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.
Key Takeaways: Positive Outlook for Chinese Stocks : Morgan Stanley has raised its targets for Chinese stocks for the second time in over a month, citing a positive earnings outlook . The MSCI China Index is poised for its first earnings beat in 13 quarters , signaling a potential shift toward stronger performance. Valuation Boost : Morgan Stanley’s strategists argue that China deserves a valuation similar to MSCI Emerging Markets and has cut its long-standing valuation discount. This is seen as a sign that China's market is emerging from years of underperformance. Tech Sector Driving Gains : The rally in Chinese tech stocks , driven by optimism surrounding AI developments (particularly DeepSeek's AI model ) and President Xi Jinping's positive stance toward tech , is a key factor behind the strong performance. The Hang Seng Tech Index saw a rebound, rising 1.6%. Strong Earnings Reports : Earnings for to...