Bursa Malaysia Pulls Back After Recent Rally

By Abdul Hamid A Rahman

KUALA LUMPUR, Nov 7 (Bernama) -- Bursa Malaysia staged a modest pullback to end lower today, driven by profit-taking after a four-day rally, amid the mostly higher regional market performance, an analyst said.

At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) dropped 10.89 points, or 0.66 per cent, to close at 1,623.28 compared to Wednesday’s close of 1,634.17.

The benchmark index opened 1.97 points higher at 1,636.14 and fluctuated between 1,622.75 and 1,639.55 throughout the day.

Market breadth was negative, with decliners thumping advancers 641 to 466, while 507 counters were unchanged, 792 untraded, and 10 suspended.

Turnover expanded to 3.77 billion units valued at RM3.41 billion versus 3.39 billion units valued at RM2.92 billion on Wednesday.

UOB Kay Hian Wealth Advisors head of investment research Mohd Sedek Jantan said that despite the fall in the FBM KLCI today, it remains elevated compared to last week as profit-taking ensued following a rally fuelled by optimism surrounding Donald Trump’s election victory.

“Despite today’s pullback, which may initially appear concerning, it seems premature, given the positive momentum in regional markets.

“Notably, the Bursa Malaysia Technology Index demonstrated notable resilience, advancing to a two-month high, as investor confidence strengthened on the back of positive developments in the US election and subsequent market rally,” he told Bernama.

Mohd Sedek said the Federal Open Market Committee (FOMC) will announce its interest rate decision later today.

“We expect (US Federal Reserve Chair) Jerome Powell to maintain a data-dependent stance, emphasising the need for further clarity on Trump’s policy trajectory,” he added.

Meanwhile, Rakuten Trade Sdn Bhd equity research vice-president Thong Pak Leng said he remains positive on the local market despite some profit-taking as the fundamentals of the local economy and corporates are improving.

“The long-term outlook for the FBM KLCI remains positive, even with today's sell-off. The key index target is maintained at 1,610–1,640,” he added.

Among the heavyweights, Public Bank added 1.0 sen to RM4.50. Maybank, CIMB Group, and Tenaga Nasional eased 2.0 sen each to RM10.58, RM8.18, and RM14.36, respectively, while IHH Healthcare eased 1.0 sen to RM7.25.

Among the actives, 3Ren rose 6.5 sen to 46 sen, Inari Amertron climbed 20 sen to RM3.19, Ekovest added 2.0 sen to 39 sen, while Top Glove fell 4.0 sen to RM1.12 and Genetec Technology shed 2.5 sen to 92.5 sen.

On the index board, the FBM 70 Index fell 127.18 points to 17,978.30, the FBM Emas Index declined 81.29 points to 12,299.53, the FBMT 100 Index dropped 81.81 points to 11,998.96, the FBM Emas Shariah Index sank 101.91 points to 12,254.30, and FBM ACE Index decreased 20.90 points to 5,164.85.

Sector-wise, the Financial Services Index dipped 19.89 points to 19,306.99, the Industrial Products and Services Index eased 2.19 points to 173.29, the Energy Index slipped 8.21 points to 827.98, and the Plantation Index fell 32.01 points to 7,579.93.

The Main Market volume climbed to 1.87 billion units worth RM2.99 billion from Wednesday’s 1.85 billion units worth RM2.53 billion.

Warrants turnover surged to 1.29 billion units valued at RM187.07 million from 796.39 million units valued at RM117.51 million previously.

The ACE Market volume dwindled to 601.38 million units worth RM232.39 million versus 743.69 million units worth RM272.67 million yesterday.

Consumer products and services counters accounted for 277.64 million shares traded on the Main Market, industrial products and services (283.96 million), construction (179.75 million), technology (398.20 million), SPAC (nil), financial services (88.08 million), property (182.42 million), plantation (70.85 million), REITs (30.40 million), closed/fund (18,500), energy (88.42 million), healthcare (132.86 million), telecommunications and media (36.91 million), transportation and logistics (25.67 million), utilities (81.95 million), and business trusts (131,600).

-- BERNAMA