KUALA LUMPUR, July 3 (Bernama) -- Bursa Malaysia ended Friday’s trade with a bounce on the back of a rally in banking stocks as investor sentiment improved following softer-than-expected US labour market data. IPPFA Sdn Bhd director of investment strategy and country economist Mohd Sedek Jantan said the recovery in heavyweight financial counters provided the main support for the benchmark index, reflecting increased risk appetite after concerns over further US monetary tightening eased. At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) jumped 17.22 points to 1,679.05 from Thursday's close of 1,661.83. The benchmark index opened 3.90 points higher at 1,665.73 and moved between 1,662.91 and 1,682.62 throughout the session. The market breadth was positive, with gainers trouncing decliners 633 to 372, while 533 counters were unchanged, 1,112 untraded, and 12 suspended.
Singapore equities opened lower on Tuesday as global risk sentiment softened, even as strong domestic data signaled continued economic resilience.
STI Declines Amid Broad Market Weakness
The FTSE Straits Times Index fell 0.53% to 4,898, with market breadth turning negative:
- Advancers: 90
- Decliners: 124
The pullback reflects spillover from Wall Street weakness and rising geopolitical risks.
US Markets Retreat as Oil Surge Triggers Profit-Taking
US equities eased from record highs:
- S&P 500 -0.4%
- Nasdaq Composite -0.2%
- Dow Jones Industrial Average -1.1%
The decline was driven by:
- Oil prices jumping ~3% to ~US$105/barrel
- Renewed US-Iran tensions
- Profit-taking in Big Tech stocks
However, select AI-related names and cryptocurrencies outperformed, with Bitcoin surging above US$80,000 on ETF inflows and policy optimism.
Singapore Economy Shows Resilience
Manufacturing Expands for Ninth Month
Singapore’s manufacturing sector continues to strengthen:
- PMI rose to 50.7 (April)
- Marks the ninth consecutive month of expansion
- Driven by stronger new orders, exports, and output
This indicates steady industrial recovery, supported by external demand.
Tourism Recovery Continues
- Visitor arrivals: 4.4 million in Q1 (+2.8% YoY)
- Growth accelerated in February and March, offsetting January weakness
This suggests gradual normalization in travel demand, supporting services sectors.
Capital Markets Development Gains Traction
The Monetary Authority of Singapore reported strong support for the proposed:
- Nasdaq-SGX Global Listing Board
This initiative aims to:
- Simplify dual listings
- Attract global issuers and investors
- Strengthen Singapore’s position as a capital markets hub
Stocks to Watch
- OCBC Bank to acquire HSBC Indonesia assets, adding S$6.6B AUM, strengthening regional presence
- Frasers Logistics & Commercial Trust saw DPU decline, reflecting lower capital distributions
- Keppel Infrastructure Trust increasing stake in power asset, enhancing earnings visibility
- Ultragreen.ai reported lower shipments, but secured regulatory approval for new product
Investor Takeaways
- Singapore stocks declined, tracking global risk-off sentiment.
- Oil price surge and geopolitics continue to drive market volatility.
- Manufacturing PMI strength signals resilience in the industrial sector.
- Tourism recovery supports broader economic growth.
- Strategic developments like OCBC’s acquisition and MAS initiatives highlight long-term growth opportunities.
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