KUALA LUMPUR, Jan 23 (Bernama) -- Bursa Malaysia’s benchmark index recouped earlier losses to settle higher, maintaining a more than six-year high, buoyed by continued buying interest in technology stocks, while the strengthening of the ringgit against the US dollar further lifted investor sentiment. At 2.27 pm today, the local currency strengthened to 3.9992 versus the greenback, its strongest level in more than seven years. It was last seen at this level on June 18, 2018, at 3.9960/9990. At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) rose 2.85 points or 0.17 per cent to 1,719.99 from yesterday’s close of 1,717.14. The index surpassed its previous peak of 1,719.00 recorded on Feb 26, 2019. The barometer index opened 1.30 points lower at 1,715.84 and moved between an intraday low of 1,711.89 in early trade and a high of 1,723.41 in late afternoon before slipping slightly toward the close. However, market breadth was negative with decl...
Morning Market Snapshot (Malaysia & US)
🇺🇸 Wall Street: Closed for Martin Luther King Jr. Day, resulting in muted regional cues.
🇲🇾 Bursa Malaysia: Investors stayed cautious ahead of Bank Negara Malaysia (BNM) policy decision this week.
Bursa Malaysia Performance
FBM KLCI: 1,712.33 (-0.02%)
Market tone: Sideways, with investors in wait-and-see mode
Market breadth: Losers 779 vs Gainers 359
Turnover: 3.08bn shares, value RM2.74bn
Top Movers
Top Gainer: Petronas Chemicals ($PCHEM) +3.04% to RM3.39
Top Loser: Axiata ($AXIATA) -2.38% to RM2.46
USD/MYR: 4.0544 (-0.08%)
BNM Outlook: Policy Rate Likely to Stay Put
Economists broadly expect no change to the Overnight Policy Rate (OPR) at BNM’s January meeting.
This follows a stronger-than-expected Q4 2025 GDP estimate.
Key GDP Highlights
Q4 2025 GDP growth: +5.7% YoY (above expectations)
Full-year 2025 GDP: +4.9%
CIMB Investment Bank upgraded Malaysia’s 2025 GDP forecast to 4.4% (from 4.1%)
Why OPR May Stay Unchanged
Moderate economic growth outlook
Subdued inflation pressures
Stronger MYR helping contain imported inflation
Expansion in productive capacity easing demand-pull inflation
CIMB expects BNM to maintain a stable policy stance through 2026.
Stocks to Watch
AirAsia X ($AAX): Appointed Bo Lingam as new Group CEO; acquired AAB and AAAGL from Capital A to consolidate AirAsia operations.
IJM ($IJM): MACC and Inland Revenue Board conducted an office visit to obtain information for official procedures.
Favelle Favco ($FAVCO): Secured RM76.3m in new tower and offshore crane contracts; deliveries from end-2026 to Q1 2027.
OpenSys ($OPENSYS): Won RM22.05m CRM supply order from Reachful Malaysia; deliveries to complete by end-2026.
Reservoir Link ($RL): Secured a two-year CCS services contract from Hibiscus Oil & Gas (contract value undisclosed).
Alliance Bank ($ABMB): Focus on organic growth; no M&A plans. DBS’ proposed stake acquisition still pending BNM approval.
Malayan Cement ($MCEMENT): YTL Cement sold 5.95% stake via direct deal; stake reduced to 59.25%.
Key Takeaway for Investors
BNM policy stability remains a key anchor for market sentiment.
GDP upside surprise supports economic resilience, but not strong enough to trigger rate hikes.
Near-term market direction likely driven by policy signals and stock-specific catalysts, rather than broad index momentum.
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