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.
Key Takeaways Rising wages and a resilient labour market have not translated into stronger consumer spending. Household loan applications, approvals and disbursements have slowed in recent months, signalling caution. AmBank projects private consumption growth of 5% in 2025 , supporting GDP growth of 3.8% , below official forecast of 4.0–4.8%. Consumer sentiment remains subdued amid global policy uncertainty and domestic policy changes , limiting the “feel-good factor.” Short-term support expected from the government’s RM100 cash aid , injecting ~RM2 billion into the economy. The upcoming RON95 petrol subsidy rationalisation poses further uncertainty, though AmBank expects a gradual rollout rather than abrupt changes. Analysis Malaysia’s post-pandemic wage recovery and strong labour market have not spurred proportional increases in consumer spending. AmBank’s chief economist Firdaos Rosli highlighted weakening household b...