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.
Leveraged loan activity is expected to pick up after recent market stabilization, but investors are approaching junk-rated loans with caution, especially in light of a potential economic slowdown. Key Highlights: Market Pullback: Last week saw a significant reduction in leveraged loan deals, with only $3.3 billion worth of loans sold, compared to the $10 billion weekly average this year. This slowdown was triggered by disappointing jobs data released on August 1 and 2, which raised concerns about lower-rated debt and prompted forecasts for more aggressive interest rate cuts. JetBlue Airways Loan Deal: JetBlue Airways completed a five-year term loan deal, originally seeking $1.25 billion but downsizing to $750 million while increasing its bond offering from $1.5 billion to $2 billion. This adjustment reflects the cautious approach of borrowers in the current market environment. Investor Sentiment: Investors are wary of the potential for reduced earnings from leveraged loans if ...