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Market Daily Report: Selective Buying Of Defensive Stocks Lifts Bursa Malaysia Higher At Close

 KUALA LUMPUR, July 29 (Bernama) -- Bursa Malaysia rebounded to close higher on Wednesday on selective buying of defensive stocks after a volatile trading session. IPPFA Sdn Bhd director of investment strategy and country economist Mohd Sedek Jantan said consumer products and services stocks lifted the key index higher, overcoming lingering geopolitical concerns. At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) rose 3.08 points to 1,715.56 from yesterday’s close of 1,712.48. The benchmark index, which opened 1.91 points higher at 1,714.39, moved between 1,710.79 and 1,720.59 during the day’s trading. In the broader market, gainers outstripped decliners 550 to 476, while 612 counters were unchanged, 1,129 untraded, and 48 suspended. Turnover rose to 2.96 billion units valued at RM2.48 billion from 2.94 billion units valued at RM2.56 billion on Tuesday.

KLCI Rises on Bank & Tech Rally, Is the Upside Limited?

Malaysian equities opened stronger, with the  FBM KLCI  climbing as much as  0.8% to 1,697 , driven by gains in banking and technology stocks. However,  falling oil prices dragged energy counters lower , highlighting sector divergence. Banks and Tech Lead the Market Market momentum was supported by: CIMB Group Holdings  rising  over 3% Malaysian Pacific Industries  surging  7% Renewed optimism in  AI and growth sectors , following strong global tech sentiment and the ripple effects from the  SpaceX-driven market excitement . Oil Drop Hits Energy Stocks Energy counters underperformed as oil prices declined after progress in US-Iran peace talks: Dialog Group  fell  over 5% Stocks rose because lower oil prices reduce inflation and Fed risks , but this simultaneously pressures  energy sector earnings . Macro Risks Cap Upside Despite the rebound, analysts see  limited upside  for the KLCI: Resistance expected around...

O&G Earnings May Sink Deeper Before Recovery

Investors eyeing the oil and gas (O&G) sector for bargains might want to pump the brakes.  Kenanga Investment Bank warns it’s  too early to bottom-fish , as earnings downgrades are likely ahead — especially for upstream service providers heading into FY2026. Despite recent price dips across the board, the firm urges a  wait-and-see approach  until there’s more clarity on global energy dynamics and Petronas-related developments. Weak Outlook for Upstream & Petrochemicals Kenanga sees a  sluggish stretch ahead  for local upstream O&G players. Their concern? The  lack of catalysts  to drive Brent crude prices higher in the near term. Even geopolitical tensions aren’t pushing prices sustainably higher, unlike previous rallies sparked by shocks like the Arab Spring. In parallel, the  petrochemical segment continues to struggle , stuck in a prolonged downtrend with product prices stagnating around  US$1,000/mt  since Q4 2024. ...