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...
Key Takeaways
EU leaders to hold emergency meeting over US tariff threat
Trump plans 10% tariffs on eight European countries from Feb 1
EU considering retaliatory tariffs on €93bn of US goods
Tariffs seen as incompatible with EU-US trade agreement
Anti-coercion instrument under discussion
Trade tensions could reintroduce market volatility
European Union leaders are preparing for an emergency meeting this week as tensions with the US escalate following President Donald Trump’s latest tariff threat, raising the risk of another transatlantic trade confrontation.
According to Bloomberg, EU leaders plan to meet in person near the end of the week to discuss potential responses after Trump announced 10% tariffs on eight European countries, set to take effect on Feb 1, linked to their stance on Greenland.
EU member states are weighing retaliatory tariffs on up to €93 billion worth of US goods, a move that would mark a significant escalation. EU ambassadors have already convened in Brussels to coordinate a unified response, underlining the bloc’s intent to stand firm.
European Council President Antonio Costa said member states remain united in support of Greenland and Denmark, adding that the proposed US tariffs would be “incompatible with the EU-US trade agreement.”
Among the more forceful options on the table is the potential use of the EU’s anti-coercion instrument, a powerful trade-defense mechanism designed to counter economic pressure from external powers. French President Emmanuel Macron has publicly suggested activating the tool, though the EU previously hesitated after facing retaliation threats from Washington.
The situation is complicated by last year’s developments, when the EU approved retaliatory tariffs on the same €93 billion of US products but suspended them after both sides reached a trade pact. European lawmakers are now signalling they may delay approving that agreement, citing Trump’s renewed tariff push.
For markets, the episode revives concerns over trade uncertainty, supply-chain disruptions, and renewed volatility, particularly for sectors exposed to transatlantic trade flows.
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