KUALA LUMPUR, Sept 28 (Bernama) -- Bursa Malaysia ended marginally lower on Monday amid selling activity as the market lacked fresh catalysts to spur investors’ buying interest, an analyst said. At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) eased 1.60 points, or 0.09 per cent, to 1,670.02, from Friday’s close of 1,671.62. The benchmark index, which opened 0.93 of-a-point higher at 1,672.55, moved between 1,668.61 and 1,674.11 throughout the trading session. Market breadth was negative as losers surpassed gainers 748 to 388, while 517 counters were unchanged, 1,271 untraded and 91 suspended. Turnover slipped to 3.11 billion units worth RM2.40 billion from 4.07 billion units valued at RM2.69 billion on Friday.
An anticipated US policy rate cut this week is expected to positively impact Malaysian stocks, particularly in the oil and gas (O&G) , real estate investment trust (REIT) , and large-cap banking sectors , according to Kenanga Investment Bank . Historically, US rate cuts have been favorable for the FBM KLCI , yielding a median return of 8% over a 12-month period following the cut. The index has shown negative returns over a 12-month horizon on only three occasions out of the past ten rate cuts, the research house noted. "As all eyes this week will be on the US at the cusp of a rate decision, sentiment on broader equities will hinge not only on the extent of the cut but more so on the US Federal Reserve's (Fed) outlook ," Kenanga stated. The Fed is expected to announce its first rate cut in more than four years on Wednesday, though there is debate over the size of the reduction as inflation has eased and the employment market has cooled. The FBM KLCI has already gai...