Kuala Lumpur:Bursa Malaysia closed lower as heightened oil prices and escalating geopolitical tensions in West Asia exerted selling pressure on the market ahead of the Budget 2027 announcement.
According to BERNAMA News Agency, the FTSE Bursa Malaysia KLCI (FBM KLCI) fell by 10.77 points, closing at 1,601.01 compared to the previous close of 1,611.78. The index opened 1.67 points higher at 1,613.45, reaching its highest during this session, and dropped to a low of 1,597.94 by mid-morning.
The market saw 813 decliners against 378 gainers, with 482 counters unchanged, 2,828 untraded, and 13 suspended. Turnover reduced to 3.51 billion units worth RM3.46 billion from 3.83 billion units worth RM3.52 billion the day before.
Mohd Sedek Jantan, director of investment strategy and country economist at IPPFA Sdn Bhd, indicated that Brent crude oil prices surged over three percent, fueled by concerns of a potential escalation in the US-Iran conflict. This scenario, combined with foreign investors being net sellers for ten consecutive trading days, has created significant near-term challenges for Malaysian equities, despite anticipation surrounding Budget 2027.
He further noted that oil price fluctuations, foreign investment trends, and developments in US-Iran tensions are expected to continue influencing market volatility, overshadowing domestic factors as Budget 2027 approaches.
Among major stocks, Tenaga Nasional rose by four sen to RM12.90, while Maybank and CIMB decreased by seven sen each to RM9.80 and RM7.26, respectively. Public Bank dropped by four sen to RM4.55, and IHH Healthcare fell by two sen to RM7.88.
In active trading, Top Glove increased by two sen to 87.5 sen, V.S Industry rose by half a sen to 33 sen, JAKS Resources gained one sen to 18.5 sen, and Zetrix AI fell by half a sen to 7.5 sen, while PUC remained unchanged at four sen.
The top gainers included Petronas Gas, which climbed 54 sen to RM17.80, Nestle increased by 42 sen to RM89.44, and Hengyuan Refining Company rose by 26 sen to RM3.77. Chin Teck Plantations and Gas Malaysia also saw gains.
Malaysian Pacific Industries led the decliners, dropping RM1.70 to RM43.50. Other notable losers included Dutch Lady Milk Industries, United Plantations, Kuala Lumpur Kepong, and UMS Integration.
Indexes showed mixed results, with the FBM Mid 70 Index and various other indices experiencing declines, while the Energy Index saw a slight increase of 0.37 points to 839.34.
Sector-wise, the Industrial Products and Services Index decreased by 1.05 points to 178.83, and the Financial Services and Plantation indexes also recorded declines. Meanwhile, warrants turnover and ACE Market volume saw increases compared to the previous day.