corporate

Bursa Malaysia dips amid weak regional markets

KUALA LUMPUR: Bursa Malaysia ended lower on Wednesday, mirroring the weak performance of regional markets.

At 5pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) dipped by 0.06 per cent, down 1.01 points to 1,641.53, from Tuesday's close of 1,642.54.

However, the broader market was positive, with 563 gainers outpacing 456 losers, while 556 counters remained unchanged.  

Malacca Securities Sdn Bhd noted that the FBM KLCI closed lower due to a decline in select plantation heavyweights, particularly SD Guthrie Bhd and IOI Corporation Bhd.  

The firm said sentiment was affected by the rising minimum wage and multi-tier foreign worker levy system, which may put pressure on the sector's margins.

SPI Asset Management managing director Stephen Innes told Business Times that the US dollar continues to weigh heavily on Asian markets.

"Risk appetite remains muted as traders come to terms with the likelihood that the Federal Reserve may not be as quick to lower rates as previously anticipated.

"The resilience of the US economy, combined with growing concerns over ballooning fiscal deficits in the post-election landscape, has led investors to dial back expectations for aggressive policy easing, sending a chill through the region," he said.

The ringgit closed lower against the greenback at 4.3470.

Most Popular
Related Article
Says Stories