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Market Daily Report: Selective Buying Of Defensive Stocks Lifts Bursa Malaysia Higher At Close

 KUALA LUMPUR, July 29 (Bernama) -- Bursa Malaysia rebounded to close higher on Wednesday on selective buying of defensive stocks after a volatile trading session. IPPFA Sdn Bhd director of investment strategy and country economist Mohd Sedek Jantan said consumer products and services stocks lifted the key index higher, overcoming lingering geopolitical concerns. At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) rose 3.08 points to 1,715.56 from yesterday’s close of 1,712.48. The benchmark index, which opened 1.91 points higher at 1,714.39, moved between 1,710.79 and 1,720.59 during the day’s trading. In the broader market, gainers outstripped decliners 550 to 476, while 612 counters were unchanged, 1,129 untraded, and 48 suspended. Turnover rose to 2.96 billion units valued at RM2.48 billion from 2.94 billion units valued at RM2.56 billion on Tuesday.

Tesla’s “Cheaper” Model 3 and Y Miss the Mark — Stock Drops 4.5%

Key Takeaway:  Tesla’s newly launched “standard” trims for the Model 3 and Model Y came in higher than investors hoped, triggering a sell-off as markets priced in softer sales and no major innovation surprise. Market Reaction: Sell the News Tesla (TSLA.US) closed  4.45% lower , while leveraged bull ETF  TSLL  fell  8.83% , and bear ETF  TSLQ  gained  8.96% after the EV maker revealed lower-priced versions of its best-selling vehicles. Wall Street expected  deeper cuts or brand-new models , but the new trims — while cheaper — stayed closer to  $40,000 than $30,000 , failing to reignite the “mass-market” enthusiasm investors were hoping for. “We view the announcements as a big disappointment,” said CFRA analyst Garrett Nelson, citing likely sales declines in Q4. New Prices: Lower, but Not Low Enough Tesla rebranded its entry-level options as “ standard ” trims: Model Y Standard:  US$39,990 (previously ~US$45,000) Model 3 Standard: ...

BMW Margins Hit by U.S. Tariffs and China Slowdown, EV Sales Offer Bright Spot

BMW AG reported a dip in profitability for the second quarter as  U.S. tariffs  and  weaker sales in China  pressured earnings. The German luxury carmaker’s automotive operating margin slipped to  5.4% , slightly above analyst expectations but down from previous levels. Key Points: Tariff Impact:  President Donald Trump’s trade war is expected to shave  1.25 percentage points  off BMW’s 2025 margins. China Slump:  Increasing competition from domestic EV makers like BYD is squeezing BMW’s market share and pricing in its largest market. Shares:  Fell as much as 2.1% in Frankfurt Thursday but remain up  6.2% year-to-date . Outlook: BMW maintained its  full-year auto margin guidance of at least 5% , making it one of the few European automakers not cutting forecasts this season. Porsche, Volkswagen, and Mercedes-Benz have all downgraded outlooks amid trade-related costs. The company plans to counter tariff effects with cost-saving m...

Tesla’s California Sales Slump Again — 7 Quarters in a Row

Tesla’s (TSLA) once-dominant position in California — the most influential EV market in the U.S. — is continuing to erode. According to the  California New Car Dealers Association , Tesla saw a  21.1% drop  in vehicle registrations in Q2, marking the  7th straight quarter of declines  in its key stronghold. What’s Going On? 41,138 registrations  in Q2 2025 vs.  52,119  in Q2 2024. CEO Elon Musk’s political involvement — including launching the  America Party  — may be alienating Tesla’s  core liberal consumer base . Production of the refreshed  Model Y  was paused earlier this year, possibly affecting inventory. Globally, Tesla’s deliveries fell  13.5%  in Q2 — a troubling signal for growth. Hybrid Vehicles Are Catching Up While Tesla struggles,  hybrid sales surged 54%  in the first half of 2025 in California, now making up  19.2%  of total market share. Cybertruck , Tesla’s bold pickup bet, ...

Mid-Market Auto Sales in Malaysia May Slow Amid E-Invoicing and Fuel Subsidy Reforms

Malaysia’s automotive market is expected to maintain stable growth in the affordable car segment , while the mid-market segment may face challenges due to the rollout of e-invoicing and potential changes in fuel subsidy policies , according to Kenanga Research . While the overall industry continues to enjoy solid demand, with a backlog of 160,000 units as of the end of August, Kenanga Research highlighted a “two-speed automotive market” through 2024. The research firm’s top pick in the sector is MBM Resources Bhd , which has significant exposure to Perodua , benefiting from a backlog of over 100,000 units and a 7% dividend yield . The firm has an outperform rating on MBM Resources with a target price of RM6.30 . The B40 segment, which is targeted by affordable car brands, is likely to be unaffected by fuel subsidy rationalization and may benefit from the progressive wage model and civil servant pay rises scheduled for December 2024. This increase will help civil servants reco...