KUALA LUMPUR, July 31 (Bernama) -- Bursa Malaysia ended higher on Friday as investors continued to accumulate blue-chip stocks in line with stronger performances across most regional markets. At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) rose 4.50 points to 1,724.90 from yesterday’s close of 1,720.40. The benchmark index opened 0.83 of a point higher at 1,721.23, and moved between 1,715.67 and 1,730.12 throughout the day. The broader market was positive with gainers outpacing losers 707 to 402, while 547 counters were unchanged, 1,085 untraded and 56 suspended. Turnover expanded to 3.03 billion units valued at RM3.56 billion from 2.49 billion units valued at RM2.25 billion on Thursday.
The European Central Bank may need to raise interest rates sooner than markets expect as the Iran war pushes energy prices higher and revives inflation risks, according to Governing Council member Peter Kazimir. While no move is expected at next week’s meeting, upside inflation risks are now dominating the outlook , potentially bringing a rate hike closer than anticipated. Key Takeaways ECB hike could come sooner if energy shock persists Traders price ~40% chance of a quarter-point hike by June Further rate cuts now “off the table” Inflation risks seen shifting clearly to the upside Policymakers prepared to act without waiting for new forecasts Inflation Risks Back on the Radar The Iran conflict has triggered sharp swings in oil prices, raising concerns that: Businesses may pass through higher energy costs faster Workers may demand higher wages Inflation expectations could become unanchored According to Kazimir, the memory of the 2022 inflation shock — when euro-zone inflation exc...