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.
Bank Negara Malaysia’s (BNM) surprise move to cut the Overnight Policy Rate (OPR) by 25 basis points to 2.75% — its first reduction since 2023 — has boosted overall sentiment. However, analysts believe the positive impact on Malaysian REITs (Real Estate Investment Trusts) will be modest . Key Rate Action BNM lowered OPR to 2.75% (from 3.00%) on Wednesday. Move seen as pre-emptive to support growth amid global uncertainties. Roughly half of economists polled by Bloomberg anticipated this cut. What Analysts Say Public Investment Bank Minimal earnings impact (only 1%-2% ) for REITs with floating-rate borrowings. Maintains neutral stance . Target price for IGB REIT raised to RM2.50 (from RM2.10) following Mid Valley Southkey mall acquisition. RHB Investment Bank Maintains “Overweight” on REITs. Strong domestic consumption and lower bond yields still support sector performance. Risks from SS...