Rakuten Trade Sdn Bhd vice-president of equity research Thong Pak Leng said that Asian markets also ended in positive territory, buoyed by China’s measures to combat deflation, as well as strong gross domestic product and purchasing managers’ index data from the region.
“As China’s annual legislative session began, the country reaffirmed its commitment to maintaining a 5% economic growth in 2025.
“China’s premier Li Qiang pledged increased government expenditure and further initiatives to stimulate economic expansion,” he told Bernama.
Back home, he expects China’s stimulus efforts to positively impact regional markets, including Malaysia.
“While market sentiment has shown some improvement, we are cautious and acknowledge varying investor expectations.
“Hence, we expect the benchmark index to remain in the consolidation stage and trend within 1,550-1,580, representing key support and resistance levels for the remainder of the week,” he added.
Meanwhile, UOB Kay Hian Wealth Advisors Sdn Bhd’s head of investment research, Sedek Jantan, said that despite the FTSE Bursa Malaysia KLCI (FBM KLCI) closing higher today, market sentiment remains cautious as investors gauge the potential impact of US tariffs on China for Malaysian companies.
He said the escalation of trade tensions, particularly the imposition of tariffs by the US has weighed on investor confidence, contributing to recent market volatility.
“While today’s rebound provides some relief, it remains insufficient to recover the cumulative losses of 33.05 points recorded over the past four consecutive trading sessions.
“Market volatility remains elevated, and with the index still trading below the 1,590-resistance level, sentiment remains fragile,” said Sedek.
Additionally, he said although selling pressure may ease, investor sentiment has shifted towards a risk-off mode, with a preference for defensive sectors and safe-haven assets amid lingering uncertainties.
At 5pm, the FBM KLCI rose 8.76 points or 0.56% to 1,564.42 from yesterday’s close of 1,555.66.
The market bellwether opened 4.90 points higher at 1,560.56 and moved between 1,560.56 and 1,569.61 throughout the day.
On the broader market, gainers trumped decliners 663 to 372, while 411 counters were unchanged, 885 untraded, and six suspended.
Turnover narrowed to 3.15 billion units worth RM2.74 billion from 3.81 billion units worth RM3.04 billion yesterday.
Among the heavyweights, Public Bank added 10 sen to RM4.63, Tenaga Nasional went up 22 sen to RM13.82, and IHH Healthcare perked 2 sen to RM7.37, while Maybank eased 2 sen to RM10.58, and CIMB lost 20 sen to RM7.80.
As for the actives, NexG edged up 0.5 sen to 26 sen and MyEG Services improved 1 sen to 91 sen, while G3 Global inched down 0.5 sen to 1 sen, NationGate eased 4 sen at RM1.41, and Velesto Energy was flat at 16 sen.
On the index board, the FBM Emas Index strengthened 69.12 points to 11,613.99, the FBMT 100 Index jumped 67.13 points to 11,397.28, the FBM Emas Shariah Index recovered 82.37 points to 11,245.71, the FBM ACE Index climbed 34.91 points to 4,586.28, and the FBM 70 Index picked up 110.01 points to 16,396.05.
Sector-wise, the financial services index put on 44.6 points to 19,302.95 and the industrial products and services index advanced 2.37 points to 155.46, while the energy index slipped 7.34 points to 727.66, and the plantation index was 26.46 points lower at 7,509.47.
The Main Market volume declined to 1.68 billion units worth RM2.49 billion from 2.07 billion units worth RM2.77 billion yesterday.
Warrants turnover slid to 1.10 billion units worth RM128.53 million against 1.14 billion units worth RM100.75 million yesterday.
The ACE Market volume weakened to 357.24 million units valued at RM119.96 million versus 594.95 million units worth RM173.54 million previously.
Consumer products and services counters accounted for 286.49 million shares traded on the Main Market, industrial products and services (298.3 million), construction (136.9 million), technology (284.6 million), SPAC (nil), financial services (160.33 million), property (156.02 million), plantation (23.3 million), REITs (14.23 million), closed/fund (8,000), energy (154.25 million), healthcare (70.37 million), telecommunications and media (28.05 million), transportation and logistics (18.24 million), utilities (53.35 million), and business trusts (nil).