KUALA LUMPUR, Bursa Malaysia pared losses at the close on Wednesday but overall market sentiment remained weak as most traders remained on the sidelines ahead of an expected US interest rate cut later tonight.
At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) eased 3.69 points, or 0.22 per cent, to 1,660.59 from Tuesday’s close of 1,664.28. The FBM KLCI opened 0.05 of-a-point higher at 1,664.33 and moved between 1,654.0 and 1,664.78 throughout the day.
Decliners outpaced gainers in the broader market 526 to 442 while 489 counters were unchanged, 1,048 untraded and nine suspended.
Turnover eased to 2.30 billion units worth RM2.75 billion from Tuesday’s 3.19 billion units worth RM3.35 billion.
UOB Kay Hian Wealth Advisors head of investment research Mohd Sedek Jantan said the US Federal Reserve’s (Fed) ‘decision day’ has weighed on the local bourse and regional markets, leading to a negative performance as investors adopted a cautious approach ahead of tonight’s announcement.
“While a rate cut is expected,
the Fed’s accompanying statement and ‘dot plot’ will be critical for traders and analysts in assessing the scale and pace of future cuts. The FBM KLCI’s movement from tomorrow onward will hinge on how investors interpret the Fed’s statement,’ he told Bernama.
Mohd Sedek expects the Fed to adopt a ‘cut-and-pause’ strategy rather than a series of cuts, which would help curb inflationary pressures and support the US dollar. “Although both approaches may offer short term relief, a cut-and-pause strategy provides a more stable environment by allowing time to assess the economic impact of each cut, thereby reducing the risk of market volatility,’ he said.
Regionally, Japan’s Nikkei 225 put on 0.49 per cent to 36,380.17, Hong Kong’s Hang Seng Index advanced 1.37 per cent 17,660.02 and Singapore’s Straits Times Index eased 0.10 per cent to 3,589.83.
Among Bursa Malaysia heavyweight counters, Maybank gained two sen to RM10.68, Public Bank added one sen to RM4.71 while IHH Healthcare rose six sen to RM7.11. Hong Leo
ng Bank was flat at RM21.20, Cimb shed three sen to RM8.33, TNB trimmed eight sen to RM14.74 and Petronas Chemicals discounted six sen to RM5.52.
Among the actives, MyEG advanced 2.5 sen to 95.5 sen, Cape EMS added 1.5 sen to 36.5 sen and 99 Speed Mart grew 1.0 sen to RM1.90. Alpha IVF was flat at 35.5 sen, Top Glove slid 7.0 sen to RM1.07 and Hartalega gave up three sen to RM3.11. Kossan slid 13 sen to RM2.12 and Careplus was 1.5 sen easier to 29 sen.
Source: BERNAMA News Agency
