KUALA LUMPUR, Sept 8 (Bernama) -- Bursa Malaysia closed almost flat on Tuesday as buying interest rotated away from index heavyweights towards smaller-cap construction stocks, with sentiment affected by geopolitical uncertainty, said an analyst. At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) eased 0.39 of a point to 1,714.40 from Monday’s close of 1,714.79. The benchmark index opened 1.65 points lower at 1,713.14 and moved between 1,710.44 and 1,714.50 throughout the trading session. The broader market was almost evenly balanced, with decliners leading gainers 548 to 546, while 598 counters were unchanged, 1,107 were untraded and 25 were suspended. Turnover expanded to 4.13 billion units valued at RM3.14 billion from 3.60 billion units valued at RM2.45 billion on Monday.
Recent economic data from the eurozone is intensifying pressure on the European Central Bank (ECB) to implement another rate cut next month. Lower-than-expected inflation in France and Spain , along with signs of a cooling German labor market , have strengthened the case for further monetary easing. Inflation in France dropped to 1.5% in September, while Spanish inflation fell to 1.7% , both below market expectations. These figures, along with other data indicating weaker price growth expectations , suggest that eurozone inflation could fall below the ECB's 2% target soon, despite the central bank's previous hesitancy to ease policy. Adding to concerns, a key eurozone sentiment indicator dropped more than expected on Friday, signaling weaker economic growth and cooling price pressures. Investors have now raised the probability of a rate cut at the ECB’s Oct 17 meeting to 75% , a sharp increase from 25% just a week ago. The ECB, which has already cut rates twice this...