Kuala Lumpur: Bursa Malaysia is expected to continue range-bound trading next week with a slight upward bias as the market approaches the Hari Raya holiday, according to an analyst.
According to BERNAMA News Agency, UOB Kay Hian Wealth Advisors Sdn Bhd’s head of investment research, Mohd Sedek Jantan, noted that the FTSE Bursa Malaysia KLCI (FBM KLCI) is currently trading between 1,510 and 1,515. Key levels to monitor include the resistance level at 1,550 and the support level at 1,500.
Mohd Sedek highlighted that despite a sharp correction in Malaysian equities due to various unrelated factors, external headwinds such as US import tariff risks, the Russia-Ukraine conflict, and concerns over China’s economic momentum are expected to gradually subside. This stabilization could help mitigate foreign equity outflows.
During the trading week that just ended, the FBM KLCI experienced cautious trading as significant investor caution and fund reallocations were observed across global markets. These shifts were influenced by trade tensions, central bank policies, and geopolitical events. On a Friday-to-Friday basis, the key index fell 6.70 points to 1,505.45 compared to 1,512.15 a week earlier.
Other indices showed varied performances. The FBM Emas Index added 5.65 points to 11,305.79, while the FBMT 100 Index dropped by 8.45 points to 11,061.38. The FBM Emas Shariah Index saw an increase of 37.59 points to 11,027.17, the FBM 70 Index surged 149.60 points to 16,288.07, and the FBM ACE Index rose by 146.96 points to 4,824.64.
Sector-wise, the Industrial Products and Services Index slightly decreased by 0.30 of-a-point to 153.43, the Financial Services Index declined by 82.99 points to 18,439.83, while the Plantation Index and the Energy Index saw increases of 80.18 points to 7,449.93 and 33.07 points to 751.80 respectively.
Turnover for the week was slightly higher at 16.55 billion units valued at RM12.15 billion, compared to 16.40 billion units valued at RM14.47 billion the previous week. The Main Market volume fell to 6.12 billion units from RM10.95 billion, down from 8.96 billion units worth RM13.18 billion previously.
Turnover of warrants eased to 4.97 billion units valued at RM671.69 million, compared to 5.45 billion units valued at RM622.41 million in the prior week. The ACE Market volume decreased to 1.45 billion units worth RM524.70 million from 1.97 billion units worth RM667.75 million previously.
Bursa Malaysia and its subsidiaries were closed on Tuesday in observance of the Nuzul Al-Quran public holiday.