. The Dow Jones Industrial Average also edged higher. Treasury yields extended Friday’s rally, reflecting growing conviction that the Fed will cut rates next week.
Traders are pricing a roughly two-thirds probability that the Fed reduces rates by 75 basis points by year-end, delivered in three quarter-point cuts across its remaining 2025 meetings. A smaller group — about 7% of traders — expect a full 100-basis-point reduction, implying at least one larger cut.
Economic Calendar
Markets are now focused on key U.S. data releases this week:
Tuesday: Labor Department’s preliminary revisions to jobs data
Wednesday: August Producer Price Index (PPI)
Thursday: August Consumer Price Index (CPI), projected to rise 0.3% for the second month
Corporate Movers
Verizon (VZ.US): Shares fell, dragging the Dow lower.
AT&T (T.US) and T-Mobile US (TMUS.US): Both declined after EchoStar (SATS.US) sold wireless spectrum to SpaceX in a US$17 billion deal.
Commodities and Currencies
Oil: Prices rallied before paring gains, supported by the prospect of more sanctions on Russian oil despite OPEC+ plans to lift output next month.
Japanese Yen: Weakened, providing support for Japanese equities. Political uncertainty grew after Japan’s prime minister announced his resignation.
Bonds: Global yields eased, with expectations of Fed easing outweighing regional debt concerns. French bond yields fell even as Prime Minister Francois Bayrou faced a confidence vote.
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