KUALA LUMPUR: Bursa Malaysia is anticipated to trade within the 1,500 to 1,530 range this week, as investor sentiment remains fragile due to renewed geopolitical tensions and potential trade disruptions.
Market volatility has been exacerbated by Washington’s proposed unilateral tariff measures and the rising hostilities in the Middle East, notably following Israel’s recent strike on Iran. The developments have cast a shadow over global markets, including Bursa Malaysia.
UOB Kay Hian Wealth Advisors Sdn Bhd head of investment research, Mohd Sedek Jantan, noted that the market is expected to remain under pressure in the immediate term, barring any unexpected breakthroughs in the geopolitical standoff over the weekend. However, he suggested such a resolution is improbable in the near term.
“Tactically, oil and gas counters could offer short-term trading opportunities, especially those involved in upstream activities or those expanding their upstream concessions. These companies are well positioned to capitalise on the current surge in oil prices,” he said in a statement to Bernama.
In the previous week, Bursa Malaysia began on a positive note, buoyed by favourable developments in US-China trade discussions. The market was further supported by renewed interest from local institutional investors and a marked decline in foreign selling.
-The Star
