RISING MARKET PARTICIPATION LIKELY TO PUSH BURSA MALAYSIA UPWARDS NEXT WEEK

By Anas Abu Hassan

KUALA LUMPUR, Jan 3 (Bernama) -- Bursa Malaysia is expected to see an uptrend next week as market participation and liquidity are likely to rise after being subdued amid holiday-shortened trading, said an economist.

IPPFA Sdn Bhd director of investment strategy and country economist Mohd Sedek Jantan said that as market players return from the year-end break, participation and liquidity are expected to rise meaningfully, allowing price discovery to better reflect improving macro signals.

“As liquidity normalises next week, this should translate into firmer risk appetite and a more supportive trading environment for Bursa Malaysia at the start of 2026,” he told Bernama.

Mohd Sedek also expects a more constructive tone to emerge as investors re-engage the market and digest the encouraging Malaysian purchasing managers' index (PMI) releases, which signal that the country's manufacturing is now back in expansionary territory.

To recap, Bursa Malaysia ended the holiday-shortened trading week marginally lower amid a lack of fresh catalysts and subdued demand due to the year-end break. 

Nevertheless, the FTSE Bursa Malaysia KLCI (FBM KLCI) registered a new 2025's high at 1,684.53 on Tuesday, supported by persistent buying from local institutions.

Meanwhile, Rakuten Trade Sdn Bhd vice-president of equity research Thong Pak Leng anticipated the FBM KLCI to trend within 1,650-1,680 next week amid constructive mode.

On a Friday-to-Friday basis, the FBM KLCI erased 7.34 points to 1,669.76 from last week's 1,677.10.

On the index board, the FBM Emas Index shed 31.70 points to 12,256.44, the FBMT 100 Index erased 32.01 points to 12,058.66 and the FBM Emas Shariah Index declined 39.11 points to 12,066.50.

The FBM 70 Index garnered 49.90 points to 16,852.47 and the FBM ACE Index added 63.48 points to 4,923.27. 

By sector, the Financial Services Index slipped 38.39 points to 19,589.99, the Plantation Index shed 28.43 points to 8,271.09 and the Industrial Products and Services Index edged down 1.87 points to 172.16, while the Energy Index gained one point to 766.77.

Weekly turnover declined to 7.88 billion units worth RM7.42 billion from 7.96 billion units worth RM6.79 billion a week earlier.

The Main Market volume decreased to 4.58 billion units worth RM6.75 billion versus 4.64 billion units worth RM6.16 billion previously.

Warrants turnover dwindled to 2.16 billion units valued at 229.36 million against 2.30 billion units valued at RM236.07 million a week ago.

The ACE Market volume widened to 1.13 billion units valued at RM444.17 million from to 1.01 billion units valued at RM385.43 million last week.

-- BERNAMA