Kuala lumpur: Bargain hunting propelled Bursa Malaysia to close the week on a positive note, driven by the United States' decision to reduce tariffs on Malaysian products and optimism surrounding the announcement of the 13th Malaysia Plan (13MP).
According to BERNAMA News Agency, the White House announced a 19 percent tariff on Malaysian exports, down from the 25 percent announced on July 7. This development, coupled with the positive sentiment from the 13MP, boosted investor confidence.
By 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) surged 20.10 points or 1.33 percent, closing at 1,533.35 compared to Thursday's 1,513.25. The index, which began 6.62 points higher at 1,519.87, experienced fluctuations, hitting a low of 1,519.17 in early trade and reaching a high of 1,534.48 in the afternoon.
The broader market reflected a positive trend, with 570 gainers outpacing 452 losers. Meanwhile, 521 counters remained unchanged, 947 were untraded, and 11 were suspended. The turnover eased to 3.16 billion units worth RM2.23 billion, compared to the previous day's 3.77 billion units valued at RM3.10 billion.
UOB Kay Hian Wealth Advisors Sdn Bhd's head of investment research, Mohd Sedek Jantan, noted that the FBM KLCI's rise was supported by renewed investor confidence following the US tariff announcement. The decision aligns Malaysia with regional peers like Indonesia and Thailand, though it remains higher than Japan.
Rakuten Trade Sdn Bhd equity research vice-president, Thong Pak Leng, remarked that investors are cautiously awaiting US jobs data, which could influence the US Federal Reserve's interest rate decision next month. Additionally, lower-than-expected economic data from China affected sentiment, as factory activity contracted unexpectedly in July.
Among the heavyweights, Maybank increased by 21 sen to RM9.60, Public Bank rose eight sen to RM4.29, Tenaga Nasional soared 28 sen to RM13.30, CIMB climbed 24 sen to RM6.79, and IHH Healthcare gained three sen to RM6.68.
In terms of active counters, Pegasus Heights and TWL remained unchanged, Pharmaniaga eased half-a-sen, Tanco inched up half-a-sen, and Ekovest added two sen. Top gainers included UMS Integration, Ajinomoto, Gamuda, and Allianz Malaysia. In contrast, Nestle, Kuala Lumpur Kepong, and Mesiniaga were among the top losers.