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Market Daily Report: Bursa Malaysia Ends Nearly Flat As Construction Stocks Attract Buying

 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.

Swedbank Sees Riksbank Cutting Rates to 1.5% in 2025

  Key Forecasts Policy Rate : Riksbank expected to  cut 50bps this year to 1.5% by November  (vs. previous forecast of 1.75%). Growth Outlook : 2025 GDP revised down to  1.0%  (from 1.5% prior). Growth seen accelerating to  2.3% in 2026 , easing to  2.2% in 2027 . Unemployment : Projected to decline gradually from  8.7% (2025)  →  7.9% (2027) . Macro Context Exports hit : US tariff hikes weighing on Swedish exporters like  Volvo Cars , delaying recovery momentum. Riksbank signal : Central bank has already hinted a cut from the current  2.0% rate  before year-end remains “on the table.” Policy support needed : Swedbank stresses that stable growth requires both monetary and fiscal stimulus. Rate Path Outlook 2025 : Cut to  1.5% by Nov . 2026 : Rate held steady at  1.5% . 2027 : Modest hike back to  1.75%  as economy stabilizes. Investor Takeaway Bonds : Lower rate path supportive for Swedish fixed income,...

Malaysia’s Foreign Reserves Hit Decade High

Reserves Surge to 10-Year High International reserves rose to  USD120.6B , highest since Nov 2014. Driven by  FX revaluation gains  and record  gold holdings  (USD4.1B, +7.8% MoM). Ringgit Strength Dents Local Reserves Value Despite USD gain,  Ringgit reserves fell 3.8% MoM  to RM510.1B. Ringgit appreciated for  5th consecutive month , buoyed by weaker USD and trade sentiment. Policy Rate Outlook: No Cut Yet Kenanga sees BNM holding OPR steady  despite market chatter of a rate cut. GDP >4.0%  and  inflation risk  cited as reasons to pause. Rate remains  attractive for bond inflows . USDMYR Forecast Year-end target at  4.08 , backed by  macro stability, FDI inflows , and potential  Fed pivot . Trade Tension Watch US raised tariff on Malaysian goods to  25% (from 24%) , effective  Aug 1 . Malaysia still  more favorable than peers , but  Vietnam’s better tariff deal  is a concern. Ou...