Bursa Malaysia ended broadly higher on April 8. Positive sentiment surged after news of a US-Iran ceasefire lifted global markets. The FTSE Bursa Malaysia KLCI (KLCI) jumped 1.16% and closed near the 1,700 mark. It gained around 19-20 points from the previous close. The index opened higher and maintained gains throughout the session amid improved risk appetite. Trading volume was solid, with gainers outpacing decliners. This marks a strong rebound from recent volatility.
Movers and Shakers
The rally was broad-based. Energy, banking, and tech stocks led the charge. Top gainers included:
- Petronas Chemicals (PCHEM) and other energy-related counters — strong on easing oil price fears.
- Maybank, Public Bank, and CIMB — banking heavyweights rose on improved sentiment.
- Malaysian Pacific Industries (MPI) and tech plays — benefited from global risk-on mood.
Top losers were limited, mainly in defensive consumer names that lagged the rebound. High-volume actives featured banking and energy stocks. Analysts view this as a positive shift, with the year-end target remaining around 1,772-1,880 points supported by domestic reforms.
Policy Changes Impacting KLCI and Malaysia’s Market
No major new domestic policies were announced today. The focus remains on the ongoing “year of implementation” under the Madani government. The New Incentive Framework (effective since March 1) ties manufacturing incentives to clear outcomes. Budget 2026 continues with SST expansion, e-invoicing, and carbon tax measures. GEAR-uP targets RM120 billion investments by 2028, supporting 4.3-4.5% GDP growth. OPR stays at 2.75%. Globally, the reported US-Iran ceasefire significantly eased tensions and lifted market sentiment. US tariffs remain at 19% on Malaysia, with exemptions protecting 60% of exports (including semiconductors at 40%) via the October 2025 deal.
Other News Potentially Impacting KLCI or Malaysia’s Market
The ringgit held steady near its recent highs below RM4/USD, supporting inflows. Manufacturing PMI remained strong at a 20-month high of 50.2 in January. Producer prices fell 2.7% in December 2025, indicating contained inflation. Q4 2025 GDP expanded at the fastest pace in over a year on domestic demand. The 2026 growth forecast holds steady at 4.3-4.5%. AI data centres continue to position Malaysia as a “China+1” hub. Renewables see rising M&A activity, and industrial property leads the market. Sukuk issuance remains robust. Middle East tensions have eased with the ceasefire news, but oil volatility remains a watchpoint. Domestic reforms continue to provide a solid buffer.
Overall, the KLCI demonstrates strong resilience today. Improved global sentiment and selective buying support upside. Domestic fundamentals remain a key anchor amid external developments.