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.
Beijing’s Banking Stimulus Plan China to inject at least 400 billion yuan ($55B) into major banks as part of an economic stimulus package. The first batch includes Agricultural Bank of China and Bank of Communications , with the plan expected to be completed by June. Total capital injection could reach 1 trillion yuan ($138B), funded by special sovereign bond issuance. Market & Banking Sector Impact Agricultural Bank of China (+2.6%) and Bank of Communications (+2.2%) gained in Hong Kong following the news. China’s banking regulator first hinted at capital replenishment in September 2024 , with further confirmation from the Ministry of Finance. Despite Chinese banks exceeding capital requirements, they face shrinking margins, rising bad debt, and profit pressures. Economic Context & Policy Moves China has enacted broad economic stimulus measures , including: Mortgage rate cuts Lower key policy interest rates Encouraging more lending to support economic growth This is...