Bursa Malaysia Ends Sharply Higher As 13MP, US Tariff Cut Woo Bargain Hunting
By Danni Haizal Danial Donald
KUALA LUMPUR, Aug 1 (Bernama) -- Bargain hunting pushed Bursa Malaysia to end the week higher as investors cheered the United States (US) tariff reduction on all Malaysian products entering the country, coupled with positive market sentiment following the announcement of the 13th Malaysia Plan (13MP).
Earlier today, the White House announced a 19 per cent tariff imposed on Malaysia, lower than the 25 per cent announced on July 7.
At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) surged 20.10 points or 1.33 per cent to close at 1,533.35 from Thursday’s close of 1,513.25.
The benchmark index, which opened 6.62 points higher at 1,519.87, hit a low of 1,519.17 in early trade and reached a high of 1,534.48 in the afternoon session.
The broader market was positive, with gainers outpacing losers 570 to 452, while 521 counters were unchanged, 947 untraded and 11 suspended.
Turnover eased to 3.16 billion units worth RM2.23 billion from 3.77 billion units worth RM3.10 billion yesterday.
UOB Kay Hian Wealth Advisors Sdn Bhd's head of investment research Mohd Sedek Jantan said the FBM KLCI closed higher today, buoyed by renewed investor confidence following the White House’s announcement of a 19 per cent tariff on Malaysian exports.
He said the decision places Malaysia on par with regional peers such as Indonesia, Thailand, Cambodia, and the Philippines, lower than Vietnam, Taiwan, and India, but higher than Japan.
“The announcement, released earlier today, brings an end to four months of speculation and uncertainty, giving both businesses and policymakers a clearer path forward for strategy execution,” he told Bernama.
Meanwhile, Rakuten Trade Sdn Bhd equity research vice-president Thong Pak Leng said investors are cautiously awaiting US jobs data that could make or break the case for a US Federal Reserve interest rate cut next month.
“On the other hand, lower-than-expected economic data from China also weighed on sentiment after factory activity on the mainland unexpectedly contracted in July. As such, the local benchmark index is seen remaining in consolidation mode, hovering around the 1,530 level,” he said.
Among the heavyweights, Maybank rose 21 sen to RM9.60, Public Bank gained eight sen to RM4.29, Tenaga Nasional soared 28 sen to RM13.30, CIMB was 24 sen higher at RM6.79, while IHH Healthcare went up three sen to RM6.68.
Of the most active counters, Pegasus Heights and TWL were flat at half-a-sen and 2.5 sen, respectively, Pharmaniaga eased half-a-sen to 17 sen, while Tanco inched up half-a-sen to 84 sen, and Ekovest added two sen to 43.5 sen.
Besides Tenaga and CIMB, the other top gainers are Main Market debutant UMS Integration which advanced 50 sen to RM5.50, Ajinomoto and Gamuda bagged 22 sen each to RM13.08 and RM5.40, respectively, and Allianz Malaysia rose18 sen to RM17.60.
As for the top losers, Nestle dipped 34 sen to RM87.80 and both Kuala Lumpur Kepong and Mesiniaga erased 16 sen to RM19.42 and RM1.30, respectively.
-- BERNAMA