KUALA LUMPUR: Bursa Malaysia closed mixed, with the key index closing lower but managing to stay above the 1,600 level, as profit-taking in heavyweights continued.
At 5.00 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) dropped by 3.53 points or 0.22 per cent, settling at 1,601.22, compared to Wednesday's closing figure of 1,604.75.
Despite this, the broader market maintained a positive outlook, with 601 gainers outnumbering 458 losers, while 532 counters remained unchanged.
SPI Asset Management managing director Stephen Innes said that external factors are significantly impacting local sentiment.
"With next week's crucial US inflation data on the horizon, we are observing a slowdown in stock market momentum and a rise in US Treasury yields. This combination is dampening investors' appetite for riskier assets, such as local stocks. "Whether this represents a temporary pause or if we are poised for further profit-taking amidst higher US yields will largely hinge on the outcome of next week's US inflation data," he told Business Times.
Innes noted that if the data exceeds expectations, it may drive up US yields, consequently reducing the attractiveness of local risk markets.