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.
The interest rate gap between the US and eurozone is set to widen, presenting significant challenges for President-elect Donald Trump’s trade ambitions . While the US economy demonstrates resilience, Europe’s struggles with weak growth and higher urgency for rate cuts could further strengthen the US dollar , making it harder to boost exports. Key Highlights : US-Euro Rate Divergence : The Federal Reserve and European Central Bank (ECB) are both cutting rates, but Europe’s economic struggles mean more aggressive easing is expected from the ECB. The US dollar has already strengthened 5% against the euro this year, with the rate gap poised to exceed 2 percentage points in 2025. Trump’s Trade Policy Pressure : A stronger dollar undermines US export competitiveness, clashing with Trump’s focus on boosting trade . Tariffs aimed at Europe and other trade partners could exacerbate inflation, potentially fo...