Kuala Lumpur: Bursa Malaysia is projected to remain in a consolidation phase next week, with analysts pointing to uncertainties surrounding US trade policy as a key factor. Amid these ongoing uncertainties, Rakuten Trade Sdn Bhd equity research vice-president Thong Pak Leng anticipates the main index will trend within the 1,580-1,600 range, marking the support and resistance levels.
According to BERNAMA News Agency, Thong noted, “We believe cautious sentiment surrounding the US tariff war and its potential impact on the market will persist.” Meanwhile, UOB Kay Hian Wealth Advisors Sdn Bhd head of investment research Mohd Sedek Jantan indicated that trade pressures are expected to peak in the second quarter of the year. He added that concerns about inflation could dampen investor sentiment, potentially delaying a stronger market rebound in the second half of the year.
As global investors navigate these uncertainties, Malaysian markets may continue to experience volatility, with sentiment closely tied to external developments. On the home front, the market is set to closely monitor Malaysia’s consumer price index (CPI) to be released next week. This is alongside earnings announcements by major companies such as Hartalega, Kossan Rubber Industries, Genting Malaysia, and Sunway Construction.
In the United States, President Donald Trump has directed the US Trade Representative and Commerce secretary to investigate proposed reciprocal tariffs, with implementation likely in April. The announcement of these reciprocal tariffs has provided some relief as markets had feared more immediate action, helping Bursa Malaysia to conclude the week on a slightly bearish note.
For the trading week, the FTSE Bursa Malaysia KLCI (FBM KLCI) showed a modest gain of 0.69 of-a-point to 1,591.60 compared to 1,590.91 a week earlier. However, the FBM Emas Index slid 42.92 points to 12,106.61, the FBMT 100 Index shed 26.11 points to 11,813.95, and the FBM Emas Shariah Index tumbled 138.13 points to 11,847.51. Other indices such as the FBM ACE Index and the FBM 70 Index also experienced declines.
Sector-wise, the Financial Services Index climbed 109.20 points to 19,342.64, and the Plantation Index rose slightly. In contrast, the Industrial Products and Services Index, Energy Index, Healthcare Index, and Technology Index all saw decreases.
Turnover for the week declined to 11.99 billion units valued at RM9.14 billion from the previous week’s 13.05 billion units valued at RM10.46 billion. The Main Market volume dropped, while the ACE Market volume also decreased, reflecting the cautious market sentiment amid global trade tensions.