The Malaysian stock market has experienced a decline over the past five consecutive sessions, shedding nearly 30 points or 1.8 percent during this period. Currently, the Kuala Lumpur Composite Index (KLCI) hovers just below the 1,620 mark, with expectations for continued downward movement as markets reopen on Monday.
Globally, the forecast for Asian markets remains uncertain, influenced by prevailing concerns regarding future interest rate trends. Markets in Europe and the United States showed mixed and relatively stable activity, which is anticipated to influence similar behavior across Asian markets.
On Friday, the KLCI ended slightly lower, with losses in financial, industrial, and telecommunications sectors partially offset by gains in the plantation sector. The index slipped by 13.93 points, or 0.85 percent, settling at 1,618.30, after trading within a range of 1,617.60 to 1,635.28.
Among the actively traded stocks, notable movements included Axiata's decline of 2.08 percent and CelcomDigi's drop of 3.36 percent. CIMB Group saw a slight decrease of 0.12 percent, while Genting fell by 0.75 percent, and Genting Malaysia by 0.44 percent. Meanwhile, IHH Healthcare rose by 1.21 percent, and Kuala Lumpur Kepong edged up by 0.09 percent. Maxis plummeted by 3.42 percent, Maybank slipped 0.38 percent, and MISC retracted 1.71 percent. In other sectors, PPB Group dipped 0.28 percent, Press Metal lowered 0.21 percent, and Public Bank tumbled 2.43 percent. Further declines were seen with QL Resources decreasing 0.42 percent, RHB Bank shedding 0.62 percent, and Sime Darby falling 1.67 percent. SD Guthrie saw an increase of 1.21 percent, Telekom Malaysia lost 0.31 percent, Tenaga Nasional rose by 0.14 percent, while YTL Corporation and YTL Power saw drastic drops of 7.51 percent and 6.83 percent, respectively. Other stocks such as IOI Corporation, MRDIY, Petronas Chemicals, Sunway, and Hong Leong Bank remained unchanged.
The guidance from Wall Street provided limited direction as major indices opened higher but ended the session mixed. The Dow Jones Industrial Average fell by 259.96 points, or 0.61 percent, to close at 42,114.40. In contrast, the NASDAQ gained 103.12 points, or 0.56 percent, to end at 18,518.61, while the S&P 500 slipped slightly by 1.74 points, or 0.03 percent, to finish at 5,808.12. Over the week, the Dow shed 2.7 percent, while the S&P 500 declined by 1.0 percent; however, the NASDAQ saw a mild increase of 0.2 percent.
Stocks initially traded higher, driven by continued optimism regarding economic prospects following the University of Michigan's report indicating an unexpected boost in consumer sentiment for October. However, buying momentum tapered off as the session progressed, coinciding with a rebound in treasury yields following previous declines, amid fears that the Federal Reserve may reduce interest rates at a slower pace than anticipated.
Oil prices surged on Friday, spurred by geopolitical tension concerns and potential output adjustments from OPEC. West Texas Intermediate Crude oil futures for December rose by $1.69, or 2.3 percent, concluding at $71.78 per barrel. For the week, WTI crude futures advanced by 3.8 percent.
