KUALA LUMPUR: Bursa Malaysia is expected to trend higher prompted by the ringgit’s strength and upswing in global crude oil prices, an economist said.
Affin Hwang Investment Bank vice-president and Retail Research head Datuk Dr Nazri Khan Adam Khan said the local stock market received a boost in the recent week after Brent crude exceeded US$50 per barrel for the first time this year and the momentum was expected to continue.
He said the improvement also helped the ringgit recover lost ground to RM4.07 per US dollar from as low as RM4.13 on Tuesday.
Nazri Khan said other developments that influenced the local stock market was the impending outcome from the seven major advanced economies (G7) meeting in Japan.
“There is expectation that the meeting will come out with a stimulus to support global economy,” he told Bernama.
For the week just-ended, the benchmark FTSE Bursa Malaysia KLCI (FBM KLCI) gained 8.4 points to 1,637.19, spurred by the appreciating ringgit and recovering oil prices.
On a week-to-week basis, the FBM Emas Index added 38.08 points to 11,447.8, the FBMT100 Index rose 42.32 points to 11,141.71 and the FBM Emas Shariah Index was 30.35 points higher at 11,960.37.
On a sectorial basis, the Finance Index edged up 2.2 points to 14,250.52, the Plantation Index improved 29.91 points to 7,492.56 and the Industrial Index perked 42.91 points to 3,111.28.
Weekly turnover increased to 8.51 billion units, valued at RM8.39 billion, from the previous week’s 8.41 billion units valued at RM8.85 billion.
Main market volume rose to 5.61 billion units, valued at RM7.89 billion, versus 5.34 billion units, valued at RM8.23 billion, recorded last week.
Warrant turnover improved to 654.72 million units, worth, RM107.95 million against 628.75 million units, valued at RM94.24 million, reported previously.
The ACE market slid to 2.23 billion shares, valued at RM383.86 million, from 2.42 billion shares, valued at RM530.19 million, traded last week. — Bernama