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...
Malaysian equities edged higher on Thursday, while the ringgit held steady after Bank Negara Malaysia kept interest rates unchanged, reinforcing confidence in the country’s growth outlook.
The FTSE Bursa Malaysia KLCI climbed about 0.6%, leaving the benchmark just shy of a seven-year high, as investors welcomed the central bank’s steady hand. The ringgit traded at 4.0420 per US dollar, remaining one of Asia’s strongest currencies after rising nearly 0.5% month-to-date and gaining 9% in 2025.
BNM held the overnight policy rate at 2.75%, as widely expected, and projected economic growth at the upper end of its outlook range, underscoring resilience supported by strong domestic demand and record-high trade performance in 2025. The upbeat fundamentals have eased pressure on policymakers to deliver further rate cuts.
Analysts noted the central bank struck a balanced tone. ANZ economist Krystal Tan said the statement retained its “appropriate and supportive” stance, with inflation still viewed as benign and risks to growth evenly balanced. SMBC’s Jeff Ng added that BNM appears comfortable waiting on fresh data rather than leaning dovish or hawkish.
The positive mood was echoed across the region as markets rebounded following US President Donald Trump’s decision to walk back tariff threats against Europe and rule out using force over Greenland. Risk appetite improved broadly, lifting Asian equities.
The MSCI gauge of Asian emerging-market stocks jumped 0.7%, with South Korea closing at a record high and Taiwan finishing just below its all-time peak. Southeast Asian markets also advanced, with Singapore and Indonesia resuming moves toward recent lifetime highs.
Strategists said the rebound has been strongest in markets already benefiting from momentum tied to artificial intelligence and semiconductor demand, particularly in North Asia, as easing geopolitical tensions allowed investors to refocus on growth themes.
Quick Summary
Malaysian stocks rose 0.6%, nearing a seven-year high
BNM held rates at 2.75%, signalling confidence in growth
Ringgit remained stable and among Asia’s strongest currencies
Regional markets rallied as geopolitical tensions eased
BNM’s rate hold and optimistic growth outlook helped lift Malaysian stocks, with broader Asian markets rebounding on improved global risk sentiment.
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