Bursa Malaysia opens lower as US inflation stokes fears of tighter monetary policy
KUALA LUMPUR, Oct 15 — Bursa Malaysia opened lower on Thursday, tracking losses on Wall Street, as hotter-than-expected US inflation and renewed expectations of further Federal Reserve (Fed) monetary tightening weighed on investor sentiment and threatened to dampen regional risk appetite.
At 9.15 am, the FTSE Bursa Malaysia KLCI (FBM KLCI) decreased 10.22 points, or 0.63 per cent, to 1,617.50 from yesterday’s close of 1,627.72. The index opened 2.62 points lower at 1,625.10.
Across the broader market, decliners outnumbered advancers 449 to 86, while 276 counters were unchanged, 2,032 were untraded and nine were suspended.
Turnover stood at 315.47 million units worth RM178.50 million.
Apex Securities Bhd said improved market breadth and bargain-hunting in large-cap stocks on Wednesday pointed to stabilising domestic sentiment, although gains remained constrained by expectations of interest rates staying higher for longer, persistent foreign selling and geopolitical risks in West Asia.
“Overall, we expect the KLCI to remain range-bound, with investors likely to favour selective domestic and defensive exposures,” the brokerage said.
On sector performance, Apex Securities said transportation and logistics stocks could trade mixed, with stronger domestic activity providing support while elevated oil prices raised concerns over fuel costs.
Among heavyweight stocks, RHB Bank fell two sen to RM7.31, while Kuala Lumpur Kepong declined 26 sen to RM21.04. Nestle lost 12 sen to RM90.00, Hong Leong Bank shed 20 sen to RM21.20 and IOI Corporation fell seven sen to RM4.57.
In active trade, Top Glove slipped one sen to 90 sen, while Dagang NeXchange fell two sen to 45 sen. Ecosys declined four sen to 76 sen, VS Industry shed half a sen to 33.5 sen and NationGate Holdings fell eight sen to RM1.99.
Among the top gainers, Fraser & Neave rose six sen to RM20.00, while Suria Capital and Allianz Malaysia each gained four sen to RM1.16 and RM20.12, respectively. Bank Islam Malaysia and Pecca Group each added two sen to RM2.02 and RM5.99, respectively.
Among the top losers, Malaysian Pacific Industries fell RM1.48 to RM40.52, while UMS Integration declined 78 sen to RM7.55. Vitrox lost 50 sen to RM10.14, UWC fell 47 sen to RM7.26 and MI Technovation shed 43 sen to RM6.27.
On the index board, the FBM Emas Index fell 99.63 points to 12,042.97, while the FBM Top 100 Index declined 96.47 points to 11,837.56. The FBM Mid 70 Index lost 231.27 points to 17,213.10, the FBM Emas Shariah Index fell 126.05 points to 11,979.30 and the FBM ACE Index shed 110.23 points to 5,445.02.
Sector-wise, the Financial Services Index fell 56.84 points to 18,767.59, the Industrial Products and Services Index declined 2.52 points to 178.09, the Plantation Index shed 65.23 points to 8,831.73 and the Energy Index slipped 4.49 points to 823.56.
