KUCHING: Malaysia’s automotive industry is off on a positive start this year, led by strong numbers recorded by national carmakers. Analysts expect the industry to continue this strong momentum, underpinned by healthy demand and favourable foreign exchange (forex). According to the research arm of Affin Hwang Investment Bank Bhd (AffinHwang Capital), the automotive industry’s January […]
KUCHING: Analysts across the board gave two thumbs up for Serba Dinamik Holdings Bhd (Serba Dinamik) catching its first batch of contract wins in 2019 totalling US$110 million (RM448 million). The announced values consist only of the international contracts – United Arab Emiraes, Uzbekistan and Qatar – as the Malaysian contracts are all call-out in […]
KUCHING: Malaysia’s banking sector ended 2018 with a slight uptick in its figures, recording 5.6 per cent year on year (y-o-y) growth while expanding by 0.6 per cent month on month (m-o-m). The annual growth was underpinned by sectors such as manufacturing, retail, business services, construction and households – specifically residential properties, personal use […]
KUALA LUMPUR: Trading on Bursa Malaysia is expected to be reinvigorated next week with the market moving in a tight range as most investors flock back from the Chinese New Year celebration, analysts said.
Bank Islam chief economist Dr Mohd Afzanizam Abdul Rashid said the benchmark FTSE Bursa Malaysia KLCI (FBM KLCI) had been struggling to pierce its immediate resistance of 1,700 points over the last few weeks.
“External developments continue to take centre stage. Issues surrounding the trade negotiations between the US and China has always been the source of market instability,“ he told Bernama.
If latest news are any indication, the resolution of trade negotiations will still be a long way to go before the US struck a trade deal with China, according to the National Economic Council Director Larry Kudlow.
Additionally, Mohd Afzanizam said the meeting between US President Donald Trump and Chinese President Xi Jinping might not happen before the March 1 trade deadline.
Despite this, Mohd Afzanizam said foreign investors turned net buyers on Feb 4 and 7 snapping up RM138.6 million worth of stocks while the ringgit appreciated to 4.067 against the US dollar at the time of writing.
“Against such backdrop, we could expect the FBM KLCI to continue remaining in a tight range next week,“ said Mohd Afzanizam.
Additionally, Malaysia’s 2018 fourth-quarter (Q4 2018) gross domestic product numbers would be announced on February 14.
“Perhaps, investors would also want to assess the resilience of the Malaysian economy.
“This is especially true in the context of weak business and consumer sentiment as indicated by the Malaysian Institute of Economic Research’s survey recently,“ the chief economist said.
The Business Condition Index and Consumer Sentiment Index fell to 95.3 points and 96.8 points in Q4 2018 from 108.8 points and 107.5 points in the previous quarter, respectively.
Affin Hwang Capital Asset Management managing director Teng Chee Wai remained optimistic on the US-China trade negotiations as the backdrop of the global economy was actually very strong, while the vision of a downtrend in local corporate earnings is still an ongoing process.
“Putting the two together, this year will probably be a better year than last year from the equity market standpoint,” said Teng.
On a Friday-to-Thursday basis, the benchmark FBM KLCI settled 2.99 points higher at 1,686.52.
The market was closed on Tuesday and Wednesday for the Chinese New Year.
The FBM Emas Index was 64.9 points higher at 11,725.52, the FBMT 100 Index increased 56.33 points to 11,601.54 and the FBM Emas Syariah Index improved 40.42 points to 11,593.03.
The FBM 70 gained 215.69 points to 14,032.9 and the FBM Ace Index added 153.12 points to 4,555.22.
Sector-wise, the Financial Services Index rose 127.14 points to 17,642.11, the Plantation Index increased 19.36 points to 7,299.6, and the Industrial Products and Services Index inched up 0.86 of-a-point to 161.97.
On a Friday-to-Thursday basis, weekly turnover dwindled to 4.94 billion units worth RM3.8 billion against 8.77 billion units worth RM8.13 billion.
Main Market volume shrank to 3.77 billion units valued at RM3.57 billion versus 6.32 billion units valued at RM7.66 billion.
Warrants turnover declined to 690.66 million units worth RM149.03 million from 1.38 billion units worth RM301.90 million.
The ACE Market volume decreased to 483.1 million shares valued at RM83.25 million against 1.05 billion shares valued at RM152.46 million. — Bernama
KUCHING: The US Federal Reserve (US Fed) decided to keep its federal funds rate (FFR) unchanged between 2.25 to 2.50 per cent in the latest January meeting, leading analysts in Malaysia to predict for Bank Negara Malaysia (BNM) to maintain its accommodative monetary stance. Affin Hwang Investment Bank Bhd (AffinHwang Capital) saw that US’ job […]
KUCHING: While Bank Negara Malaysia (BNM) has retained the overnight policy rate (OPR) at 3.25 per cent, analysts believe there is still room for a potential cut in OPR. This comes following the monetary policy committee (MPC) meeting, BNM announced that it has maintained the OPR rate at 3.25 per cent given the domestic financial […]
KUALA LUMPUR: Affin Hwang Investment Bank Bhd (Affin Hwang) is eyeing to achieve RM50 million in securities lending book size this year following the official launch of the Retail Securities Borrowing and Lending (Retail SBL) programme. Affin Hwang, in collaboration with Bursa Malaysia Bhd (Bursa Malaysia), launched its Securities Borrowing and Lending (SBL) for retail […]
KUALA LUMPUR: Affin Hwang Investment Bank Bhd, which has launched its Securities Borrowing and Lending (SBL) for retail investors today, is targeting to achieve RM50 million in its securities lending book size in 2019.
The retail SBL, launched in collaboration with Bursa Malaysia Bhd, enables the retail investors to diversify their investment, thus potentially earning returns on their idle assets.
At the launch ceremony today, Affin Hwang Capital group managing director Datuk Maimoonah Hussain said the bank had initially rolled out the retail SBL through three branches to its commissioned and salaried dealer representatives.
In less than two months, she said the bank has loaned out RM8.5 million of retail clients’ shares in spite of the relatively slow market performance in the final quarter of 2018.
In his opening speech, Bursa Malaysia CEO Datuk Seri Tajuddin Atan said as at December 2018, there were 1.87 million retail accounts in the marketplace holding a portfolio worth RM137.3 billion.
Currently, Tajuddin said the main participants in SBL activities are institutional participants, including the sovereign funds, government-linked companies, fund management companies and insurance companies.
KUCHING: Philip Morris International’s (PMI) launching of its flagship heat-not-burn (HNB) device, the iQoS, in Malaysia may deflate the margins of British American Tobacco Bhd (BAT). In a company update report, the research arm of Affin Hwang Investment Bank Bhd (Affin Hwang Capital) said that it believed PMI could potentially be a significant competition to […]