KUALA LUMPUR, Nov 5 (Bernama) -- Bursa Malaysia closed higher, buoyed by Bank Negara Malaysia’s (BNM) decision to maintain the Overnight Policy Rate (OPR) at 2.75 per cent, alongside positive cues from Wall Street. At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) rose 19.30 points, or 1.19 per cent, to 1,635.86 from Wednesday’s close of 1,616.56. The benchmark index opened 6.72 points higher at 1,623.28, and fluctuated between an intraday high of 1,642.44 and a low of 1,622.62 during the trading session. However, market breadth was negative, with losers outnumbering gainers 723 to 497, while 466 counters were unchanged, 1,075 untraded and 10 suspended. Turnover rose to 3.74 billion units valued at RM3.61 billion compared with yesterday’s 2.81 billion units valued at RM2.57 billion.
For the second consecutive month in June, foreign investors increased their holdings in Asian bonds, driven by expectations of an interest rate cut by the US Federal Reserve (Fed) amidst easing inflation and cooling labor market conditions. Key Takeaways: Foreign Inflows: Overseas investors acquired a net US$3.05 billion (RM14.23 billion) in bonds from Indonesia, India, Malaysia, South Korea, and Thailand in June. This follows net purchases of approximately US$9.5 billion in the previous month. Fed Rate Cut Expectations: The expectation of a Fed rate cut later in the year has been fueled by recent US inflation data and signs of softening economic activity. The US Labor Department reported an increase in the unemployment rate to a 2.5-year high of 4.1% in June, with consumer prices falling by 0.1%, supporting views of a rate cut. Analyst Insights: Khoon Goh, head of Asia research at ANZ, mentioned that the positive risk sentiment is benefiting flows into Asia due to expectations of Fed ...