FBM KLCI Closes At Intra-day High For Second Session As Investors Regain Risk Appetite
By Harizah Hanim Mohamed
KUALA LUMPUR, July 24 (Bernama) -- Bursa Malaysia finished at its intra-day high for the second straight session on Thursday, driven by global optimism and the latest round of government fiscal aid that led investors to be back in the local market.
At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) gained 10.53 points, or 0.69 per cent, to close at an intra-day high of 1,540.32, compared to Wednesday’s close of 1,529.79.
The index opened 1.26 points higher at 1,531.05 and moved between 1,529.71 and 1,540.32 throughout the trading session.
Gainers led losers in the broader market 502 to 474, while 496 counters were unchanged and 1,044 untraded, with seven suspended.
Turnover, however, slipped to 2.97 billion shares worth RM2.3 billion from 3.27 billion shares worth RM2.26 billion on Wednesday.
SPI Asset Management managing partner Stephen Innes said the FBM KLCI traded firmer buoyed by hopes that the worst of the tariff storm may be behind as the United States (US)-Japan deal, inked at 15 per cent, has the market betting that other trading partners, including Malaysia could secure similar outcomes, potentially keeping tariffs below the 20 per cent mark.
“That shift in expectations is stoking risk appetite across Asia. Meanwhile, Prime Minister Datuk Seri Anwar Ibrahim’s announcement of RM100 cash handouts for all adult Malaysians and targeted fuel price relief adds a dose of local stimulus, reinforcing the bid on domestic equities.
“Boosted by global optimism and the government fiscal aid, investors are back in force,” he told Bernama.
UOB Kay Hian Wealth Advisors Sdn Bhd head of investment research Mohd Sedek Jantan said a sharp surge in the final hour of trading lifted the composite index, suggesting renewed investor confidence and short-term accumulation ahead of key global macroeconomic events.
“Market sentiment was buoyed by the government’s latest fiscal stimulus announcements, which provided a supportive backdrop for risk assets. Notably, foreign funds turned net buyers for the day, signalling a shift in sentiment likely driven by the perceived credibility and market-friendly orientation of the new fiscal measures,” he said.
Mohd Sedek elaborated that among FBM KLCI constituents, petrochemical stocks led the gains, reflecting sector-specific optimism amid improved global demand signals and positive developments in trade negotiations.
The Industrial Products and Services Index extended its winning streak, underpinned by expectations tied to the recently announced US-Japan trade agreement, which was viewed by markets as a favourable benchmark for regional trade realignments.
“With the deadline for ongoing tariff negotiations approaching, recent bilateral agreements by Indonesia, Japan and the Philippines have reduced external uncertainty and lifted investor appetite for export-oriented counters. There is growing optimism that the US may scale back the proposed 25 per cent tariff on Malaysian goods, further improving the external outlook,” he added.
Mohd Sedek also cautioned that attention now turns to key US economic data releases, including new home sales figures, S&P Global Purchasing Managers Index and weekly jobless claims.
“Initial jobless claims have registered five consecutive weeks of decline, while continuing claims have stabilised since mid-June, reinforcing the narrative of a resilient US labour market and shaping expectations for the Federal Reserve’s upcoming policy direction,” he said.
Elsewhere, Hong Kong’s Hang Seng advanced 0.51 per cent to close at 25,667.18, Singapore’s Straits Times Index improved 0.97 per cent to 4,272.48, and South Korea’s Kospi gained 0.21 per cent to 3,190.45. Japan’s Nikkei 225 rallied 1.56 per cent to 41,826.34.
Of the heavyweight stocks, Maybank earned four sen to RM9.63, Public Bank improved two sen to RM4.31, Tenaga Nasional was flat at RM13.94, CIMB and IHH Healthcare were both up three sen at RM6.70 and RM6.65.
Top gainers were led by Nestle, surging RM5.42 to RM82.32, Petronas Dagangan was 50 sen higher at RM21.50, BLD Plantation improved 42 sen to RM10.92, PPB Group and Petronas Chemicals earned 32 sen to RM9.62 and RM3.69, respectively.
Among the most active stocks, Zetrix lost three sen to 91.5 sen, Tanco was flat at 91.5 sen, NexG erased half-a-sen to 51.5 sen, Lotte Chemicals gained 11 sen to 70.5 sen and Tan Chong dropped one sen to 86.5 sen.
On the index board, the FBM Emas Index climbed 56.63 points to 11,551.17, the FBMT 100 Index rose 60.40 points to 11,314.56, and the FBM Emas Shariah Index advanced 64.48 points to 11,580.96.
The FBM 70 Index added 14.78 points to 16,658.87, while the FBM ACE Index lost 22.54 points to 4,642.51.
Sector-wise, the Industrial Products and Services Index rose 2.73 points to 158.16, the Plantation Index gained 58.52 points to 7,469.96, the Financial Services Index jumped 75.33 points to 17,505.58, but the Energy Index fell 4.50 points to 738.68.
The Main Market volume narrowed to 1.37 billion units valued at RM1.96 billion from 1.44 billion units valued at RM1.89 billion.
Warrant turnover trimmed to 1.24 billion units worth RM207.50 million from 1.52 billion units worth RM257.66 million previously.
The ACE Market volume improved to 362.14 million units worth RM131.90 million from 315.55 million units valued at RM97.33 million previously.
Consumer products and services counters accounted for 220.6 million shares traded on the Main Market; industrial products and services (278.27 million), construction (97.53 million), technology (261.82 million), SPAC (nil), financial services (61.28 million), property (177.63 million), plantation (14.89 million), REITs (22.3 million), closed-end fund (nil), energy (64.42 million), healthcare (57.49 million), telecommunications and media (40.4 million), transportation and logistics (28.64 million), utilities (42.42 million), and business trusts (62,600).
-- BERNAMA