KUALA LUMPUR: Bursa Malaysia closed higher on Tuesday, as healthcare stocks rallied and investors bet on a 50 basis point cut by the US Federal Reserve.
At 5pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) rose 12.13 points, or 0.73 per cent, to 1,664.28 from last Friday's close of 1,652.15.
The FBM KLCI opened 2.16 points higher at 1,654.31 and hovered between 1,651.55 and 1,664.99 throughout the day.
On the broader market, buying activities in glove counters following US' move to increase tariffs on Chinese surgical gloves, helped the healthcare index jump 10.23 per cent.
Gainers led losers 658 to 433, while 455 counters unchanged, 959 untraded and seven suspended.
Rakuten Trade equity research vice president Thong Pak Leng said the FBM KLCI continued its bargain hunting activities following the broadly positive cue from global equities.
He said key regional indices, notably in emerging markets, saw an upward trend as traders anticipate the US Federal Reserve will implement a 25-50 basis points rate cut this week.
The US dollars, Thong said, hovered near its lowest point since January as traders anticipated a significant interest-rate cut.
"Despite increased volatility, our outlook for the local market remains cautiously optimistic, driven by favorable valuations, strong corporate earnings, and better economic conditions."
"As a result, blue-chip buying momentum is expected to carry through the week."
We anticipate the FBM KCI to trend within the range of 1,650 to 1,670 for the week with immediate resistance at 1,670 and support at 1,630," he added.