Bursa Malaysia opened higher on March 17, tracking Wall Street gains and an oil price pullback that eased some geopolitical concerns from West Asia. The FTSE Bursa Malaysia KLCI (KLCI) rose 5.61 points or 0.33% to 1,702.17 in early trade from Monday’s close of 1,696.56. By 9.19 am, it climbed further to around 1,705.83 (up 0.55%). The index traded positively in early sessions amid selective buying. Trading volume started moderate, with gainers leading losers as sentiment improved slightly.
Movers and Shakers
Early buying focused on energy, tech, and insurance stocks. Top gainers included:
- Malaysian Pacific Industries (MPI): Up 52 sen to RM30.50 on semiconductor strength.
- Allianz: Rose 34 sen to RM21.50 in insurance resilience.
- ITMAX: Added 14 sen to RM4.58 on tech momentum.
On the downside, top losers were:
- Petronas Chemicals (PCHEM): Down 11 sen to RM4.47 amid commodity volatility.
- Nestle: Led consumer losers earlier in the day.
High-volume actives featured energy and cyclicals. Analysts see room for further consolidation, with the year-end target at 1,772-1,880 points on domestic reforms and earnings growth.
Policy Changes Impacting KLCI and Malaysia’s Market
No major new announcements today. The Madani government continues its “year of implementation” push. The New Incentive Framework (effective March 1) links manufacturing incentives to clear outcomes. The Capital Market Masterplan 2026–2030 targets RM6.3 trillion market size by 2030. Budget 2026 keeps expanding SST, e-invoicing, and carbon tax. GEAR-uP aims for RM120 billion investments by 2028 to support 4.3-4.5% GDP growth. OPR stays at 2.75%. Globally, US tariffs (19% on Malaysia) remain with exemptions protecting 60% of exports (semiconductors 40%) via the October 2025 deal.
Other News Potentially Impacting KLCI or Malaysia’s Market
The ringgit stayed stable near its 5-8 year high below RM4/USD. This helps inflows. Manufacturing PMI hit a 20-month high of 50.2 in January. Producer prices fell 2.7% in December 2025, showing contained inflation. Q4 2025 GDP grew fast on domestic demand. 2026 growth forecast holds at 4.3-4.5%. AI data centres strengthen Malaysia as a “China+1” hub. Renewables see more M&A. Industrial property leads the market. Sukuk issuance stays strong. Middle East tensions and oil volatility are watchpoints. Yet domestic reforms and potential oil reserve releases give buffers.
Overall, the KLCI shows early resilience today. Selective buying helps. Domestic strengths support stability amid external volatility.