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.
Chinese authorities are intensifying efforts to manage the world’s third-largest government bond market, implementing a series of interventions to cool a rally that has driven yields to record lows. The latest move saw regulators in Jiangxi province instruct rural banks not to settle recent government bond purchases, effectively forcing them to renege on their market obligations. Key Highlights: Regulatory Intervention: This unusual directive is part of a broader strategy by Chinese regulators to curb the bond market's surge, which had driven the benchmark 10-year yield to an all-time low of 2.12% earlier this month. The yield has since increased to around 2.22%. Market Risks: The interventions are aimed at mitigating the exposure of banks to interest-rate risks and preventing the formation of a bond bubble, which could threaten financial stability. The Chinese government is attempting to strike a balance between supporting the sluggish economy with low borrowing costs and avoi...