Latest news with #KLCI
Straits Times
3 days ago
- Business
- Straits Times
Singapore shares down amid mixed regional showing; STI drops 0.5%
Find out what's new on ST website and app. Singapore's benchmark STI fell 0.5 per cent or 19.92 points to end at 4,241.14. SINGAPORE - Local stocks fell for the second straight session on July 28 amid a mixed performance by Asian bourses, as optimism over developments on US' trade deals was countered by uncertainty in Japan. While most Asian equities closed higher, encouraged by the latest US-EU trade deal and signs that Washington's truce with Beijing will extend, markets such as Japan and Malaysia bucked the trend. KLCI closed 0.3 per cent lower while Nikkei 225 ended the day 1.1 per cent lower, the most since July 1. The political situation remains uncertain in Japan after the incumbent Liberal Democratic Party lost its majority in the Upper House elections on July 20. Prime Minister Shigeru Ishiba has signalled he intends to stay in office, brushing aside the growing number of calls for him to resign. 'While political uncertainty surrounding PM Ishiba's potential resignation may introduce volatility, markets expect policy continuity,' Eastspring Investments, the US$256 billion (S$329 billion) asset management business of Prudential, said in a report published on July 28. Singapore's benchmark Straits Times Index (STI) fell 0.5 per cent or 19.92 points to end at 4,241.14. Across the broader market, gainers beat losers 290 to 276, with around two billion securities worth $1.4 billion changing hands. Keppel DC Reit was the top blue-chip gainer, rising 2.2 per cent to $2.37. Jardine Matheson was the biggest decliner, slipping 2 per cent to US$55.32. The trio of local banks ended lower. DBS fell 0.8 per cent 40 cents to $48.66; OCBC dropped 0.5 per cent or eight cents to $17.10; and UOB shed 0.7 per cent 25 cents to close at $36.90.
Business Times
3 days ago
- Business
- Business Times
Singapore shares down amid mixed regional showing on Monday; STI drops 0.5%
[SINGAPORE] Local stocks fell for the second straight session on Monday (Jul 28) amid a mixed performance by Asian bourses, as optimism over developments on US' trade deals was countered by uncertainty in Japan. While most Asian equities closed higher , encouraged by the latest US-EU trade deal and signs that Washington's truce with Beijing will extend, markets such as Japan and Malaysia bucked the trend. KLCI closed 0.3 per cent lower while Nikkei 225 ended the day 1.1 per cent lower, the most since Jul 1. The political situation remains uncertain in Japan after the incumbent Liberal Democratic Party lost its majority in the upper house elections on Jul 20. Prime Minister Shigeru Ishiba has signalled he intends to stay in office, brushing aside the growing number of calls for him to resign. 'While political uncertainty surrounding PM Ishiba's potential resignation may introduce volatility, markets expect policy continuity,' Eastspring Investments, the US$256 billion asset management business of Prudential, said in a report published on Monday. Singapore's benchmark Straits Times Index (STI) fell 0.5 per cent or 19.92 points to end at 4,241.14. Across the broader market, gainers beat losers 290 to 276, with around two billion securities worth S$1.4 billion changing hands. Keppel DC Reit was the top blue-chip gainer, rising 2.2 per cent or S$0.05 to S$2.37. Jardine Matheson was the biggest decliner, slipping 2 per cent or US$1.14 to US$55.32. The trio of local banks ended lower. DBS fell 0.8 per cent or S$0.40 to S$48.66; OCBC dropped 0.5 per cent or S$0.08 to S$17.10; and UOB shed 0.7 per cent or S$0.25 to close at S$36.90. The rest of Asian markets were mostly higher. In Greater China, Hong Kong's Hang Seng Index is the leader in Asian bourses, with a 0.7 per cent increase while Shenzhen Component rose 0.4 per cent. That's after the South China Morning Post reported that the US and China are expected to extend their trade truce by another three months. South Korea's Kospi rose as well, also by 0.4 per cent.
Business Times
3 days ago
- Business
- Business Times
Singapore shares fall amid mixed regional showing on Monday; STI down 0.5%
[SINGAPORE] Local stocks fell for the second straight session on Monday (Jul 28) amid a mixed performance by Asian bourses, as optimism over developments on US trade deals was countered by uncertainty in Japan. While most Asian equities closed higher , encouraged by the latest US-EU trade deal and signs that Washington's truce with Beijing will be extended, markets such as Japan and Malaysia bucked the trend. The KLCI slipped 0.3 per cent while the Nikkei 225 ended the day 1.1 per cent lower, the most since Jul 1. The political situation remains uncertain in Japan after the incumbent Liberal Democratic Party lost its majority in the upper house elections on Jul 20. Prime Minister Shigeru Ishiba has signalled he intends to stay in office, brushing aside the growing number of calls for him to resign. 'While political uncertainty surrounding PM Ishiba's potential resignation may introduce volatility, markets expect policy continuity,' Eastspring Investments, the US$256 billion asset management business of Prudential, said in a report published on Monday. The benchmark Straits Times Index (STI) fell 0.5 per cent or 19.92 points to end at 4,241.14. Across the broader market, gainers beat losers 290 to 276, with around two billion securities worth S$1.4 billion changing hands. Keppel DC Reit was the top blue-chip gainer, rising 2.2 per cent or S$0.05 to S$2.37. Jardine Matheson was the biggest decliner, losing 2 per cent or US$1.14 to US$55.32. The trio of local banks ended lower. DBS fell 0.8 per cent or S$0.40 to S$48.66, OCBC dropped 0.5 per cent or S$0.08 to S$17.10 and UOB shed 0.7 per cent or S$0.25 to close at S$36.90. The rest of Asian markets were mostly higher. In Greater China, Hong Kong's Hang Seng Index was the leader in Asian bourses, with a 0.7 per cent increase while Shenzhen Component rose 0.4 per cent. That's after the South China Morning Post reported that the US and China are expected to extend their trade truce by another three months. South Korea's Kospi gained 0.4 per cent as well.
BusinessToday
3 days ago
- Business
- BusinessToday
August Volatility Looms For KLCI
Bursa Malaysia Global trade negotiations and upcoming central bank decisions are taking center stage, influencing market movements across Asia, the US, and Malaysia. Investors are navigating a complex landscape marked by a crucial tariff deadline, significant earnings reports, and ongoing policy reviews. Asia Markets Dip Amid Caution Ahead of Key Events Asian markets largely ended lower last week, pulling back from recent rallies driven by optimism over US trade talks and strong second-quarter earnings from Wall Street. Momentum faded as caution set in ahead of several pivotal events: a critical tariff deadline on August 1st, the Federal Open Market Committee (FOMC) policy decision on July 31st, and a slew of major US economic data releases and corporate earnings. US Markets buoyed by Earnings and Trade Hopes In contrast, US markets saw a positive finish, with the S&P 500 rising 0.4% to notch another record close and the Dow Jones Industrial Average jumping 208 points. This ascent was primarily lifted by continued optimism surrounding the earnings season. So far, 80% of S&P 500 companies reporting have surpassed forecasts, with earnings growth tracking at a robust 7.7%, significantly higher than the 5.8% expected at the start of July. Markets also found support from positive trade developments. On July 28th, the US and the European Union reached a hard-fought trade deal, which will see the bloc face 15% tariffs on most of its exports, including automobiles, but crucially staving off a full-blown trade war. This agreement comes less than a week before President Donald Trump's higher tariffs were set to take effect. The week ahead for US investors will be dominated by the busiest stretch of the earnings season, with key reports from tech giants like Microsoft, Meta, Apple, and Amazon, along with Boeing, Procter & Gamble, and numerous other prominent companies. On the macro front, attention will be on the FOMC's policy decision (expected to hold rates steady between 4.25%-4.50% according to market analysts), the advance estimate for US Q2 GDP (forecast to rebound to 2.5%), ADP employment figures, monthly payrolls, and ISM manufacturing data. KLCI Pressured by Local and Global Headwinds The Kuala Lumpur Composite Index (KLCI) mirrored the broader Asian sentiment, falling 6.6 points to close at 1,533.8. The local benchmark was particularly weighed down by a sell-off in Tenaga Nasional Berhad (TNB) shares after the utility giant was slapped with a fresh RM840.13 million tax notice from the Inland Revenue Board (IRB) for the Year of Assessment (YA) 2022. This comes shortly after TNB lost a significant RM1.25 billion tax dispute for YA 2018 in the Federal Court earlier this month. Sentiment was further dampened by uncertainty surrounding the US-Malaysia trade deal. Malaysia's firm stance on non-tariff barriers reportedly risks excluding it from favorable terms already secured by ASEAN peers such as Vietnam, the Philippines, and Indonesia, adding to concerns about its trade competitiveness. Foreign investors continued their net selling, marking a third consecutive week of outflows with a net selling of -RM137 million last week. This brings the July month-to-date net outflow to -RM579 million and the year-to-date figure to a substantial -RM12.7 billion. In contrast, local institutions emerged as net buyers, recording +RM93 million for the week (though their weekly net flow was -RM15 million due to the accounting of market transactions, July MTD: +RM506 million; YTD: +RM10.97 billion), and local retailers also showed resilience with +RM18 million (weekly: +RM106 million, July MTD: +RM73 million; YTD: +RM1.72 billion). Technical Outlook and Market Outlook HLIB Research indicates that the KLCI appears to have found temporary support after rebounding from the 1,510 level. The index remains on the cusp of a potential bullish triangle breakout, provided it avoids a decisive fall below 1,510 and 1,520. A breakout above the downtrend line near 1,551 could revive bullish momentum, targeting resistances at 1,563 (200D MA) and 1,575 (50W MA). Conversely, a significant drop below 1,510 could trigger a deeper pullback towards 1,500 and 1,488. For the upcoming week, the KLCI is expected to trade range-bound between 1,518 and 1,551 as investors digest the FOMC outcome and the ongoing US trade negotiations, including those with Malaysia. Caution is likely to prevail amid expectations of a soft August earnings season and the index's historical underperformance in August (with 10-year, 20-year, and 30-year average declines of -0.7%, -1.2%, and -2.2% respectively). Domestic headwinds from subsidy rationalisation and the potential expansion of the Sales and Service Tax (SST) could further dampen consumer sentiment and earnings visibility, adding to the market's cautious outlook. Related
BusinessToday
4 days ago
- Business
- BusinessToday
Bursa Review: Bursa Malaysia Ends Mixed As Trade Jitters Offset Fiscal Boost
Bursa Malaysia ended the week of July 21 on a mixed note as investors weighed positive domestic economic data and government fiscal support against lingering concerns over US-Malaysia trade tensions. The benchmark FBM KLCI hovered in a narrow range between 1,524 and 1,540 throughout the week, reflecting cautious investor sentiment. It opened on July 21 at 1,524.59, slipping slightly as profit-taking activity followed the prior week's rally. Broad-based losses in mid- and small-cap counters, along with weaker regional cues, pressured the broader market. Investor appetite remained subdued early in the week, despite Malaysia's stronger-than-expected second-quarter GDP growth of 4.5%, beating market forecasts of 4.2%. Optimism picked up mid-week on the back of positive Wall Street earnings and selective foreign inflows into blue-chip stocks. On July 24, the KLCI surged 0.69% to close at a weekly high of 1,540.32, buoyed by the government's latest fiscal measures, including cash handouts, fuel subsidies and a freeze on toll hikes aimed at easing the cost of living. The policy support sparked renewed buying interest in consumer-related and construction-linked stocks. However, gains were pared on July 25 as investors turned cautious ahead of the weekend, with uncertainty looming over potential US tariff adjustments affecting Malaysian exports. The KLCI retreated 0.43% to settle at 1,533.76, as heavyweights such as Maybank, Public Bank and TNB booked modest losses. Market breadth was mixed throughout the week. Among the most actively traded stocks was NexG Bhd, which posted high volumes driven by speculative interest. Meanwhile, Sunway Construction Group Bhd saw sharp losses early in the week on heavy institutional selling, though bargain hunting helped stabilize selected counters later in the week. Turnover remained moderate, averaging RM2.2-RM2.3 billion daily, as investors largely stayed on the sidelines awaiting greater clarity on global trade developments and the upcoming corporate earnings season. Looking ahead, analysts expect the FBM KLCI to continue consolidating in the near term. Related
