On Friday, the Malaysian stock market broke a four-day losing streak, during which it had fallen over 35 points or 2.1 percent. The Kuala Lumpur Composite Index (KLCI) now hovers just above the 1,555 mark, but it is anticipated to decline again by Monday.
The global outlook for Asian markets is subdued, largely due to concerns over U.S. tariffs implemented over the weekend. While European markets ended on an upward note, U.S. markets saw declines, and Asian markets are expected to follow the latter trend.
On Friday, the KLCI experienced modest gains with advances in the financial and telecom sectors offset by weaknesses in plantation stocks. The index increased by 4.23 points, or 0.27 percent, closing at 1,556.92, after fluctuating between 1,545.84 and 1,563.03 during the trading day.
Notable performances included a 1.37 percent rise by 99 Speed Mart Retail and gains by Axiata (0.91 percent), CIMB Group (1.01 percent), and Gamuda (0.25 percent). In contrast, IOI Corporation decreased by 0.27 percent, and Kuala Lumpur Kepong decreased by 0.90 percent. Meanwhile, Maybank and others such as MISC reported gains, while firms like Nestle Malaysia and Petronas Chemicals faced declines.
The U.S. financial markets ended on a negative note as major indices opened strong but succumbed to a late downturn. The Dow dropped by 337.44 points, or 0.75 percent, closing at 44,544.66. The NASDAQ fell 54.26 points, or 0.28 percent, finishing at 19,627.44, and the S&P 500 declined by 30.64 points, or 0.50 percent, to 6,040.53. Weekly results showed the Dow up by 0.3 percent, while the S&P 500 and NASDAQ fell by 1.0 percent and 1.6 percent, respectively.
Market anxiety heightened when White House Press Secretary Karoline Leavitt declared that President Donald Trump’s administration would impose tariffs—25 percent on Mexico and Canada, and 10 percent on China—starting the next day. This announcement fueled fears of inflation, potentially prompting the Federal Reserve to maintain its current monetary policy stance.
Oil futures also closed lower on Friday amid uncertainty regarding the impact of Trump's tariff plans on Canada and Mexico, compounded by the effect of a stronger dollar. West Texas Intermediate crude for March delivery fell by $0.20, settling at $72.53 per barrel.
