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.
Key Concerns & Credit Downgrade Municipal Market Analytics (MMA) downgraded its state-sector outlook from positive to neutral , citing “rapid and chaotic activity” from the Trump administration. Executive orders and policy shifts are threatening federal funding , which accounts for about one-third of state budgets . States may have to tap into reserves, cut or pause projects , and reduce aid to local governments, colleges, and hospitals . Financial Implications Uncertainty in federal funding could impact essential services , particularly in education and healthcare . State housing finance agencies face higher risks , with possible negative actions on US government bond ratings . Potential elimination or reduction of the municipal bond tax-exemption poses a significant threat to state finances. Rising Costs & Legal Challenges States are incurring higher costs due to policy disruptions , including: Increased expenses for advisors and consu...