Kuala lumpur: The FTSE Bursa Malaysia KLCI (FBM KLCI) managed to pare earlier losses to close nearly unchanged on Wednesday, with a decline of just 0.06 per cent, following Bank Negara’s decision to cut the benchmark interest rate.
According to BERNAMA News Agency, the Malaysian central bank’s monetary policy committee has reduced the overnight policy rate (OPR) by 25 basis points to 2.75 per cent. At 5 pm, the FBM KLCI eased 0.90 points to 1,529.24 from Tuesday’s close of 1,530.14. The index had opened the day slightly lower at 1,529.0 and experienced fluctuations, reaching a high of 1,532.62 before slipping to 1,523.21 in the mid-afternoon.
The market breadth was positive, with 559 gainers surpassing 371 decliners. A total of 525 counters remained unchanged, while 952 were untraded and nine were suspended. Turnover narrowed to 2.95 billion shares worth RM1.99 billion, compared with 3.06 billion shares worth RM2.20 billion on the previous day.
UOB Kay Hian Wealth Advisors Sdn Bhd’s head of investment research, Mohd Sedek Jantan, commented that the reduction in the OPR, earlier than anticipated, seemed to be a pre-emptive measure in response to deteriorating global demand indicators and softening domestic growth momentum. The financial sector, in particular, continued to underperform, with banking counters posting losses for a third consecutive session, dragging the Bursa Malaysia Financial Services Index lower.
Rakuten Trade Sdn Bhd equity research vice-president Thong Pak Leng observed that regional indices had mixed results, with ongoing doubts about the scope of US President Donald Trump’s trade tariff measures. He anticipated that the FBM KLCI would trade within a 1,520-1,540 range for the rest of the week, with 1,520 serving as crucial support and 1,540-1,550 representing the next upside target if sentiment improves.
Among heavyweight counters, Public Bank fell eight sen to RM4.26, CIMB dropped four sen to RM6.57, and AMMB shed seven sen to RM5.09. Maybank was flat at RM9.70, and IHH Healthcare slipped three sen to RM6.67, while Tenaga Nasional gained 14 sen to RM14.
In active trade, ACE Market debutant PMCK and NexG added one sen each to 23 sen and 44.5 sen, respectively. Tanco remained unchanged at 89 sen, Malaysian Resources jumped 5.5 sen to 56 sen, and Zetrix AI dropped 1.5 sen to 95.5 sen.
On the index board, the FBM Emas Index gained 16.08 points to 11,484.22, the FBMT 100 Index expanded 11.63 points to 11,249.54, and the FBM Emas Shariah Index added 54.45 points to 11,486.89. The FBM 70 Index increased 97.04 points to 16,634.94, while the FBM ACE Index improved 24.29 points to 4,496.63.
By sector, the Financial Services Index sank 104.43 points to 17,505.49, the Industrial Products and Services Index eased 0.53 of a point to 153.22, while the Plantation Index grew 50.16 points to 7,479.08. The Energy Index ticked up 3.36 points to 736.90.
The Main Market volume reduced to 1.31 billion units worth RM1.74 billion from 1.51 billion units valued at RM1.98 billion on Tuesday. Warrant turnover dropped to 1.25 billion units valued at RM134.91 million from 1.35 billion units worth RM154.21 million previously. The ACE Market volume advanced to 382.69 million units valued at RM116.98 million versus 194.48 million units worth RM67.28 million yesterday.
Consumer products and services counters accounted for 174.26 million shares traded on the Main Market; industrial products and services (158.82 million), construction (86.40 million), technology (191.23 million), SPAC (nil), financial services (65.87 million), property (223.92 million), plantation (16.24 million), REITs (17.41 million), closed-end fund (nil), energy (64.34 million), healthcare (221.76 million), telecommunications and media (31.69 million), transportation and logistics (14.67 million), utilities (48.01 million), and business trusts (171,300).