Latest news with #MGS
New Straits Times
2 days ago
- Business
- New Straits Times
Foreign investors pull RM5.4bil from Malaysian bonds in June
KUALA LUMPUR: Foreign holdings of Malaysian bonds fell by RM5.4 billion in June, reversing strong inflows of RM13.4 billion recorded in May, according to RAM Ratings. In a statement today, the rating agency said this was amid weaker investor sentiment over when US reciprocal tariffs will take effect, as the initial deadline looms. "This was primarily driven by selloffs of both long-term Malaysian Government Securities (MGS) and Government Investment Issues (GII) and short-term Malaysian Treasury Bills (MTB) and Malaysian Islamic Treasury Bills (MITB), which respectively amounted to RM5.3 billion and RM1.0 billion. "Conversely, corporate bonds continued to attract foreign investments, recording a net inflow of RM903.4 million in June, up from RM550 million in May," it added. However, RAM Ratings said this is only the second month in 2025 to see an overall net foreign outflow, after February's RM1.1 billion. It noted that foreign investors remained major net buyers in the first half of 2025 (1H25), contributing to a cumulative net inflow of RM21.4 billion as of June 2025 year-to-date. Looking ahead, RAM Ratings said foreign investor interest could stay muted in July as the August 1 deadline for higher US reciprocal tariff rates looms and uncertainty remains over whether Malaysia can strike a deal before then. "Growing expectation of a longer pause in US monetary policy easing, given the hotter-than-anticipated July inflation print, also dulls the attractiveness of emerging market assets. "Markets currently expect the US Federal Reserve (Fed) to keep its policy rate unchanged at 4.25 per cent to 4.5 per cent at the upcoming July Federal Open Market Committee (FOMC) meeting. "A rate reduction is now anticipated in September, with the market-assigned probability of a cut rising to 48.3 per cent on July 16, up from around 30 per cent on July 9, according to data from the CME FedWatch Tool," it said. Furthermore, RAM Ratings also said waning hopes of a Federal Reserve rate cut this month strengthened the greenback. It noted that as of July 17, the ringgit had weakened moderately to 4.25 against the US dollar, compared with 4.21 at the end of June.
The Sun
4 days ago
- Business
- The Sun
MBSB IB remains bullish on property sector amid OPR cut, Johor catalysts
KUALA LUMPUR: MBSB Investment Bank Bhd (MBSB IB) remains sanguine on the property sector, given the healthy buying interest in the second half of 2025, with the Johor-Singapore Special Economic Zone and the Johor Bahru–Singapore Rapid Transit System continuing to be catalysts to the sector. In a note today, the investment bank said the recent overnight policy rate (OPR) cut will boost buying sentiment for properties. 'Hence, we maintain our positive stance on the sector, with Mah Sing Group Bhd, UOA Development Bhd and Matrix Concepts Holdings Bhd as our top picks. 'We like Mah Sing as its strategy of selling affordable residential property will sustain its new sales growth while the recent OPR cut will increase affordability among buyers, specifically first-time home buyers,' it added. MBSB IB said it also favours UOA Development for its decent dividend yield of 5.6 per cent, compared to the compressed Malaysian Government Securities (MGS) yield of 3.4 per cent and average real estate investment trust (REIT) yield of 4.4 per cent. 'Besides, UOA's recent maiden venture into the Johor property market will support new sales growth in the future. 'Meanwhile, we see a strong catalyst from MVV City to Matrix Concepts, which will provide an earnings catalyst on top of the stable contribution from Bandar Sri Sendayan. Besides, the dividend yield of Matrix Concepts is attractive at an estimated six per cent,' it added. - Bernama
The Star
4 days ago
- Business
- The Star
REITs shine as defensive assets in uncertain times
PETALING JAYA: Hong Leong Investment Bank Research (HLIB Research) has turned bullish on local real estate investment trusts (REITs), upgrading the sector to 'overweight' from 'neutral', driven by their strong relative performance and attractive valuations. Naming Sunway-REIT and Axis-REIT as its top picks with target prices of RM2.31 and RM2.18, respectively, the research house reported that in the first half of this financial year (1H25), REITs outpaced the broader market, with the KL-REIT Index rising 3.7%, while the FBM KLCI fell 6.6%, reflecting investor preference for defensive assets. In a note to clients yesterday, HLIB Research said: 'REITs notably outperformed, owing to their defensive appeal amid persistent external uncertainty, including US political risk and Middle East tensions.' It said one of the biggest tailwinds for REITs is the easing of the 10-year Malaysian Government Securities (MGS) yield, which dipped below 3.5% from 3.8% in January, following strong foreign inflows and a 25 basis point cut to the overnight policy rate on July 9. 'This further widens yield spreads and enhances the risk-reward profile for REITs,' HLIB Research said. As a result, the research house adjusted its 10-year MGS assumption from 4% to 3.7%, acknowledging a 'prudent buffer' to account for global rate differentials. Looking at specific segments, it said retail REITs continue to show resilience despite new supply pressure, with retail space in the Klang Valley rising to 70.9 million square feet in the second half of financial year 2024 (2H24) and an additional 3.6% increase expected this year. While this increase could strain tenant performance, the research house remained confident about malls with strong fundamentals, citing Pavilion Kuala Lumpur, Sunway Pyramid and Suria KLCC as malls that have maintained above 90% occupancy over the past five years. 'Malls with strong catchment areas and premium positioning will remain resilient,' it added. The research house said retail trade grew 6.8% year-on-year from January to April this year, lifted by the minimum-wage hike in February, although it added it was expecting some moderation in 2H25 due to inflationary pressures. HLIB Research said the the hospitality segment experienced a soft 1Q25 – with Sunway-REIT and KLCC's Mandarin Oriental seeing occupancy drops to 55% and 54%, respectively. However, the research house said it was nonetheless anticipating a strong rebound. 'We expect the hospitality segment to recover in 2H25, driven by the year-end holiday season and rising international tourist arrivals,' the research house said, adding that this would be supported by the Visit Malaysia 2026 campaign and a mutual visa exemption arrangement with China. The research house said that Chinese tourists have become a key growth segment, accounting for 13% of arrivals and 20% of tourist receipts last year, surpassing pre-lockdown levels, adding that their spending is also rising. HLIB Research said Chinese tourists tend to have longer vacations and are bigger spenders as well at an average of RM953 per day, compared with the average of RM770 per day for a non-Chinese tourist. Meanwhile, it reported that Klang Valley's office space expanded to 118.3 million square feet in 2H24, but growth moderated to 0.7% last year, down from a 2.1% four-year average, which suggests a stabilising trend. HLIB Research said it sees opportunities in Malaysia's push into 'high-tech and high-value sectors', which could boost demand for space to conduct research and development and house regional operations. Among office-focused REITs, the research house favours IGB Commercial-REIT, citing its strategically located assets – particularly in Mid Valley City, supported by strong transport links and adjacent retail offerings. HLIB Research also pointed to a rising trend in REIT diversification, noting that Pavilion-REIT is exploring hotel acquisitions; Sentral-REIT is adding retail assets; and Hektar-REIT is investing in industrial and solar assets. 'We favour this diversification strategy,' the research house said, highlighting Sunway-REIT's 35% exposure to non-retail and Axis-REIT's 20% in non-industrial assets. It said the expanded Sales and Service Tax, which includes a rate of 8% on leasing and rental income above RM1mil, is expected to have minimal immediate impact on the sector. 'The additional costs are expected to be passed through to tenants,' HLIB Research said, though it cautioned this could pressure future rental revisions.
India Gazette
11-07-2025
- Science
- India Gazette
DRDO, IAF conduct successful flight-test of Astra Beyond Visual Range Air-to-Air missile with indigenous Radio Frequency Seeker from Su-30 Mk-I
New Delhi [India], July 11 (ANI): Defence Research & Development Organisation (DRDO) and Indian Air Force (IAF) successfully conducted the flight-test of indigenous Beyond Visual Range Air-to-Air missile (BVRAAM) 'Astra' equipped with indigenous Radio Frequency (RF) Seeker from Su-30 Mk-I platform off the coast of Odisha on Friday. According to a statement from the Ministry of Defence, during the tests, two launches were carried out against high-speed unmanned aerial targets at different ranges, target aspects and launch platform conditions. In both cases, the missiles destroyed the targets with pinpoint accuracy. During the tests, all subsystems performed as per expectations including the RF seeker which has been indigenously designed & developed by DRDO. The flawless performance of the Astra weapon system was validated through flight data captured by Range Tracking instruments deployed by Integrated Test Range, Chandipur. These successful flight tests have re-established the accuracy and reliable performance of Astra weapon system with indigenous seeker, the release emphasised. Astra BVRAAM has a range exceeding 100 kms and is equipped with an art guidance and navigation system. In addition to various laboratories of DRDO, more than 50 public and private industries, including Hindustan Aeronautics Limited, have contributed towards the successful realisation of the weapon system. Defence Minister Rajnath Singh complimented DRDO, IAF and industry involved in the design and development of the RF seeker and stated that the successful testing of the missile with an indigenous seeker is a major milestone in critical defence technology. Secretary, Department of Defence R&D and Chairman, DRDO, Samir V Kamat, congratulated all the teams involved during the successful flight test. Earlier this week, the Defence Research and Development Organisation developed a new, powerful howitzer, the Indigenous 155mm/52 Calibre Mounted Gun System, which can quickly shoot and move. The DRDO lab, Vehicle Research and Development Establishment, developed the MGS. The goal was to develop a fully indigenous system that could operate effectively in challenging terrain and engage enemy targets quickly and accurately. Speaking to ANI, Director VRDE G Ramamohana Rao said, 'This is a 155mm/52 calibre gun. Such guns already exist, but they are towed separately and take time to deploy. Our MGS is different. It is quick, just 80 seconds to deploy and 85 seconds to move. It is fully made in India and can also be exported to other countries' High mobility Artillery was a technology gap that needed to be addressed, for which the Mounted Gun System (MGS) was a viable solution. Accordingly, VRDE has taken up a Technology Demonstrator Project, 'Design and Development of 155mm/52 calibre Mounted Gun System (MGS) based on ATAGS'. (ANI)
Hindustan Times
11-07-2025
- Science
- Hindustan Times
DRDO, IAF successfully test fire indigenous Astra beyond visual range missile from Su-30 Mk-I
Defence Research & Development Organisation (DRDO) and Indian Air Force (IAF) successfully conducted the flight-test of indigenous Beyond Visual Range Air-to-Air missile (BVRAAM) 'Astra' equipped with indigenous Radio Frequency (RF) Seeker from Su-30 Mk-I platform off the coast of Odisha on Friday. The missiles destroyed the targets with pinpoint accuracy.(ANI File) According to a statement from the Ministry of Defence, during the tests, two launches were carried out against high-speed unmanned aerial targets at different ranges, target aspects and launch platform conditions. In both cases, the missiles destroyed the targets with pinpoint accuracy. During the tests, all subsystems performed as per expectations including the RF seeker which has been indigenously designed & developed by DRDO. The flawless performance of the Astra weapon system was validated through flight data captured by Range Tracking instruments deployed by Integrated Test Range, Chandipur. These successful flight tests have re-established the accuracy and reliable performance of Astra weapon system with indigenous seeker, the release emphasised. Astra BVRAAM has a range exceeding 100 kms and is equipped with an art guidance and navigation system. In addition to various laboratories of DRDO, more than 50 public and private industries, including Hindustan Aeronautics Limited, have contributed towards the successful realisation of the weapon system. Defence Minister Rajnath Singh complimented DRDO, IAF and industry involved in the design and development of the RF seeker and stated that the successful testing of the missile with an indigenous seeker is a major milestone in critical defence technology. Secretary, Department of Defence R&D and Chairman, DRDO, Samir V Kamat, congratulated all the teams involved during the successful flight test. Earlier this week, the Defence Research and Development Organisation developed a new, powerful howitzer, the Indigenous 155mm/52 Calibre Mounted Gun System, which can quickly shoot and move. The DRDO lab, Vehicle Research and Development Establishment, developed the MGS. The goal was to develop a fully indigenous system that could operate effectively in challenging terrain and engage enemy targets quickly and accurately. Speaking to ANI, Director VRDE G Ramamohana Rao said, "This is a 155mm/52 calibre gun. Such guns already exist, but they are towed separately and take time to deploy. Our MGS is different. It is quick, just 80 seconds to deploy and 85 seconds to move. It is fully made in India and can also be exported to other countries" High mobility Artillery was a technology gap that needed to be addressed, for which the Mounted Gun System (MGS) was a viable solution. Accordingly, VRDE has taken up a Technology Demonstrator Project, 'Design and Development of 155mm/52 calibre Mounted Gun System (MGS) based on ATAGS'.
