The global economy is expected to recover now that mass vaccinations are being rolled out. This Show-Me-The-Money Market Outlook webinar will focus on the opportunities in 2H 2021 for investors. Join us for this free event by registering below:
Highlights:
Market Overview and Behind The Action – Sectors to Look Out For – Pankaj C. Kumar
Riding The Waves of Opportunities in 2H 2021 – Kong Seh Siang – CGS-CIMB Securities
Technical Market Outlook with the TAD System – Fred Tam and Afnan Firdaus – F1 Academy
Followed by a Fireside Chat session moderated by Mr. Pankaj with Q&A session.
According to Finance Minister Tengku Datuk Seri Zafrul Abdul Aziz, a total of RM5.08 billion has been allocated and will be channelled to nearly one million micro small and medium enterprises (micro SMEs) under the Geran Khas Prihatin (GKP) to tide over their difficulties since Covid-19 hit the country. The government hopes the direct assistance channelled to the micro SMEs will ease their burden, especially those affected by the implementation of the Movement Control Order (MCO) 3.0. Under PEMERKASA, announced on March 17, 2021, the government decided to provide GKP 3.0 of RM1,000 to more than one million micro traders to ensure the continuity of their business, especially in managing their cash flow. The government gave a similar commitment under PEMERKASA Plus, which was unveiled on May 31, 2021, where an additional amount of RM500 would be disbursed, increasing the total payment to RM1,500 for each micro SME to help them navigate through MCO 3.0. This means the total payment of GKP 3.0 is RM1.5 billion. He was pleased to inform that nearly one million micro SMEs involving existing recipients of MCO 1.0 and MCO 2.0, as well as micro SMEs that have been approved under MCO 3.0, will receive a payment of RM1,000 from June 10 (Thursday) in stages involving financial implications of almost RM1.0 billion. The payment will be credited directly to the bank account registered in the GKP system and the approval status can be checked from June 8, 2021 at the following link https://gkp.hasil. gov.my. An additional payment of RM500, involving an allocation of almost RM500 million, will be paid in July 2021 bringing the total amount under GKP 3.0 to RM1.5 billion.
Bursa Malaysia warns of investment scams impersonating legitimate institutions
According to Bursa Malaysia Bhd, investors are advised to be on high alert to protect themselves and others from becoming victims of investment fraud. It has recently observed an increase in the number of scams involving the misuse of the Bursa Malaysia name and corporate logo. In times of uncertainty, such as the current COVID-19 pandemic, scammers try to lure victims into participating in dubious investment schemes and activities. They often use unlicensed or unregistered companies, websites and promotional material that mimic legitimate financial institutions to deceive the investing public. Investment scams typically carry the Bursa Malaysia name and logo on marketing-related materials and social media postings, offering high investment returns with a guarantee of little or no risk. Investors are directed to ‘spoof’ websites and phone numbers set up by scammers, these fake websites look nearly identical to the actual sites of legitimate financial institutions. Calls to the phone numbers provided reach the scammer who pretends to be an employee who will then direct investors to transfer funds to an account with a different name. Hence, it reminded the public to invest only with licensed parties. An updated investor alert list of unauthorised websites, investment products, companies and individuals, is available at Bursa Academy at https://www. bursaacademy.bursamarketplace.com/ en/sc- investor-alert. Additionally, investors should verify the information and not rely on unsolicited marketing materials. Investors should also compare and confirm websites or social media pages. Fake websites or social media pages will often have odd-looking (or low resolution) logos that do not match the legitimate company’s logo. Investors should also avoid unusual payment methods and seek independent, professional advice. Be suspicious of unsolicited investment offers made online, on social media or over the phone. Bursa Malaysia said it does not engage third-party agents to represent it. If you receive unsolicited and or suspicious communications relating to or claiming to be agents of Bursa Malaysia, we recommend contacting us directly at 03-2732 0067 or via e-mail at bursa2u@ bursamalaysia.com to authenticate the content of any such communication.
Eye On The Markets This week
On Thursday (10Jun), the Ringgit was 4.1185 against the USD from 4.1200 on Tuesday (8Jun). Meanwhile, the Ringgit was 3.1082 to the Sing Dollar on Thursday (10Jun). On Tuesday (8Jun), the FBM KLCI opened at 1581.44. As at Friday (11Jun) 10:00am, the FBM KLCI is down 4.43 points for the week at 1577.01. Over in US, the overnight Dow Jones Industrial Average closed up 19.10 points (+0.06%) to 34,466.24 whilst the NASDAQ added 108.58 points (+0.78%) to 14,020.33.
Behind The Action: Pankaj C Kumar – Friday, 11 June 2021
Markets
According to the US Treasury Secretary and former Fed Chair, Jenet Yellen, while inflationary pressure is likely to persist and continue on a y-o-y basis, it is not permanent. She also commented that the US should push for the US$4 trillion spending plan, a move that will see not only higher inflation into next year but also higher interest rates. At the same G7 summit, finance ministers entered into a landmark decision that will pave the way for the imposition of a minimum global corporate tax of at least 15%. Locally, EPF announced a stellar 1Q 2021 performance with gross investment income rising by 59% y-o-y to RM19.29bil, with 74% of the income derived from its equity exposure. Interestingly, EPF also revealed that it had to-date approved RM57.97bil in i-Sinar withdrawals for 6.49mil members, while under the i-Lestari facility, RM20.8bil has been paid out to 5.27mil members.
Economy
The May 2021 Institute for Supply Management (ISM) for the Non-Manufacturing sector rose to 64.0 from 62.7 in the preceding month. Investors’ focus this week was obviously on inflation readings, both from the US and China. US Consumer Price Index (CPI) for May came in at its fastest pace in 13 years with a jump of 5% y-o-y, ahead of market expectations of a 4.7% rise, while the core inflation rate jumped 3.8% y-o-y against a forecast of 3.5% increase. Meanwhile, China’s May 2021 CPI increased by 1.3% y-o-y but the Producer Price Index (PPI) surged 9% y-o-y, a fresh 13-year high. On external trade, Chinese exports for May 2021 came in 27.9% higher y-o-y but imports surged 51.1%, which was the highest in more than 10 years. China’s trade balance with the US remains in its favour as the May trade surplus came in at US$31.8bil, up 13.1% from April’s surplus of US$28.1bil. Locally, Bank Negara revealed that Malaysia’s total international reserves as at 31-May stood at US$110.9bil, US$0.3bil higher compared with US$110.6bil as at May 12. Malaysia also reported approved investments data this week which showed foreign direct investments (FDIs) for the 1Q of 2021 leapfrogging to RM54.9bil from RM11.4bil a year ago, a jump of 383% y-o-y. In related news, Austria’s AT&S, a printed circuit board and integrated circuit substrates manufacturer, unveiled its plan to have its Southeast Asia production hub in Malaysia and with a proposed investment of €1.7bil or RM8.5bil. In other news, Malaysia’s unemployment rate for April 2021 improved by 0.1 percentage points to 4.6% while Malaysia’s May palm oil stock level rose 1.5% to reach 1.57mil tonnes as crude palm oil production increased 2.8% but exports fell by 6%.
Corporate
The FBM KLCI 30-stock index will see one change that will take effect from Monday, June 21, 2021, with Mr. D.I.Y. Group (M) replacing Supermax. Meanwhile, Jardine Cycle & Carriage Limited only managed to secure 88.04% of Cycle & Carriage Bintang at the close of the offer period to take the latter private at RM2.40 per share. In other M&A activities, Kuala Lumpur Kepong (KLK) announced a deal to buy a 56.2% stake in IJM Plantations (IJMP) from its parent company, IJM Corporation at RM3.10 per share, valuing the deal at RM1.534bil. KLK will also extend a mandatory general offer to acquire all the remaining IJMP shares not already held by KLK and persons It’s All Transitory Pankaj C Kumar BEHIND THE ACTION acting in concert upon the execution of the Sale and Purchase Agreement, and the same becoming unconditional, at a cash offer price of RM3.10 per IJMP share. Top Glove meanwhile reported its 3Q FY2021 report card that missed market expectations with both revenue and net earnings falling by 22.4% and 29% to RM4.16bil and RM2.03bil respectively as the effect of lower average selling prices kicks in. Equity Global equity markets closed mixed to firmer the past week with markets that trended higher experiencing gains of between 0.1% and 1.2% while markets that fell eased between 0.1% and 0.8%. The KLCI closed the four-day trading period 0.7% lower at 1,579.90 pts. For the week, net foreign outflow amounted to RM295mil as retailers and local institutions maintained their respective net buying interest at RM271.1mil and RM23.9mil.
Eye On Week Ahead
A slew of economic data points out of the US are due next week. On Tuesday, the monthly retail sales will be out with consensus looking at a flat m-o-m growth of zero percent. On the same day, the IPI and PPI too are expected to be released while housing starts and building permits are due on Wednesday, as the market is looking at 1.57mil and 1.73mil annualized rate respectively. The most anticipated event next week is the 2-day Federal Open Market Committee (FOMC) meeting on Tuesday and Wednesday. The market anticipates no change to the US Fed Fund Rate but the Fed’s assessment of the factors that determine its rate moves and its tapering plans, if any, will be closely monitored.
Malaysians need to seize opportunities in digital economy
According to Prime Minister Tan Sri Muhyiddin Yassin, Malaysia
welcomes the signing of the Regional Comprehensive Strategic Partnership (RCEP).
The signing of RCEP will reflect Malaysia’s unwavering support for the
multilateral trading system and regional integration. Malaysia trusts that RCEP
will be a game-changer to increase the flow of investments and to encourage
intra-trade within the region. As the global growth rate is expected to slow at
roughly 3.5% between 2021 and 2025, Malaysia should double its efforts to
ensure the sustainability of economic activities. Focus should be given to
promoting trade and investment and maintaining the regional and global supply
chains by tapping into the digital economy. As part of efforts to build a
stronger economic region post-COVID-19, Malaysia believes that ASEAN and China
must fully tap the potential of the digital economy. A lot has been learnt during
this pandemic period from the increased use of online transactions in peoples’
daily lives. The vital role of the digital economy in reviving the region’s
economies will contribute to more job opportunities and encourage growth and
business sustainability, especially for Micro, Small and Medium Enterprises
(MSMEs) sector.
Malaysians need to seize opportunities in digital economy
According to Malaysia Digital Economy Corporation (MDEC)
chief marketing officer Raymond Siva, Malaysians need to seize the
opportunities provided by the digital economy as it will be a key driver to
economic growth in the long term. The demand in e-commerce has grown
exponentially in the COVID-19 era. E-commerce is an important component of the
digital economy and it will keep growing. Malaysians and businesses should take
advantage, especially in the context of COVID-19. The pandemic has abruptly
increased the need for digitalisation as people are adapting to the new norms
of working from home. The segment (digital economy) is forecast to grow by 20
per cent to the economy this year. The forecast was initially reported by the
Department of Statistics Malaysia with the e-commerce sector expected to exceed
RM110 billion in revenue by 2020, which is equivalent to 40 per cent of the
nation’s digital economy. The MTM 2020 aims to fortify Malaysia’s role in
expanding the digital economy and its first-mover position in the ASEAN region
while drawing attention to the country’s readiness in leveraging opportunities
that the Fourth Industrial Revolution (IR4.0) will spur. The campaign enables a
platform for a wide-ranging array of events, highlighting multiple
collaborations with industry partners. Industry players should share their
challenges, successes and innovations that they have developed, especially over
the last six months, and inspire the next generation of digital-tech
entrepreneurs.
SC wants public feedback on proposed amendments to Unit
Trust Fund guidelines
The Securities Commission Malaysia (SC) is seeking feedback
from the public on its proposed amendments to the Guidelines on Unit Trust
Funds. The two-month consultation process is part of it’s ongoing efforts to
enhance market competitiveness and ensure the continuous development of the
Malaysian unit trust industry. The commission has outlined 30 proposals as part
of the consultation paper, ranging from liberalising the types of investments a
fund could consider, to amendments on strengthening risk management processes
of fund management companies. It is considering enhancements to operational
requirements, including dealing in and valuation of a fund. These proposed new
enhancements will facilitate greater competitiveness in the industry and
provide investors access to a wider range of products, while maintaining
adequate investor protection. Additionally, to ensure consistency in policy
with unit trust funds, it is also considering making some of the proposals
applicable to exchange-traded funds (ETF) and private retirement schemes (PRS).
The consultation paper is available on the SC’s website. Interested parties are
invited to submit their feedback via www.sc.com.my/survey-cp01-2020 by Jan 10,
2021. For further information, the public can also email to MISConsultation@seccom.com.my.
Unit trust funds are the largest component of the Malaysian collective
investment scheme industry. As at Sept 30, there were 39 locally-incorporated
management companies approved to offer 693 unit trust funds with a total net
asset value (NAV) of RM490.3 billion.
Eye On The Markets
This week, on Thursday (12Nov), the Ringgit weakened to 4.1340
against the USD from 4.1145 on Monday (09Nov). Meanwhile, the Ringgit was 3.0645
to the Sing Dollar on Thursday (12Nov). On Monday (09Nov), the FBM KLCI moved up
4.68 points (0.31%) to 1524.32 from previous Friday’s close of 1519.64. As at
Friday (06Nov) 10:00am, the FBM KLCI continued its climb to 1580.00. Over in
US, with the outcome of the Presidential elections still in the balance, stocks
were broadly down due to new highs of over 100,000 new Covid-19 infections and the
need of much higher Govt stimulus. The Dow Jones Industrial Average shed 317.46
points (-1.08%) to 29,080.17 and the NASDAQ Composite index shed 76.84 points (-0.65%)
to 11,709.59.
BNM keeps OPR at 1.75 per cent to make way for expansionary Budget 2021
Malaysians will be anxiously awaiting the Finance Minister’s
tabling of his maiden budget later today at 4pm, in what could very well be the
most crucial budget in the country’s history amid a pandemic that has brought
major disruptions to lives and livelihoods in Malaysia and elsewhere. Reviving
the economy, creating jobs and safeguarding the livelihoods of the people are
expected to be key areas of focus for Budget 2021.
BNM keeps OPR at 1.75 per cent to make way for
expansionary Budget 2021
According to Maybank Investment Bank Bhd Research (Maybank
IB Research), Bank Negara Malaysia’s (BNM) decision to maintain the Overnight
Policy Rate (OPR) at 1.75 per cent is to make way for Budget 2021. The budget,
which is scheduled to be tabled in Parliament today, is expected to remain
expansionary, with a deficit forecast of RM90 billion, or 6.0 per cent, of
gross domestic product (GDP) versus the estimated RM95 billion, or 6.7 per cent,
of GDP in 2020. BNM kept the OPR at 1.75 per cent for the second consecutive
Monetary Policy Committee (MPC) meeting to preserve monetary policy space. BNM’s
decision was also consistent with indications that the economic recession is shallowing
after the slump of GDP in April or the second quarter of 2020 (-17.1 per cent),
which is supportive of the current official real GDP forecast of growth of
between +5.5 per cent to +8.0 per cent in 2021, after the -3.5 per cent to -5.5
per cent performance in 2020. Aside from the pause in the OPR, it also noted
that the use of other monetary policy instruments to boost liquidity and
provide reliefs to the economy have tapered, hence, reducing the need for
monetary policy intervention via an OPR cut and/or liquidity measures. That
included the slowing BNM’s purchases of the Malaysian Government Securities,
shift to targeted loan moratorium extension and flexible loan repayments after
the end of the automatic/blanket loan moratorium period from April to
September, 2020. For now it expects the OPR to stay at 1.75 per cent until
end-2021, but continues to view this is a dovish pause amid the downside risks
economic outlook highlighted in the latest Monetary Policy Statement.
A-G’s Report: Federal govt records RM264.415 bln revenue
in 2019
According to the Auditor-General’s (AG) 2019 Report on the
Federal government’s financial statement, the Federal government recorded a
revenue of RM264.415 billion in 2019, a 13.5 per cent (RM31.532 billion)
increase compared to 2018. Meanwhile, operating expenditure approved last year
amounted to RM260.547 billion while actual expenditure amounted to RM263.343
billion. Expenses due to national debt (interest, dividends, and other charges)
amounted to RM32.933 billion or 12.5 per cent of the operating expenses. This
expenditure increased by a total of RM2.386 billion or 7.8 percent compared to
2018 which amounted to RM83.050 billion because it was not budgeted for under
the management allocation but was paid directly from the Consolidated Loan
Account. Additionally, on the ministries’ and federal departments’ development
expenditure, RM54.173 billion or 104.6 per cent was spent from the allocation
approved in 2019. The Federal government had a RM51.370 billion deficit with a
deficit to Gross Domestic Product (GDP) ratio of 3.4 per cent. The deficit was
offset by new loans amounting to RM138.559 billion and of the total loans,
RM83.05 billion or 59.9 per cent was used to repay matured debts. The Federal
debt stood at RM792.998 billion, a seven per cent increase compared to
RM741.094 billion in 2018, the debt-GDP ratio is RM52.5 per cent. Of the total
debt amount, 96.4 per cent was domestic debt with the balance of 3.6 per cent being off-shore loans, the total Federal
government debt and liabilities in 2019 is RM1.080 trillion. Meanwhile, audit
on state government’s financial statements for the year ending Dec 2019 found
that all 13 state governments’ financial statements were given opinions without
reprimand. The audit analysis showed that all financial statements had
presented a true and fair view of the financial position of the state
government and the accounting records were complete and updated. The National
Audit Department had conducted 28 compliance audits at the state government
level involving one ministry in Sarawak, 23 departments and 14 state agencies
in 2019/2020. Among the main findings were occurrence of irregular payments,
revenues not collected in an orderly manner and weaknesses in government
procurement. The A-G’s report on the federal government’s financial statement
for 2019 will be uploaded on the National Audit Department’s website after its
presentation in the Dewan Rakyat. The public may view this statement at
http://www.audit.gov.my.
Malaysia ranks among top economies in cost of doing
business
According to KPMG Malaysia managing partner Datuk Johan
Idris, a study by KPMG has ranked Malaysia fourth among 17 economies in an
assessment comparing the economy’s competitiveness as a manufacturing hub in
cost of doing business (CoDB). The study found that Malaysia is placed ahead of
countries in the Asian region such as China, Japan, Vietnam and India. The
study indicates that Malaysia’s CoDB Index results from high scores on the
Primary Cost Index where Malaysia emerged at the top of the chart, tied with
China, Mexico, and Vietnam. Malaysia had outperformed on three factors: hourly
compensation costs, real estate costs and corporate tax rate. In analysing the
results further, by changing the weight of the primary costs and secondary
costs from equal to 70 per cent-30 per cent, Malaysia would be ranked the
number one most cost-effective location in the CoDB Index. Malaysia continues
to be a prime manufacturing hub for investors despite uncertainties in the
current landscape. This is especially significant in our new reality, where
operational stability and cost containment are central in every company’s
long-term business survival. The results in this study only substantiate what
Malaysian businesses already know and are proud of. As an immediate effect out
of the COVID-19 pandemic, companies around the world have begun relooking at their
supply chains. A study by McKinsey estimates that 16 per cent to 26 per cent of
global exports, worth US$2.9 trillion to
US$4.6 trillion, could move to new countries over the next five years if
companies reshuffle their supplier networks. The study by KPMG proves that
Malaysia has the factors for moving up the production value chain.
On The Markets
This week, on Thursday (05Nov), the Ringgit was 4.1525 against
the USD from 4.1550 on Monday (02Nov). Meanwhile, the Ringgit was 3.0584 to the
Sing Dollar on Thursday (05Nov). On Monday (02Nov), the FBM KLCI barely moved
with -0.43 points (-0.03%) to 1466.46 from previous Friday’s close of 1466.89. As
at Friday (06Nov) 10:00am, the FBM KLCI has rebounded to 1510.96 from Monday’s low
following the upward trend of US markets overnight and in anticipation of a comprehensive
Malaysia Budget 2021 scheduled to be tabled in Parliament today. Over in US, despite
a clear winner in the Presidential elections, stocks were bullish in
anticipation of a fiscal stimulus package to boost the economy and the
possibility of COVID-19 vaccine. The Dow Jones Industrial Average gained 542.52
points (+1.95%) to 28,390.18 and the NASDAQ Composite index climbed 300.15
points (+2.59%) to 11,890.93.
Bursa Q3 net profit jumps 158.9pct to RM121.94mil, revenue at RM237.74mil
SC revises guidelines on digital assets
According to the Securities Commission Malaysia (SC), it has
revised its guidelines on digital assets to regulate initial exchange offerings
(IEO) and digital asset custodians (DAC). The revised guidelines would
facilitate its objectives in promoting responsible innovation in the digital asset
space, while at the same time, managing emerging risks and safeguarding the
interests of issuers and investors. Earlier in January 2020, it had introduced
a framework to enable companies to raise funds via the issuance of digital
tokens in Malaysia through an IEO platform registered by the SC. Under the new
guidelines, IEO platform operators will be required to assess and conduct the
necessary due diligence on the issuer and review the issuer’s proposal and the
disclosures in the whitepaper. The IEO platform operators are also required to
assess the issuer’s ability to comply with the requirements of the new
guidelines and the SC’s guidelines on prevention of money laundering and
terrorism financing. The revised guidelines also included rules and regulations
on DAC to facilitate interested parties who wish to provide custody services
for digital assets. Digital asset custodians play an important role within the
digital asset ecosystem of the Malaysian capital market to safeguard digital
assets of investors.
Bursa’s Q3 net profit jumps 158.9% to RM121.94mil,
revenue at RM237.74mil
According to Bursa Malaysia Bhd’s chief executive officer Datuk
Muhamad Umar Swift, the Exchange’s net profit jumped 158.9 per cent to RM121.94
million in the third-quarter (Q3) ended September 30, 2020 from RM47.10 million
recorded a year ago. This was attributed to higher trade feeding and clearing
fees. The Q3 revenue rose 93.8 per cent to RM237.74 million from RM122.67 million,
driven by higher trading revenue. For the nine months, its net profit increased
94.5 per cent to RM272.89 million from RM140.30 million, while revenue rose
52.3 per cent to RM568.27 million from RM373.16 million previously. Bursa had
delivered an exceptional performance, recording the highest ever nine-month net
profit since its listing in 2005, against the backdrop of unprecedented
circumstances. The on-going developments with regards to Covid-19,
low-interest-rate environment, the government’s stimulus packages and the
gradual re-opening of the economy continue to support investor participation
across segments led by domestic institutions and retail. The continuous
operations of the local markets had been critical in making available the
necessary liquidity and risk management tools for investors to respond in a
higher volatility environment and invest in new opportunities. While key
economic indicators are pointing towards an improving outlook for the Malaysian
economy, the on-going developments of the Covid-19 pandemic will continue to
influence the volatility and performance of the Securities and Derivatives
markets. Bursa been working closely with other regulators to ensure market
efficiency and improved market accessibility and liquidity to support
participants during this period. It was well-positioned to continue developing
the marketplace and make further progress on its strategic plans. There has
been promising results after successfully conducting five listing ceremonies
and holding flagship events, namely, Invest Malaysia Conference and Palm and
Lauric Oils Price Outlook Conference and Exhibition being fully virtual. Each
of these initiatives is important towards making Bursa’s offerings and the
market to continue to remain relevant to the diverse range of investors. Investor
participation continued to increase, with average daily trading value (ADV)
having grown 101.8 per cent to RM4.0 billion in the nine months from RM2.0
billion previously. The additional number of trading days and the higher
effective clearing fee also contributed to the increase in trading revenue,
while trading velocity increased by 34 percentage points to 62 per cent
year-on-year. Non-trading revenue increased by 7.0 per cent to RM110.9 million
from RM103.6 million on higher market data revenue, underpinned by the rise in
the number of new subscribers. Bursa would continue to build on its
data-related offerings to improve non-trading revenue and ensure the long-term
resilience of earnings in all market conditions.
Malaysia’s Sept trade surplus surges 49.3 per cent YoY to
RM21.97 bil
According to the Ministry of International Trade and
Industry (MITI), Malaysia’s trade surplus surged by 149.3 per cent year-on-year
(y-o-y) to RM21.97 billion in September 2020, the highest trade surplus ever
recorded for the month. Total trade, exports and imports grew by 7.5 per cent,
12.4 per cent and 1.6 per cent, respectively, in September compared to August
2020, with trade surplus recorded a significant expansion of 66.3 per cent. Malaysia’s
total trade in September 2020 expanded by 5.5 per cent to RM155.88 billion
compared to September 2019. Increases in trade were recorded primarily with
China, Hong Kong, the United States, the Netherlands, and Taiwan. Exports
rebounded by a double-digit growth of 13.6 per cent to RM88.93 billion, the
highest export value ever recorded for the month of September 2020, while
imports decreased by 3.6 per cent to RM66.96 billion. Furthermore, exports of
manufactured and agriculture goods also registered a double-digit growth in
September 2020.
On The Markets
This week, on Thursday (29Oct), the Ringgit remained at 4.16
against the USD from Monday (26Oct). Meanwhile, the Ringgit was 3.0631 to the Sing
Dollar on Thursday (22Oct). On Monday (26Oct), the FBM KLCI barely moved with -0.03
points (-0.002%) to 1494.61 from previous Friday’s close of 1494.64. As at
Friday (30Oct) 10:00am, the FBM KLCI trending down towards four months low at 1485.66.
The U.S. stocks were bullish after receiving latest data on GDP that the economy
grew at its fastest rate in the third quarter, at an annualized 33.1%. The Dow
Jones Industrial Average gained 139.16 points (+0.52%) to 26,659.11 and the
NASDAQ Composite index climbed 180.72 points (+1.64%) to 11,185.59.
Joint session between ministries to be held in preparing Budget 2021
According to Samir Dixit, managing director of Brand Finance
Asia Pacific, the Malaysia 100 Brands 2020 ranking remains very top heavy this year and
hopes to see a more diverse mix at the top and more significant brand value
increases at the bottom. To do so, brands must start to focus on building both
brand value and strength, rather than being sales and offers driven. These
tactics will help in the short term but might destroy the long-term value and
strength of brands. It is the brand strength for most Malaysian brands that
remains a concern – these have remained stagnant this year. Brand has to be a
strategic agenda for senior management and boards and must be treated like any
other business asset and not just a legal trademark. See the complete ranking from pages 13 to 19.
Joint session between ministries to be held in preparing
Budget 2021
According to Finance Minister Tengku Datuk Seri Zafrul Aziz,
a joint session will be held between ministries to discuss proposals as well as
the operational and development needs in relation to Budget 2021. The Finance
Ministry is in the process of drafting Budget 2021, which will be tabled on Nov
6. Economic continuity would be given priority to ensure the momentum of
economic recovery was maintained. The government calls on the people to work
together in combating the COVID-19 pandemic by always practicing the new norms
and physical distancing, maintaining hygiene and health, as well as be
disciplined in complying with the standard operating procedures issued by the
government. The government was constantly monitoring developments on the
COVID-19 situation and was always ready to increase allocations, as and when
needed. The government has allocated RM1.7 billion to combat the spread of
COVID-19, channelled via 14 ministries and state governments. The government,
through the Health Ministry, has also channelled an additional allocation of
RM44 million to strengthen Sabah’s healthcare front-liners. Apart from that,
the government, through the National Security Council, recently approved an
additional allocation of RM50 million to the National Disaster Management
Agency (NADMA). These additional provisions are in line with the commitment to
ensure preparedness in the face of increasing COVID-19 infections nationwide. Meanwhile,
11.36 million people had successfully received RM50 in their eWallets,
amounting to RM567.9 million, under the RM50 eWallet credit programme that
ended on Sept 30. The eWallet providers such as Boost, GrabPay and TouchnGo
eWallet had also contributed benefits in the form of credit matching and
various other incentives, amounting to RM433.8 million, in an effort to boost
the Malaysian economy.
According to Deputy International Trade and Industry
Minister Datuk Lim Ban Hong, China remains Malaysia’s largest foreign investor
in the manufacturing sector for four consecutive years since 2016, with 32
foreign direct investments (FDIs) amounting US$452.43million approved in the
first six months of 2020. Malaysia approved 79 FDIs worth US$3.74 billion from
China in 2019. In terms of total trade, the bilateral trade between Malaysia
and China stood at US$80.06 billion from January to August 2020, while in 2019,
the two-way trade hit US$123.96 billion. Despite the current Covid-19 pandemic,
Malaysia and China continued to show sincere friendship to support each other
and overcome difficulties together in these trying times. It is hoped that the
corporate elites from both countries would continue to collaborate in sectors
such as digital economy big data, innovative economy, as well as industrial
innovation and modern agriculture.
DOSM expects Malaysian economic recovery to continue
According to the Department of Statistics Malaysia (DOSM) chief
statistician Datuk Seri Dr Mohd Uzir Mahidin, the country’s economy is expected
to continue its recovery trend based on the smoothed growth rate of leading
index (LI), a predictive tool to anticipate upturns and downturns in the
economy. The LI registered 108.5 points in August 2020 from 100.8 points in
August 2019, maintaining an annual growth of 7.6 per cent. However the LI
slipped to negative 0.5 per cent, dragged by the number of new companies
registered (negative 0.6 per cent), real imports of semi- conductors (negative
0.4 per cent), and the number of housing units approved (negative 0.1 per
cent). Despite the softening LI for the reference month, the growth rate of
smoothed LI is consistently above trend and moving upwards. This implied that
the Malaysian economy is expected to continue its recovery trend in the months
ahead. Nevertheless the downside risk to growth remained amid the recent spike
in COVID-19 cases. Meanwhile Coincident Index (CI), which measures the current
economic performance, anticipated a better year-on-year growth to register
negative 2.3 per cent in August 2020 from negative 2.4 per cent in July 2020.
On a monthly basis, the CI rose to 0.5 per cent supported by the increase in
volume index of retail trade (0.5 per cent) and real salaries and wages in
manufacturing sector (0.1 per cent). The current situation was supported by the
performance of volume index of wholesale and retail trade which depicted a sign
of recovery to register 130 points with a growth of negative 2.4 per cent
year-on-year. This was the smallest negative growth since March 2020. Besides
that, in terms of labour force statistics, the number of employed persons
improved 0.5 per cent to 15.2 million persons, contributed mainly in the
services sectors.
On The Markets
This week, on Thursday (22Oct), the Ringgit eased to 4.1495 against the USD from 4.1470 on Monday (19Oct). Meanwhile, the Ringgit was 3.0593 to the Sing Dollar on Thursday (22Oct). On Monday (19Oct), the FBM KLCI was up 14.27 points (0.95%) to 1518.11 from previous Friday’s close of 1503.84. As at Friday (23Oct) 10:00am, the FBM KLCI continued sideways over the past month at 1500.06. US stocks were higher after the close on Thursday, even as lawmakers worked to strike a stimulus deal but buoyed by a surprise upside on the economic data front, reduced jobless claims and higher home sales. The DJIA rose 0.54% to 28,363.66 while the NASDAQ added 0.19% to 11,506.01.
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Bursa’s first virtual listing – Samaiden Group
According chief executive officer Datuk Muhamad Umar Swift, Bursa
Malaysia welcomed Samaiden Group Berhad as its newest “member” on the
ACE Market via a virtual listing ceremony. This first virtual listing is a new
offering by the exchange arising from the reinstatement of the conditional
movement control order (CMCO) in Selangor, Kuala Lumpur and Putrajaya. In line
with the CMCO requirements, the exchange introduced this virtual listing
service, enabling flexibility for new issuers during CMCO. Samaiden Group is
one of Malaysia’s leading consultants of renewable energy and environmental
service provider. Historically, listing ceremonies on the local bourse marked a
significant milestone in a company’s life cycle. The event would usually
attract many invited guests of the company who come together to celebrate the
event with the company’s owners and promoters. Notwithstanding the CMCO, the
exchange is happy to maintain this long standing tradition. It will continue to
leverage on technology to adapt traditions to the continuously changing
environment while always prioritising the health and safety of our
stakeholders.
BNM sees spike in property market risks as MCO takes toll
According to Bank Negara Malaysia (BNM), the risks in the
real estate sector have risen due to both prevailing oversupply and a
re-evaluation of business property needs due to the various movement control
orders. In its Financial Stability Review for 1H 2020 Report that was prepared
prior to the latest CMCO that has been imposed on the entire Klang Valley, the
most apparent loser of the movement curbs was the retail space sector with
consumers either shying away due to restrictions or perceived risks amid the
Covid-19 pandemic. Overall, property transactions fell by over 25 per cent by
volume in the first half and by nearly 27 per cent in terms of value. Amid
pre-existing oversupply conditions and changes to consumption behaviour since
the pandemic, rental rates in the retail commercial property market are likely
to remain depressed in the period ahead. The estimated timeline for a recovery
could be as long as 12 months, according to industry experts cited in the
report. Another loser was the office space sector citing the shift towards
telecommuting and home-working arrangements that were forced by the initial MCO
and which were kept up by some firms even after restrictions were relaxed. The
report suggested that some firms may make such arrangements permanent or at
least incorporate more of these into their operations in the immediate term.
Such a trend would further depress both office occupancy and rental rates. Both
the retail and office space sectors already had significant overhang prior to
the MCO first imposed in March. More worryingly from the report was the
conclusion that the property market risk could also extend to the residential
market. The pandemic may increase risks of a broader decline in house prices
due to a deterioration in income and weaker demand conditions. This in turn
would increase risks to financial stability given that loans for the purchase
of residential properties account for the bulk of banks’ total property-related
exposures. For the residential sector, however, it cited previous findings that
four in five mortgages were for owner-occupied homes, which reduced the risk of
default. It also said mortgages were also typically held by “higher-income”
borrowers with monthly incomes of above RM5,000 who were financially more resilient.
Repeated cuts to the overnight policy rate should also support demand for
residential property.
Total value of loan repayments reached 70% of
pre-moratorium levels
According to Bank Negara Malaysia (BNM) deputy governor
Jessica Chew, data showed that the total value of loan repayments had reached
70% of what it was prior to the blanket loan moratorium period. Many borrowers
are starting to repay their loans. The data revealed that two million borrowers
had been engaged by banks by the end of September, out of which 514,000 were
R&R (rescheduling and restructuring) applications received with a 98%
approval rate. For businesses, banks approved 6.3 times applications compared
to total outstanding R&R loans at the end of 2019. Just this month,
Malaysia transitioned into a targeted moratorium after the blanket automatic
loan moratorium period ended on Sept 30, 2020. According to BNM’s latest
Financial Stability Review Report for 1H 2020, at the start of the blanket
moratorium period, more than 95% of individuals and small and medium enterprise
(SME) borrowers took up automatic repayment deferment. Up to Sept 25, 2020, a
total of 840,000 individuals and SME borrowers had opted out or already started
to resume repayments in line with improved economic conditions. This number is
expected to increase further following the end of automatic repayment
deferment. With the automatic moratorium in place, aggregate impairment and
delinquency ratios remained low at 1% and 0.9% of total outstanding household
debt respectively (2019: 1.2% and 1.1%). Household asset quality is expected to
see some deterioration in 2H2020 and throughout 2021 with the automatic
moratorium ended, but banks are well positioned to absorb higher credit losses.
At its peak, close to 90% of household borrowers with about 87% of outstanding
household loans in the banking system were under the moratorium as most
borrowers elected to defer their loan repayments to secure greater flexibility
in managing their cash flows during a highly uncertain period. Many of these
borrowers would have been able to continue servicing their debt if chosen to.
Based on the enhanced financial margin framework, it estimated that household
borrowers who may experience difficulties (such as those with negative
financial margins) in servicing their debt as a result of income and
unemployment shocks are unlikely to account for more than 15% of total
borrowers. Among these borrowers, about 1% of total borrowers with 3% of
outstanding household debt are expected to default after accounting for
financial buffers held and targeted repayment assistance extended to borrowers
in need. It also noted that about 40% of potential defaults arise from housing
debt with an average loan-to-value (LTV) ratio of 70%, thus limiting financial
exposure of affected borrowers and losses for the banking system. It noted that
household loan impairments are projected to double — albeit from historically
low levels. Higher household impairments are expected to emerge in 2H21 given
the extended repayment assistance programmes that will remain in place through
the first quarter of 2021 (1Q21) for individuals who have experienced a loss in
income.
This week, on Thursday (15Oct), the Ringgit eased to 4.1480 against
the USD from 4.1385 on Monday (12Oct). Meanwhile, the Ringgit was 3.0553to the
Sing Dollar on Thursday (15Oct). On Monday (12Oct), the FBM KLCI was down 11.92
points (0.78%) to 1518.43 from previous Friday’s close of 1530.35. As at Friday
(16Oct) 10:00am, the FBM KLCI was sideways for the week at 1518.33. US stocks
were lower after the close on Thursday as fears of a resurgence in Covid-19
cases and a lack of additional fiscal stimulus led investors to safer havens like
the USD. At the close in NYSE, the Dow shed 19.80 points (-0.07%) to 28,494.20 while
the NASDAQ declined 54.86 points(- 0.47%) to 11,713.87.
2020 GDP projection kept at -5.5% to -3.5% despite Covid-19 resurgence
According to Bursa Malaysia Bhd’s chief executive officer
Datuk Muhamad Umar Swift, its education programmes are aimed to increase
investor awareness of financial frauds and scams, which are on the rise, as
financial products become more complex. An educated investor is less likely to
fall prey to financial frauds. He sounded the exchange’s ceremonial gong in
front of the session’s virtual audience to mark the ‘Ring the Bell for
Financial Literacy’ ceremony held on Wednesday in conjunction with World
Investor Week 2020. It is a global initiative by the World Federation of
Exchanges to promote financial literacy and boost financial inclusion. This
year, nearly 40 exchanges have come together in support of this cause. He added
that Bursa Malaysia has a strong commitment towards advocating financial
literacy in its marketplace and the wider community. It is an important agenda,
not just for encouraging retail participation but also to enhance investor
protection through education. Bursa Malaysia, over the last 12 months, had
accelerated the use of digital technology to effectively reach large segments
of the population and promote financial inclusion. In June, the exchange had
launched Bursa Academy, a comprehensive one-stop e-learning platform targeted
at retail investors across the securities, derivatives and Islamic capital
markets. Since its launch, Bursa Academy has continued to grow in traction,
registering close to 93,000 users with more than 217,000 pageviews as at
end-September 2020. Through its digital learning webinars conducted at the
onset of the pandemic, the exchange has reached out to 51,943 investors.
2020 GDP projection kept at -5.5% to -3.5% despite
Covid-19 resurgence
According to Finance Minister Tengku Datuk Seri Zafrul
Tengku Abdul Aziz, there is no further deceleration of the nation’s gross
domestic product (GDP) projection despite the sudden rise in Covid-19
infections and the 2020 growth projection remains between -5.5% and -3.5%. The
second wave is very much concentrated and more than 60% is confined. We did not
implement a movement control order (MCO) so all business activities are allowed
to go on. However for this year, Malaysia, along with 150 other countries, is
undergoing a recession. But come 2021 the economy would pick up and Malaysia’s
GDP growth is expected to be around 5.5% to 8%, a projection that is in line
with the stronger GDP forecast by the World Bank and International Monetary
Fund (IMF). The government had announced various stimulus packages which would
end this year but will continue to look at various avenues to save the people’s
livelihood and focus on the recovery momentum in the upcoming Budget 2021.
More small- and mid-cap companies aim to have 30% of
board comprising women directors
According to the Securities Commission of Malaysia (SC), gender
diversity on boards of listed companies showed slight improvement at 24.82% of
the top 100 listed companies as at Aug 31, 2020, up from 23.68% in 2018. Across
all listed companies, the ratio stood at 16.96% as at Aug 31 compared with
15.69% in 2018. There are five companies with all-male boards on the top 100
listed companies, namely Comfort Glove Bhd, Focus Dynamics Group Bhd, Frontken
Corp Bhd, Guan Chong Bhd and Pentamaster Corp Bhd. Overall, the number of
companies with all-male boards stood at 248. The data shows that there’s
progress in relation to gender diversity on the boards. However, it appears
unlikely to achieve the 30% target [for the top 100 PLCs] by Dec 31, 2020.
While the SC, together with other relevant stakeholders will continue to drive
greater gender diversity on boards, other measures and interventions are also
being considered to accelerate progress. It is worth noting that the number of
large companies that had adopted the target of having 30% or more women
directors in 2019 remained at 42, the same as in 2018. Among mid-cap companies,
however, the number of adopters increased to 28 in 2019 (25 in 2018) and among
small-cap companies, the number of adopters rose to 342 in 2019 (302 in 2018)
according to data in the CG Monitor 2020. Overall, a total of 412 companies
adopted the target in 2019, up from 369 in 2018. There are 682 public-listed
companies with at least one woman director on the board, up from 634 in 2018. A
total of 165 listed companies here have complied with the target of having 30%
women directors, up from 145 in 2018. In 2019, women accounted for 21% of new
board appointments. The trend of appointing younger women directors continued,
with 41% of women directors below 50 years old and 11% below 40 years old. More
listed companies adopted best practices as outlined in the Malaysian Code on
Corporate Governance (MCCG) in 2019, compared to the year before. Areas which
show an increase in adoption include the two-tier voting process and board
practices to determine the remuneration of directors and senior management. The
CG Monitor 2020, which is available on the SC’s website, also presents
observations on three thematic reviews on the adoption of two-tier resolutions,
board remuneration of listed companies on the FTSE Bursa Malaysia Top 100 Index
and the conduct of fully virtual general meetings by listed companies since the
Movement Control Order.
OPEC, in major shift, says oil demand to plateau in late
2030s
According to the Organization of the Petroleum Exporting
Countries (OPEC), the world oil demand will plateau in the late 2030s and could
by then have begun to decline in a major shift for the producer group that
reflects the lasting impact of the coronavirus crisis on the economy and
consumer habits. The prediction, made in its 2020 World Oil Outlook, comes amid
a growing number of other forecasts that the pandemic may prove the tipping
point for peak oil demand. Oil use will rise to 107.2 million barrels per day
(bpd) in 2030 from 90.7 million bpd in 2020, a 1.1 million bpd below its 2030
forecast last year and over 10 million bpd below its 2007 prediction of 2030
demand. Global oil demand will grow at relatively healthy rates during the
first part of the forecast period before demand plateaus during the second half.
Future demand will likely remain persistently below past projections due to the
lingering effects of the COVID-19-related shutdowns and their impact on the
global economy and consumer behaviour. While oil use to fuel cars, trucks and
industry will rebound as economies recover, it voiced concern that future
growth may be partly offset by factors like a post-pandemic shift to
homeworking and teleconferencing over commuting, as well as efficiency
improvements and a shift to electric cars. Even before the pandemic, rising
climate activism in the West and widening use of alternative fuels were putting
the strength of long-term oil demand under more scrutiny. This year will also
see potential for demand to begin to decline after 2030 given developments like
faster adoption of electric cars, more fuel efficiency and a larger reduction
in business and leisure travel after the pandemic. This year OPEC, with Russia
and other allies, a grouping known as OPEC+, agreed record output cuts of 9.7
million bpd, the equivalent of 10% of global supply.
This week, on Thursday (08Oct), the Ringgit gained to 4.1555
against the USD from 4.1595 on Monday (05Oct). Meanwhile, the Ringgit was
3.0573 to the Sing Dollar on Thursday (08Oct). On Monday (05Oct), the FBM KLCI
was up 12.13 points (0.81%) to 1512.43 from previous Friday’s close of 1500.30.
As at Friday (09Oct) 10:00am, the FBM KLCI continued marginally upwards for the
week gaining only 4.2 points to 1516.63 dragged by a surge in Covid-19
infections, continued political uncertainty and lacklustre regional markets. Meanwhile
US stocks were higher after the close on Thursday despite uncertainty over
proposed stimulus aid as investors’ focus on value stocks saw gains in the Financial
Services, Industrials and Energy sectors. At the close, the Dow added 122.05
points (+0.43%) to 28,425.51 and the NASDAQ climbed 56.38 points (+0.50%) to
11,420.98.
According to IHS Markit PMI’s survey, Malaysia’s
manufacturing sector returned to growth in June, rising sharply to 51.0, its highest
since September 2018. This was up from 45.6 in May, indicating an improvement
in the health of Malaysia’s goods producing sector and stronger economic growth
more generally. Output grew at the joint fastest rate in the survey’s history
as an increasing number of businesses restarted their operations post MCO. Its
chief economist Chris Williamson said such a rapid turnaround in production
since the severe collapse in April bodes well for a V-shaped recovery. However,
a sustained recovery is by no means assured, and growth could easily lose
momentum after the initial rebound. While business expectations continued to
improve in June, confidence remains well below levels seen at the start of the
year, in part reflecting worries about the impact of ongoing Covid-19
restrictions on demand, both at home and abroad. The survey noted there were
encouraging signs that demand conditions were beginning to stabilise during
June, with the New Orders Index rising to a six-month high. That said, overseas
demand remained particularly fragile, weighing down total order book volumes.
Malaysia’s trade surplus above RM10b mark in May
According to International Trade and Industry Minister Datuk Seri Mohamed Azmin Ali, Malaysia recorded a trade surplus above RM10 billion in May – the fourth time this year – registering a double-digit growth of 14.7 per cent year-on-year (y-o-y) to RM10.41 billion. Major exports in May are E&E products (RM23.5 billion), petroleum products (RM3.94 billion), chemicals and chemical products (RM3.68 billion), palm oil and palm oil-based agriculture products (RM3.6 billion) and rubber products (RM2.71 billion). The country’s total trade in May amounted to RM114.96 billion, down 27.8 per cent from May 2019. Exports totalled RM62.69 billion, contracted by 25.5 per cent while imports decreased by 30.4 per cent to RM52.27 billion. Malaysia’s trade during the first five months of 2020 declined 8.7 per cent to RM688.57 billion compared to the corresponding period of 2019. Exports of rubber products especially rubber gloves registered double-digit growth for two consecutive months, increasing 20.5 per cent or RM461 million in May 2020. The contraction of manufactured goods, which constituted 86.5 per cent of total exports, was due to lower exports of electrical and electronic (E&E) products, petroleum products, manufactures of metal, chemicals and chemical products as well as machinery, equipment and parts.
Malaysia’s current account to rebound in 2021
According to S&P Global Ratings, Malaysia’s current
account surplus which has backed the economy against its long-running fiscal
deficit, should recover to up to three per cent next year. But for 2020 the
surplus is expected to shrink to between 1.0 per cent and 2.0 per cent of the
country’s gross domestic product (GDP). This would be due to lower prices of
oil and gas and palm oil. The country’s current account balance reportedly came
in at 2.9 per cent of GDP for the year until the first quarter. The figure was
broadly steady from the average current account surplus of 2.7 per cent of GDP
in the preceding five years. Malaysia had for a long time been running on a
fiscal deficit but its economy was supported by an external account surplus. However,
the surplus has gradually come down over the years, and there was a bit of
correction due to the tumble of commodity prices in 2014 and 2015. Over the
past five years, Malaysia’s account surplus was averaging 2.0 per cent to 4.0
per cent of GDP. The rating agency expects oil prices to recover over the new
few years, and this will most likely lead to a gradual recovery in Malaysia’s
trade volume.
Malaysian Rating Corp Bhd has affirmed its foreign currency sovereign rating of AAA/stable for Malaysia under its national rating scale. It said the AAA rating reflects the country’s several credit strengths, including a competitive and well-diversified economy. Malaysia was, for example, positioned relatively high at number 27 in the 2019 edition of the World Economic Forum’s Global Competitiveness Index 4.0 rankings. It pointed out that Malaysia’s competitiveness has been evident in among other things, a persistent current account surplus, and consequently, a healthy external position. Due in part to this, as well as proactive and practical economic and monetary management, spill-overs from episodic financial market volatility into the real economy have been minimal. The rating agency said the key credit challenges included the disruptive Covid-19 pandemic and the recent crude oil price collapse. Not surprisingly, it said the pandemic was the most worrisome factor with still no vaccine to fight the coronavirus.
Short Selling suspension extended until year end
The Securities Commission Malaysia (SC) and Bursa Malaysia have extended the temporary suspension of short-selling till Dec 31 2020. In a joint statement, the market regulators said the scope of the suspension remains unchanged in that it applies to Intraday Short Selling (IDSS) and Regulated Short Selling (RSS) as well as intraday short selling by Proprietary Day Traders. Permitted Short Selling (PSS) is not affected by the temporary suspension of short selling as PSS is necessary for market makers to market make the relevant securities such as exchange-traded funds efficiently. The temporary suspension which began on March 24 was extended to June 30 and now to year-end is part of a slew of proactive measures to mitigate potential risks arising from heightened volatility and global uncertainties as a result of the Covid-19 pandemic.
Electricity bill discount period extended till December
The Energy and Natural Resources Minister, Datuk Shamsul
Anuar Nasarah, announced that domestic electricity users across Malaysia will
continue to enjoy discounts of up to 50 percent on their bill till Dec 31, 2020.
It is an extension to the previously announced April 1 – September 30 discount
period unveiled by Prime Minister on March 27 as part of the Prihatin Economic
Stimulus Package. The extension also applies to the 601-900kWh (per month)
energy usage and 10 percent discount under the Bantuan Prihatin Elektrik (BPE)
which was announced on June 20. The extension will benefit 7.66 million users
in peninsular Malaysia, while the 2 percent discount for users in East Malaysia
will benefit around 520,000 users in Sabah and 580,000 in Sarawak. He added
that in peninsular Malaysia, the extra three months of discounts amounting to
about RM392 million will be funded by Kumpulan Wang Industri Elektrik (KWIE),
while the Ministry of Finance has allocated about RM6 million for the discounts
to be enjoyed by domestic users in East Malaysia.
This week, on Thursday (2July), the Ringgit was 4.2860
against USD from 4.2850 on Monday (2July). Meanwhile, the Ringgit was 3.0755 to
the Sing Dollar on Thursday (2July).
On Monday (29Jun), the FBM KLCI gained 6.29 points higher or 0.42% to 1494.43 from previous Friday’s close of 1488.14. But as at Friday (3July) 10:00am, the FBM KLCI, following regional markets, was higher at 1541.62 from Monday, buoyed by Wall Street’s strong gains and NASDAQ’s all time high due to the massive 4.8million jobs rise in the US for June. But as at Friday (3July) 10:00am, the FBM KLCI was rose to 1541.62 from Monday, following regional markets optimism on business reopening globally and the yesterday US reported better than expected employment data report.
We are pleased to announce the launch of the ShareInvestor Educational Series to educate malaysian subscribers to our portal on how to make full use of the functionalities and features across our platforms.
Stay tuned as we update the contents with new and interesting topics each week.
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