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.
A hawkish shift by the Federal Reserve has unsettled bullish sentiment in the stock market, with Bank of America strategist Michael Hartnett warning of shaky risk appetite as US equities face their worst week in over three months . Key Highlights 1. Fed's Impact on Sentiment Fed Pivot : A renewed focus on inflation concerns and fewer expected rate cuts in 2025 have dampened investor confidence. Stock Allocation Surge : Record-high allocations to US equities and low cash holdings triggered a sell signal for stocks earlier this week, according to BofA's fund managers survey . 2. Market Breadth Concerns Narrow Leadership : The S&P 500 Equal Weighted Index has dropped 7% since a November peak, while the main S&P 500 declined less than 3% , indicating reliance on a few top-performing stocks. Banking Sector's Role : The SPDR S&P Bank ETF must hold near...