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...
Wall Street ended Thursday lower as renewed U.S.-China trade tensions and concerns over bad loans at several U.S. banks overshadowed upbeat earnings from Taiwan Semiconductor Manufacturing Co. (TSMC).
Market Overview
All three major U.S. stock indices closed in the red:
Dow Jones Industrial Average fell 301.07 points (0.7%) to 45,952.24
S&P 500 Index slipped 0.6% to 6,629.07
Nasdaq Composite Index lost 0.5% to 22,562.54
The declines came amid heightened uncertainty around trade relations and banking sector health, leading to a shift toward safe-haven assets such as gold and silver, which both surged to record highs.
Trade Tensions Add to Market Volatility
The U.S.-China trade dispute reignited after Beijing imposed new export controls on rare earth metals, key materials for electric vehicles and high-tech products.
In response, President Donald Trump threatened a 100% tariff on all Chinese imports, escalating concerns about supply chain disruptions.
Chinese Commerce Ministry spokesperson He Yongqian accused Washington of “exaggerating China’s measures” but left the door open for dialogue, emphasizing that “safeguarding global supply chain stability requires joint efforts from all nations, including the U.S.”
Banking Sector Hit by Bad Loan Fears
Financial stocks weighed heavily on the market as several firms disclosed significant loan exposures:
Jefferies Financial (JEF.US) tumbled 10.6% after revealing US$715 million in loans linked to First Brands, an auto-financing company that recently filed for bankruptcy.
Zions Bancorp (ZION.US) plunged 13.1% and Western Alliance Bancorp (WAL.US) dropped 10.8%, both citing loan quality concerns.
These revelations revived worries about broader weakness in the U.S. banking sector and potential economic repercussions.
Tech Outperforms but Can’t Offset Losses
Despite strong earnings, Taiwan Semiconductor (TSM.US) lost 1.6% after briefly touching an all-time high earlier in the day.
Among the “Magnificent Seven” tech stocks, five ended lower — Tesla, Meta Platforms, Apple, Amazon, and Microsoft — while NVIDIA and Alphabet (Google) managed small gains.
Winners and Losers
Top gainers:
Micron Technology (MU.US) climbed 5.5% after Citibank raised its price target to US$240 and upgraded earnings forecasts.
Salesforce (CRM.US) gained 4% on strong revenue guidance through 2030.
Biggest decliners:
Rare earth producers such as Lithium Americas (LAC.US), USA Rare Earth (USAR.US), and Energy Fuels (UUUU.US) fell sharply after heavy gains earlier this week.
Quantum computing firms including Rigetti Computing (RGTI.US) and D-Wave Quantum (QBTS.US) slid as investors took profits following months of rallies.
Ondas Holdings (ONDS.US) extended losses, down 13.8%, and has now fallen nearly 30% since Oct. 8.
Flight to Safety: Gold and Silver Surge
Safe-haven demand drove gold and silver to new highs:
Gold futures (DEC5) rose 3.2% to a record US$4,334.70 per ounce.
Silver futures (DEC5) surged 4.4% to US$53.62 per ounce.
Outlook
With banking stress, tariff threats, and geopolitical risks clouding sentiment, analysts expect continued volatility.
Investors will be watching closely for updates on U.S.-China negotiations and upcoming economic data, including inflation readings, to gauge the likelihood of further Federal Reserve rate cuts later this year.
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