KUALA LUMPUR, Sept 8 (Bernama) -- Bursa Malaysia closed almost flat on Tuesday as buying interest rotated away from index heavyweights towards smaller-cap construction stocks, with sentiment affected by geopolitical uncertainty, said an analyst. At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) eased 0.39 of a point to 1,714.40 from Monday’s close of 1,714.79. The benchmark index opened 1.65 points lower at 1,713.14 and moved between 1,710.44 and 1,714.50 throughout the trading session. The broader market was almost evenly balanced, with decliners leading gainers 548 to 546, while 598 counters were unchanged, 1,107 were untraded and 25 were suspended. Turnover expanded to 4.13 billion units valued at RM3.14 billion from 3.60 billion units valued at RM2.45 billion on Monday.
The Hong Kong Monetary Authority (HKMA) has cut its base interest rate by half a percentage point to 5.25% , marking its first rate reduction since 2020. The move comes in response to the Federal Reserve's recent policy easing, as the city's currency is pegged to the US dollar. This decision is expected to loosen borrowing conditions in the financial hub, providing relief to businesses and consumers grappling with years of steep borrowing costs. The Fed's own half-point rate cut hours earlier set the stage, though Fed Chair Jerome Powell warned against assuming the reduction would continue at the same pace. Traders, however, are betting on further US rate cuts, with another 70 basis points of reductions expected at the Fed’s two remaining meetings this year. Hong Kong's rate cut comes at a crucial time for its economy, which has been weighed down by high borrowing costs and a struggling real estate market , with property prices at their lowest since 2016. The mov...