Bursa Malaysia hits over two-month high on trade optimism

New Straits Times

13-05-2025

KUALA LUMPUR: Bursa Malaysia extended its upward momentum on Tuesday, soaring 2.32 per cent to a more than two-month high, buoyed by renewed risk-on sentiment as the United States (US) and China took significant steps to de-escalate trade tensions over the weekend.
At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) surged 2.32 per cent, or 35.89 points, to 1,582.39 from Friday's close of 1,546.50.
The market benchmark began the day 14.89 points higher at 1,561.39, its lowest level today, before steadily rising to reach an intraday high of 1,582.55 in the late afternoon session.
In the broader market, gainers trounced losers 874 to 323, while 408 counters were unchanged, 778 untraded and eight suspended.
Turnover expanded to 4.16 billion units worth RM4.48 billion compared to 2.94 billion units worth RM1.89 billion recorded last Friday.
UOB Kay Hian Wealth Advisors Sdn Bhd head of investment research Mohd Sedek Jantan said the US and China agreed to substantially scale back tariffs, provide a much-needed boost to investor confidence, with local equities playing catch-up after Bursa Malaysia remained closed on Monday for the Wesak Day holiday.
"The improved trade outlook has reignited optimism across regional markets, positioning Malaysia's benchmark index for potential upside in the near term," he told Bernama.
Furthermore, Mohd Sedek said the encouraging retail data has also helped lift market sentiment, reinforcing the view that domestic demand remains resilient.
"It testifies to the underlying strength of the Malaysian economy, which continues to provide a buffer against external headwinds and helps the market weather periods of global uncertainty.
"The strong figures are supportive of earnings prospects for consumer-related stocks and, when viewed alongside easing global trade tensions, have contributed to the FBM KLCI's sustained upward trajectory today," he added.
Among heavyweights, Maybank added 31 sen to RM10.20, Public Bank gained six sen to RM4.50, both Tenaga Nasional and IHH Healthcare rose four sen to RM14.34 and RM7.05, respectively, while MR DIY fell three sen to RM1.67.
For active stocks, MYEG was two sen higher at 92.5 sen, Inari jumped 27 sen to RM2.21, VS Industry climbed 12 sen to 91.5 sen, while Top Glove fell two sen to 84 sen and Sapura Energy was flat at 4.5 sen.