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
- US markets extended gains as tariff risks eased and economic data surprised positively
- BM KLCI rose 0.66% after Bank Negara Malaysia kept rates unchanged
- Ringgit strengthened for a fourth straight session
- Stocks to watch: NATGATE, LSH, CAPITALA, among others
Wall Street Summary
U.S. equities posted a second straight day of gains, buoyed by easing geopolitical tensions and encouraging economic data.
The Nasdaq Composite climbed 0.91%, leading the advance, while the Dow Jones Industrial Average rose 0.63% and the S&P 500 added 0.55%.
Markets reacted positively after U.S. President Donald Trump ruled out military action to seize Greenland, scrapped proposed tariffs, and outlined a framework to resolve the issue alongside European NATO allies.
All “Magnificent Seven” stocks rebounded, led by Meta Platforms, which surged 5.6%, followed by Tesla (+4.2%). Broader tech sentiment was also supported by gains in semiconductor and AI-related names.
On the macro front, November PCE inflation came in at 2.8% for both headline and core, matching expectations but still above the Fed’s long-term target. Initial jobless claims surprised to the downside, while final Q3 GDP growth was revised up to 4.4%, the strongest pace since 2023.
Bursa Market Insight
The FBM KLCI advanced 11.33 points (+0.66%) to close at 1,717.14, supported by Bank Negara Malaysia’s decision to keep the Overnight Policy Rate unchanged at 2.75%.
Market breadth was positive, with 622 gainers outpacing 425 losers. Trading volume stood at 2.82 billion shares valued at RM3.41 billion.
Top gainer: PPB (+1.82%)
Top loser: YTL Power (-1.42%)
The ringgit strengthened to around 4.035 against the US dollar, extending its rally for a fourth consecutive session. Foreign and local institutional investors were net buyers, while retail investors remained net sellers.
Analysts expect the KLCI to trade within a 1,700–1,740 range in the near term, viewing the recent rebound as largely technical rather than a decisive trend shift. Attention now turns to the upcoming Federal Reserve policy decision, with expectations of rate cuts later in the year seen as supportive for regional equities.
Stocks to Watch
- NATGATE confirmed clearance from the Inland Revenue Board following a tax investigation, with company records found to be in order.
- CAPITALA’s logistics arm Teleport raised US$50 million in pre-IPO growth capital to support expansion plans.
- LSH is seeking shareholder approval for a RM484.8 million investment in the Morib rejuvenation project.
- CABNET secured RM14.8 million worth of electrical system contracts in Johor.
- BWYS plans to divest an industrial property for RM67 million while acquiring new land for RM94.5 million.
- ALPHA reported lower Q2 earnings due to higher administrative costs despite revenue growth.
- DXN is exploring investments of up to US$50 million in Brazil to expand its Latin American footprint.
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