Kuala lumpur: Bursa Malaysia ended lower on Tuesday, with the key index slipping 0.45 per cent amid a lack of catalysts and mild profit-taking following recent gains, in contrast with regional markets. At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) declined 7.97 points to 1,672.35 from Monday's close of 1,680.32.
According to BERNAMA News Agency, the benchmark index started the day 1.91 points lower at 1,678.41 and moved between 1,667.82 and 1,679.26 throughout the day. On the broader market, gainers beat losers by 624 to 506, while some 531 counters were unchanged, 988 untraded, and 11 suspended. Turnover improved to 2.66 billion units worth RM2.76 billion against Monday's 2.53 billion units worth RM2.40 billion.
SPI Asset Management managing partner Stephen Innes said that while regional markets were benefiting from a broad risk-on tone, local participation remained thin, with muted retail activity and continued foreign selling weighing on index heavyweights. He added that the forward outlook for oil prices was also offering limited support, as additional supply from Venezuela is expected to cap upside for oil-linked stocks.
Innes stated that the market is lacking fresh local catalysts, and mild profit-taking after recent gains has left Bursa Malaysia temporarily out of sync with stronger regional peers, rather than reacting to any acute geopolitical shock. He noted that regional markets were largely ignoring geopolitical noise surrounding US-Venezuela tensions and instead focusing on the positive tail risk that lower oil prices could deliver further down the road. Lower energy costs help cool inflation breakevens and keep the door open for additional US Federal Reserve rate cuts, which are supportive of local risk assets.
He further explained that at the regional level, lower oil prices act as a differentiator-net importers benefit more than exporters, so Malaysia does not capture the same upside as some of its importing neighbours. This effect is likely temporary. Global markets may remain sidelined until the nonfarm payrolls report on Friday.
Index-linked financial stocks saw varied movements with Maybank jumping 14 sen to RM10.70, Hong Leong Bank gaining two sen to RM22.74, and RHB Bank advancing eight sen to RM7.81. Conversely, CIMB dipped 25 sen to RM7.99, and Public Bank slid four sen to RM4.52. Other heavyweight counters showed mixed results, with CelcomDigi surging 17 sen to RM3.44 and TNB falling 16 sen to RM13.58.
On the most active list, MMAG increased by one sen to 7.5 sen, Tanco rose one sen to RM1.19, and Insights Analytics soared 24 sen to RM1.70. Among the top gainers, Nestle climbed RM4.60 to RM120.30, while among the top decliners, BLD Plantation lost RM1.26 to RM14.62.
Sector-wise, the Financial Services Index sank 58.41 points to 19,770.62, the Energy Index edged down 1.73 points to 767.28, and the Plantation Index slumped 12.70 points to 8,291.11. Meanwhile, the Main Market volume improved to 1.44 billion units worth RM2.42 billion compared to Monday. The ACE Market volume also expanded, with consumer products and services counters accounting for a significant number of shares traded on the Main Market.