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KLCI Slides as Profit-Taking Hits Blue Chips, Ringgit Holds Firm

Malaysia’s benchmark index retreated as  profit-taking in key heavyweights  weighed on sentiment, while overall market activity remained active. Summary FBM KLCI fell 0.83% to 1,684.93 , dragged by losses in banking and selected large-cap names, despite steady trading participation. Market Performance FBM KLCI :  1,684.93 (-0.83%) FBM Mid 70:  -0.00% (flat) FBM Small Cap:  -0.23% FBM ACE:  +0.20% Broad market was mixed , with weakness concentrated in large caps. Market Breadth & Trading Activity Total volume:  3.54 billion shares Total value:  RM4.19 billion Gainers:  456 Losers:  678 Unchanged:  550 Market breadth turned negative , reflecting cautious sentiment. Top Movers – KLCI Gainers Axiata (6888.MY)   +1.54% Petronas Gas (6033.MY)   +1.18% Sunway (5211.MY)   +1.15% Losers Hong Leong Bank (5819.MY)   -3.29% Maybank (1155.MY)   -3.02% CIMB (1023.MY)   -2.47% Banking sector weakness was the main ...

KLCI Slides as Profit-Taking Hits Blue Chips, Ringgit Holds Firm

Malaysia’s benchmark index retreated as  profit-taking in key heavyweights  weighed on sentiment, while overall market activity remained active. Summary FBM KLCI fell 0.83% to 1,684.93 , dragged by losses in banking and selected large-cap names, despite steady trading participation. Market Performance FBM KLCI :  1,684.93 (-0.83%) FBM Mid 70:  -0.00% (flat) FBM Small Cap:  -0.23% FBM ACE:  +0.20% Broad market was mixed , with weakness concentrated in large caps. Market Breadth & Trading Activity Total volume:  3.54 billion shares Total value:  RM4.19 billion Gainers:  456 Losers:  678 Unchanged:  550 Market breadth turned negative , reflecting cautious sentiment. Top Movers – KLCI Gainers Axiata (6888.MY)   +1.54% Petronas Gas (6033.MY)   +1.18% Sunway (5211.MY)   +1.15% Losers Hong Leong Bank (5819.MY)   -3.29% Maybank (1155.MY)   -3.02% CIMB (1023.MY)   -2.47% Banking sector weakness was the main ...

China Eyes AI Token Futures in Strategic Move Against US

China is exploring a new financial frontier as it works on launching  AI token futures , signalling a deeper push into the global AI race and financial innovation. Summary China is developing a  futures market tied to AI tokens (compute usage) , offering companies a way to hedge rising AI costs — in contrast to the US focus on  GPU compute futures . What’s Happening The  Shanghai Futures Exchange  is in early-stage discussions to design  AI token futures contracts These tokens represent the  smallest unit of AI computation , essentially the “fuel” powering AI models The initiative is still  preliminary , with no clear timeline or regulatory approval yet Meanwhile, US exchanges like  CME Group  and  Intercontinental Exchange  are developing  compute power futures linked to GPU usage costs Why It Matters New asset class potential : AI tokens could become a tradable financial instrument Cost hedging tool : Helps AI firms mana...

Market Daily Report: Bursa Malaysia Extends Losses Amid Heightened Geopolitical Tensions

KUALA LUMPUR, May 28 (Bernama) -- Bursa Malaysia closed lower on Thursday, extending its losses for a third consecutive day, as investor sentiment turned increasingly risk-averse amid escalating geopolitical tensions. At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) slipped 14.09 points, or 0.83 per cent, to 1,684.93 from Tuesday’s close of 1,699.02.  The benchmark index opened 7.81 points higher at 1,706.83 and moved between 1,683.08 and 1,707.91 throughout the session. Market breadth was negative, with losers outpacing gainers 678 to 456, while 550 counters were unchanged, 996 untraded, and 88 suspended. Turnover rose to 3.53 billion units valued at RM4.19 billion compared with 3.24 billion units valued at RM3.72 billion on Tuesday. 

Sunway Rises on Earnings Boost, but Cost Pressures Cloud Outlook

Sunway shares edged higher following a strong first-quarter performance, though analysts remain cautious due to  rising cost pressures and limited near-term catalysts . Share Price Gains After Strong Headline Earnings Sunway’s stock rose  1.9% to RM5.34  in early trading, supported by: RM9.4 billion net profit  in 1QFY2026 8% revenue growth  to RM2.56 billion The earnings surge was largely driven by a  RM9.1 billion fair value gain  from the listing of  Sunway Healthcare . Core Growth Driven by Property and Construction Underlying fundamentals remain supported by: Strong  property sales momentum A sizeable  construction order book of RM8.2 billion Data centre projects accounting for ~64%  of outstanding jobs New contract wins of  RM3.6 billion in 1Q  already represent  60% of full-year targets , highlighting solid earnings visibility. Analysts Stay Cautious Despite Positive Outlook Consensus sentiment remains neutral:...

AMD Rally Extends as Smart Money Bets on Further AI Upside

A renewed surge in AI and semiconductor stocks is reinforcing bullish sentiment, with  institutional investors increasing exposure to  Advanced Micro Devices , even after a sharp rally. AI Chip Stocks Lead Market Rebound US-listed semiconductor names rallied strongly: Advanced Micro Devices   +8% Micron Technology   +21% Micron’s move pushed its valuation above  US$1 trillion , highlighting  broad-based momentum across AI infrastructure , particularly in  memory and high-bandwidth chips (HBM) . Institutional Options Trade Signals Further Upside A notable  bull call spread strategy  emerged in AMD: Long  $520 calls (Sep 2026) Short  $620 calls The structure indicates: ~20%–25% upside expectation Continued  institutional conviction despite a 140% rally This reflects a  measured bullish stance , capturing upside while managing cost and risk. AMD’s AI Narrative Is Being Repriced AMD is increasingly being repositioned as a...

Oil Risks Reignite as US Strikes Iran, Markets Face Renewed Geopolitical Uncertainty

Fresh US military strikes on Iran have  re-escalated geopolitical tensions , underscoring the fragility of the ceasefire and raising concerns over  global energy supply disruptions , particularly in the critical Strait of Hormuz. US Conducts “Defensive” Strikes Amid Rising Tensions The US military targeted Iranian drone operations, including: Destruction of a drone control station in Bandar Abbas Interception of  four attack drones Officials described the actions as  measured and defensive , aimed at  maintaining the ceasefire , though Iran labelled earlier strikes a violation. Strait of Hormuz Remains a Key Flashpoint The situation around the  Strait of Hormuz  remains highly unstable: Iranian forces reportedly  warned off commercial vessels Traffic through the strait remains  significantly reduced Pre-war flow:  125–140 ships daily , now sharply lower The waterway handles roughly  20% of global oil and LNG flows , making it centra...

Markets Turn Risk-Off As Middle East Tensions Escalate

Fresh geopolitical escalation involving the US and Iran triggered a broad risk-off move across global markets, sending oil prices sharply higher while equities, bonds, and cryptocurrencies came under pressure. Key Market Moves Brent crude surged nearly 4%  to around US$98/barrel MSCI All Country World Index fell 0.4%  from record highs Asian equities dropped sharply, with: Hang Seng: -2.3% ASX 200: -1.6% Topix: -1.1% US 10-year Treasury yield climbed to 4.53% US dollar strengthened  as investors sought safe-haven assets Bitcoin fell to a six-week low What Triggered The Selloff? The latest wave of volatility came after: US forces launched airstrikes on Iranian military targets New sanctions were imposed around the Strait of Hormuz Iran reportedly retaliated by targeting a US airbase Additional drone attacks near the Gulf region heightened fears of wider conflict escalation Markets had previously rallied on hopes that US-Iran negotiations could eventually ease tensions and ...

Northeast Group Hits New High After Earnings Surprise

Northeast Group Bhd  surged as much as 15% to a record high after delivering a stronger-than-expected quarterly result, reinforcing investor optimism around the ongoing AI and semiconductor boom. Key Takeaways 2QFY2026 net profit jumped 104% YoY  to RM12.34 million Revenue surged 41% YoY  to RM35.61 million Factories are operating at  near full capacity Research houses maintained  “Buy” calls  and raised target prices AI-driven demand for fibre optics, semiconductors, and optical components continues to support growth Why Investors Are Excited Northeast is increasingly seen as an indirect AI infrastructure play. The company manufactures precision engineering components used in: Photonics Semiconductors Telecommunications Optoelectronics Electronics manufacturing According to analysts, the company is now moving from qualification stages into  mass production  for components linked to AI infrastructure supply chains. A major positive catalyst is its...

Market Daily Report: Bursa Malaysia Closes Lower Ahead Of Holiday Period

KUALA LUMPUR, May 26 (Bernama) -- Bursa Malaysia closed lower on Tuesday, as investors squared off positions ahead of the long holiday period amid heightened tensions between the United States and Iran. The market will be closed tomorrow in conjunction with the Hari Raya Aidiladha public holiday. At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) eased 9.48 points, or 0.56 per cent, to 1,699.02 from yesterday’s close of 1,708.50.  The benchmark index opened 1.73 points lower at 1,706.77 and traded between 1,696.14 and 1,707.52 throughout the session. Market breadth was negative, with losers outpacing gainers 695 to 413, while 570 counters were unchanged, 1,009 untraded and 67 suspended. Turnover rose to 3.24 billion units valued at RM3.72 billion, compared with 3.06 billion units valued at RM3.17 billion on Monday. 

CIMB Profit Slips on Margin Pressure, But Stabilisation Signals Emerge

CIMB Group Holdings Bhd  reported a slight earnings dip in 1QFY2026, as margin pressure weighed on core income, though early signs of stabilisation are starting to appear. Summary CIMB’s net profit edged down to  RM1.92 billion (-2.9% YoY)  due to weaker net interest income, but  improving margins and stronger non-interest income signal a potential turnaround ahead . Key Highlights Net profit -2.9% YoY  to RM1.92 billion Net interest income -5%  (margin pressure) Non-interest income +11.9%  (trading & forex gains) ROE: 11.0% CASA ratio improved to 43.3% Gross impaired loans stable at 1.7% CET1 ratio strong at 14.3% Segment Performance Consumer banking:  -23% (higher provisions, lower margins) Commercial banking:  +38% (strong recoveries) Wholesale banking:  -10% (lower one-off income) Digital & funding:  +11.1% (boost from TNG Digital) Key drag: margin compression and higher provisions in consumer segment Early Signs of Stab...

Hong Leong Bank Profit Jumps 9% as Interest Income Holds Firm

Hong Leong Bank Bhd  posted stronger quarterly earnings, supported by steady interest income and lower taxes, showing resilience in a stable lending environment. Summary Hong Leong Bank’s 3QFY2026 net profit rose nearly  9% to RM1.03 billion , driven mainly by  lower taxation and improved net interest income , despite weaker non-interest income. Key Highlights Net profit +9% YoY  to RM1.03 billion Net interest income +5% Non-interest income -9% Net interest margin stable at 1.83% Gross loans +8.4% Gross impaired loans low at 0.6% No interim dividend declared What’s Driving Performance Stronger lending activity  supported income growth Lower tax expenses  boosted bottom line Stable  net interest margin (NIM)  reflects disciplined pricing Key driver: Core banking income remains solid despite softer fee-based income Strategy & Outlook Management focus: Branch transformation Strategic partnerships AI and digital banking expansion FY2026 targets: R...

Market Daily Report: Bursa Malaysia Ends Lower On Profit-taking

KUALA LUMPUR, May 25 (Bernama) -- Bursa Malaysia closed lower on Monday as investors turned cautious, with profit-taking emerging in selected heavyweights, amid rising global bond yields and ahead of the US inflation release. At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) eased 4.17 points, or 0.24 per cent, to 1,708.50 from Friday’s close of 1,712.67. The benchmark index opened 1.24 points lower at 1,711.43 and moved between 1,705.94 and 1,713.50 throughout the session. Market breadth was negative, with losers outpacing gainers 619 to 419, while 565 counters were unchanged, 1,095 untraded and 59 suspended. Turnover fell to 3.06 billion units worth RM3.17 billion compared with 3.68  billion units worth RM3.58 billion on Friday. 

Singapore Growth Beats Expectations, AI Demand Offsets Geopolitical Risks

Singapore’s economy delivered a strong upside surprise in 1Q2026, supported by  robust AI-driven demand , even as authorities flagged  rising risks from Middle East tensions and global trade uncertainty . GDP Growth Exceeds Forecasts Singapore’s economy expanded: +6.0% YoY in 1Q2026  (vs 5.7% in 4Q2025) Above forecasts of  ~5.2% (Bloomberg)  and  4.6% (Reuters) On a quarter-on-quarter basis: +1.0% QoQ , beating expectations of a contraction This reflects  strong underlying economic momentum , particularly in tech-related sectors. AI Demand Drives Key Sectors Growth was largely supported by  AI-related investments , boosting: Electronics and precision engineering Machinery and equipment trade Wholesale trade segment ( +11.7% YoY ) The government expects  AI semiconductor demand to remain strong , anchoring industrial growth. Sector Performance Mixed Key sector highlights: Manufacturing : +7.9% (slower vs 11.4% previously) Construction : +11.8%...

Asian Stocks Rally as Iran Deal Hopes Ease Oil and Inflation Pressures

Asian markets advanced sharply as  renewed optimism over a US-Iran deal  boosted risk sentiment, driving equities higher while  oil prices fell significantly . Equities Gain as Risk Sentiment Improves The  MSCI Asia-Pacific Index  rose  1.2% , led by strong gains in Japan: Nikkei 225   +3% to record high Broad gains across Asia supported by  lower inflation expectations Meanwhile, US markets remained strong, with  S&P 500  futures rising  0.7% , extending an  eight-week winning streak . Oil Prices Slide on Supply Recovery Hopes Crude oil dropped sharply as prospects improved for reopening the  Strait of Hormuz : Brent crude fell over 4% to ~US$99/barrel Signs of  shipping activity resuming  in the region Lower oil prices are easing concerns over  energy-driven inflation , a key overhang for global markets. Dollar Weakens, Gold Gains The  US dollar declined  against major peers, reflecting a shi...

Market Daily Report: Bursa Malaysia Ends Higher On Bargain Hunting

KUALA LUMPUR, May 22 (Bernama) -- Bursa Malaysia ended higher on Friday as bargain hunting resurfaced following several weak trading sessions.  At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) rose 4.31 points, or 0.25 per cent, to 1,712.67, from yesterday’s close of 1,708.36. The benchmark index, which opened 3.35 points higher at 1,711.71, moved in a narrow range between 1,710.30 and 1,715.71 throughout the session. Market breadth was positive, with gainers outpacing losers 629 to 539, while 540 counters were unchanged, 1,010 untraded and 64 suspended. Turnover rose to 3.68 billion units worth RM3.58 billion compared with 3.49 billion units worth RM3.70 billion on Thursday.

Gold Slips as Strong Dollar and Rate-Hike Expectations Weigh on Prices

Gold prices edged lower as  a stronger US dollar and rising expectations of interest rate hikes  reduced the appeal of the non-yielding metal. Gold Under Pressure from Dollar Strength Spot gold declined  0.3% to US$4,527 per ounce , extending a modest weekly loss. The weakness comes as the  US dollar holds near a six-week high , making gold: More expensive for foreign investors Less attractive relative to  yield-bearing assets Rising Rate Expectations Weigh on Sentiment Markets are increasingly pricing in tighter monetary policy: ~60% probability of a Fed rate hike by December Elevated oil prices are fueling  inflation concerns , which may force the  Federal Reserve  to  keep rates higher for longer . Higher interest rates typically: Increase  opportunity cost of holding gold Strengthen the  US dollar , further pressuring prices Oil and Geopolitics Drive Inflation Risks Oil prices remain elevated amid uncertainty in  US-Iran ne...