Kuala Lumpur: Bursa Malaysia is expected to see cautious trading next week, with the FTSE Bursa Malaysia KLCI (FBM KLCI) set to fluctuate between 1,580 and 1,600 points, said an analyst.
According to BERNAMA News Agency, Rakuten Trade Sdn Bhd equity research vice-president Thong Pak Leng mentioned that market players will likely focus their attention on construction, utilities, and technology due to recent developments in these sectors.
Thong Pak Leng stated that the equity market’s outlook remains uncertain following the ongoing United States (US)-China trade war. He advised traders to adopt a wait-and-see approach before making any significant moves.
SPI Asset Management managing partner Stephen Innes noted that Bursa Malaysia entered the weekend with optimism, driven by ‘trade war lite’ expectations and a broader positive trend in Asian sentiment, partly fueled by the artificial intelligence (AI)-powered tech frenzy initiated by DeepSeek. However, he emphasized that the risks are heavily influenced by US trade policy, with US President Donald Trump’s actions on China being a critical factor.
Innes highlighted that April 1 remains a pivotal date, as Trump has instructed his trade advisors to prepare a tariff rollout blueprint by then. Until this date, the market appears to be pricing in some de-escalation, anticipating a potential compromise instead of a full-blown trade war.
He remarked that if this mindset persists, a major sell-off in local shares is unlikely. However, the possibility of further tariffs lingers, and this uncertainty means investors will likely maintain a cautious approach. Innes observed support around 1,580 and resistance near 1,610, while acknowledging that any shift in Trump’s trade stance could impact the market significantly.
During the past trading week, the FBM KLCI trended mostly higher due to bargain hunting in sectors such as construction, utilities, and financial services, supported by initiatives like the Johor-Singapore Special Economic Zone and data center developments in Malaysia. On the international front, market players remained cautious about Trump’s tariff policy. Recently, a 25 percent tariff on imports from Mexico and Canada was announced but temporarily paused after negotiations. Additionally, a 10 percent tariff on Chinese imports was imposed as part of ongoing trade measures.
On a week-to-week basis, the FBM KLCI strengthened by 33.99 points to 1,590.91 from 1,556.92 a week earlier. The FBM Emas Index gained 265.82 points to 12,149.53, and the FBMT 100 Index rose by 264.16 points to 11,840.06. The FBM Emas Shariah Index increased by 248.50 points to 11,985.64, while the FBM ACE Index rose 65.28 points to 5,260.35, and the FBM 70 Index surged 446.51 points to 18,033.53.
Sector-wise, the Financial Services Index climbed 379.08 points to 19,233.44, the Plantation Index went up by 108.30 points to 7,453.90, and the Industrial Products and Services Index improved by 1.14 points to 166.51. The Energy Index edged up 3.12 points to 826.44, the Healthcare Index advanced 73.41 points to 2,235.62, and the Technology Index added 2.50 points to 60.67.
Turnover increased significantly to 13.05 billion units valued at RM10.46 billion from 6.42 billion units worth RM6.30 billion in the preceding week. The Main Market volume expanded to 6.27 billion units worth RM9.04 billion, compared to 3.34 billion units valued at RM5.67 billion previously. Warrants turnover rose to 4.25 billion units valued at RM452.29 million, versus 2.0 billion units worth RM177.39 million last week. The ACE Market volume widened to 2.52 billion units worth RM968.79 million from 1.07 billion units valued at RM454.31 million previously.