Latest news with #MalaysiaManufacturingPurchasingManagers'Index
New Straits Times
03-08-2025
- Business
- New Straits Times
Bursa Malaysia to trade higher next week on US rate cut, upcoming 13MP debate
KUALA LUMPUR: Bursa Malaysia is likely to trade higher next week, supported by improved investor sentiment following the reduction in United States (US) tariffs and the upcoming debate on the 13th Malaysia Plan (13MP) during the Parliamentary sitting beginning Aug 4. UOB Kay Hian Wealth Advisors Sdn Bhd head of investment research, Mohd Sedek Jantan, said the FTSE Bursa Malaysia KLCI (FBM KLCI) is expected to trade within the 1,545 to 1,555 range. He noted that export-oriented stocks are expected to lead the rebound, with technology counters poised to benefit benefit from both global supply chain repositioning and the country's ongoing digitalisation agenda. "The 13MP unveiled by the Prime Minister Datuk Seri Anwar Ibrahim on Thursday anchors the medium-term policy around geoeconomic resilience, supply chain realignment, and digital transformation. "Of particular note is the plan's emphasis on artificial intelligence, which reinforces our constructive view on the long-overdue re-rating of the technology sector," he told Bernama. Mohd Sedek also noted that recent domestic data supports the case for recovery, highlighting the S&P Global Malaysia Manufacturing Purchasing Managers' Index (PMI), which rose for the third consecutive month—from 49.3 in June to 49.7 in July. "While the index remains just below the expansion threshold, the steady improvement signals ongoing stabilisation in the manufacturing sector," he said. Furthermore, Malaysian equities remain undervalued compared to regional peers as investors shift their focus to China's July trade data, which is due next Thursday. "As such, we remain cautiously optimistic that foreign investors will return as net buyers, particularly as they look to diversify away from the overstretched US equity markets. On a weekly basis, the benchmark index eased 0.41 of-a-point to 1,533.35 on Friday from 1,533.76 a week earlier. The FBM Emas Index increased 18.51 points to 11,525.33, the FBMT 100 Index gained 15.91 points to 11,285.63, and the FBM Emas Shariah Index climbed 11.78 points to 11,540.76. The FBM 70 Index increased 106.305 points to 16,607.57 while the FBM ACE Index dropped 14.65 points to 4,624.37. By sector, the Financial Services Index put on 25.97 points to 17,480.2, the Energy Index went up 9.75 points to 749.60, while the Plantation Index decreased 63.82 points to 7,370.97. Weekly turnover expanded to 15.94 billion units worth RM11.88 billion from 11.92 billion units worth RM11.43 billion in the previous week. The Main Market volume swelled to 8.33 billion units valued at RM10.46 billion compared with 6.63 billion units valued at RM9.70 billion previously. Warrants turnover declined to 5.50 billion units worth RM859.03 million from 7.10 billion units worth RM1.15 billion in the preceding week. The ACE Market volume improved to 2.10 billion units valued at RM561.51 million versus 1.68 billion units valued at RM577.05 million a week ago.
Malaysia Sun
02-07-2025
- Business
- Malaysia Sun
Malaysia's manufacturing PMI rises to 49.3 in June
KUALA LUMPUR, July 1 (Xinhua) -- The seasonally adjusted S&P Global Malaysia Manufacturing Purchasing Managers' Index (PMI) posted 49.3 in June, up from 48.8 in May, showing a gradual move to stabilization. S&P Global Market Intelligence said in a note on Tuesday that coming in only marginally below the neutral 50 threshold, the index signaled that business conditions moved closer to stabilization over the course of the month. The index was also at the highest reading since February.
New Straits Times
01-07-2025
- Business
- New Straits Times
Modest recovery seen in manufacturing sector
KUALA LUMPUR: Business conditions in the Malaysian manufacturing sector moved closer to stabilisation at the end of the first half of 2025, according to S&P Global. Usamah Bhatti, an economist at S&P Global Market Intelligence, said June data indicated a gradual move to stabilisation in the health of the Malaysian manufacturing sector, although operating conditions remained challenging. Bhatti said firms recorded sustained, albeit softer, moderations in demand and production that were the mildest in four months. "Most encouragingly, firms raised their employment levels for the first time since last September. "That said, concerns were raised on the price front, with manufacturers recording the steepest increase in input prices for seven months. "In response, firms lifted their charges to the greatest extent in nearly a year in a bid to protect margins," he said in a note. According to the latest data released by S&P Global, the seasonally adjusted S&P Global Malaysia Manufacturing Purchasing Managers' Index (PMI) posted 49.3 in June, up from 48.8 in May. Coming in only marginally below the neutral 50.0 threshold, the index signalled that business conditions moved closer to stabilisation over the course of the month. In fact, the PMI was at its highest reading since February. The latest PMI reading suggests that the modest growth in official gross domestic product statistics in the first quarter of 2025 was sustained into the second quarter. The data also suggest that the expansion in manufacturing production continued throughout the second quarter. Overall, the report suggests that optimism regarding the 12-month outlook for output improved only slightly during June. It noted that the overall degree of optimism was modest but well below the series average. "Firms were confident that new product launches would help stimulate sales and production, though firms highlighted concerns regarding the health of the global economy," it added.
Malaysia Sun
03-06-2025
- Business
- Malaysia Sun
Malaysia's manufacturing PMI rises slightly to 48.8 in May
Xinhua 03 Jun 2025, 17:15 GMT+10 KUALA LUMPUR, June 3 (Xinhua) -- The seasonally adjusted S&P Global Malaysia Manufacturing Purchasing Managers' Index (PMI) rose slightly from 48.6 in April to 48.8 in May to signal a sustained, albeit softer moderation in operating conditions. S&P Global said in a statement on Tuesday that the health of the manufacturing sector has now softened in each of the last 12 months. "PMI data for May revealed that business conditions in the Malaysian manufacturing sector were muted as production levels were scaled back in the midst of subdued new orders," said Usamah Bhatti, Economist at S&P Global Market Intelligence. He noted that the rates of reduction in both measures eased to three-month lows and were only marginal overall. According to him, manufacturing firms also reported a gradual increase in cost burdens, with average input costs rising at the sharpest rate in six months. Citing survey evidence, he opined that the impact of unfavorable currency movements and the U.S. tariffs on raw material prices had pushed expenses higher, especially from abroad. "Sentiment stayed positive meanwhile, with firms expecting higher output in the coming year," he added.
Malaysia Sun
02-05-2025
- Business
- Malaysia Sun
Malaysia's manufacturing PMI slips in April
KUALA LUMPUR, May 2 (Xinhua) -- The seasonally adjusted S&P Global Malaysia Manufacturing Purchasing Managers' Index (PMI) fell slightly from 48.8 in March to 48.6 in April. S&P Global Market Intelligence said in a note on Friday that the PMI signaled a modest weakening in the health of the Malaysian manufacturing sector, which was nonetheless the most pronounced in 2025 so far. That said, given the historical relationship between the PMI and official data, the latest data suggest that gross domestic product (GDP) growth continued as the second quarter of the year got underway, while also pointing to sustained year-on-year improvements in official manufacturing production. "PMI data for the start of the second quarter of 2025 suggest that demand conditions in the Malaysian manufacturing sector remained subdued during April, as production and new order inflows continued to moderate. That said, the data are still consistent with the GDP growth observed in the final quarter of last year continuing," said S&P Global Market Intelligence economist Usamah Bhatti. According to him, further evidence indicates that conditions are likely to remain muted in the short- and medium-term. He noted that firms opted to work through existing orders in the absence of new order growth while also scaling back employment, purchases, and stock holdings. "Inflationary pressures trended downwards once again in April, with average cost burdens rising only mildly, which contributed to a further fractional reduction in charges. However, this was not enough to improve confidence regarding the outlook, as the overall degree of optimism slipped to its lowest level since July 2023," he says, adding that firms expressed concerns about the potential adverse impacts of a muted global economy and U.S. tariffs.
