Malaysia Morning Wrap | KLCI Falls on Pre-Holiday Selling Pressure and Geopolitical Tensions

Key Takeaways:

• U.S. Stocks Surge Over 1% as Oil Prices Drop on Trump's Iran Peace Talk Claims

• FBM KLCI Falls to 1,720.71 Amid Geopolitical Tensions and Holiday Jitters

• Malaysia's Exports Expected to Stay Resilient Amid Global Trade Uncertainties, Economists Say

• Stocks to watch: Yinson Holdings Bhd, Poh Kong Holdings Bhd, etc.

🇺🇸 Wall Street Summary

$S&P 500 Index (.SPX.US)$ 6581.00(+1.20%)

$Dow Jones Industrial Average (.DJI.US)$ 46,208.47(+1.40%)

$Nasdaq Composite Index (.IXIC.US)$ 21,946.76(+1.40%)

U.S. stock markets rallied on Monday, with the S&P 500, Dow Jones Industrial Average, and Nasdaq Composite each advancing more than 1%, buoyed by a decline in oil prices following President Donald Trump's statement that the U.S. and Iran had engaged in "productive" discussions aimed at ending the U.S.-Israel-Iran conflict.

Monday's steep decline in crude oil prices sparked a broad market rebound, with both technology and industrial stocks recovering from war-related losses. Leading the tech sector rally were $Broadcom (AVGO.US)$, which surged 4.1%, $Tesla (TSLA.US)$ up 3.5%, $Oracle (ORCL.US)$ gaining 3.1%, $Taiwan Semiconductor (TSM.US)$ climbing 2.8%, and $Amazon (AMZN.US)$ rising 2.3%.

🇲🇾 Bursa Market Insight

$FTSE Bursa Malaysia KLCI Index (.KLSE.MY)$ 1,720.71 (-0.53%)

Top Gainer: $PCHEM (5183.MY)$ RM5.480 (+11.84%)

Top Loser: $YTL (4677.MY)$ RM1.650 (-6.78%)

USD/MYR: $USD/MYR (USDMYR.FX)$ 3.9395(+0.00%)

Malaysia's benchmark FBM KLCI Index declined 0.53% on last Thursday, closing at 1,720.71 as selling pressure emerged ahead of the extended Hari Raya Aidilfitri holiday weekend. The index shed 9.1 points, briefly touching an intraday low of 1,719.93, weighed down by heightened US-Israeli tensions with Iran and rising crude oil prices. Losers outnumbered gainers 707 to 442, signalling continued selling pressure across the broader market.

Malaysia's export growth is expected to remain resilient despite geopolitical tensions and shifting US trade policies, supported by strong demand for electrical and electronics products, economists say. Data released last Thursday by the Department of Statistics Malaysia showed February exports rose 10.8% year-on-year to RM131.0 billion, slightly below the 12.2% growth forecast. Imports increased 8.2% to RM114.2 billion, delivering a trade surplus of RM16.7 billion, up 32.5% from a year earlier.

🔔 Stocks to Watch

$YINSON (7293.MY)$'s 4QFY2026 net profit plunged 64.5% y-o-y to RM228 million due to absence of one-off gains and tax credits, while revenue fell 34.7% to RM1.12 billion. The company declared a final dividend of 1 sen per share. Full-year net profit dropped 45.32% to RM683 million, with revenue declining 28.47% to RM5.44 billion.

$POHKONG (5080.MY)$'s 2QFY2026 net profit surged 60.6% y-o-y to RM47.54 million, fueled by strong demand for gold investment products amid rising global gold prices. Revenue increased 15% to RM528.84 million. No dividend was declared.

$CYPARK (5184.MY)$ posted its third consecutive quarterly net loss of RM17 million in 3QFY2026, compared to a RM8.76 million profit a year ago, mainly due to the absence of provision reversals and settlement income. Revenue rose 8.9% y-o-y to RM43.2 million. No dividend was declared.

$MAYBANK (1155.MY)$ has sold its entire 19.16% stake in Alam Maritim Resources on last Thursday, ceasing to be a substantial shareholder. The stake was acquired through a debt settlement scheme in September 2025.

$KENANGA (6483.MY)$ has increased its stake in digital asset exchange Kinetic DAX (KDX) to 81.7% from 19% through its unit Kenanga Private Equity, via a KDX fundraising and capitalization exercise. The investment value was not disclosed.

$PERDANA (7108.MY)$ has proposed a RM600 million share capital reduction to eliminate its RM195.36 million accumulated losses. The move aims to realign its share capital with its financial position and strengthen credibility with stakeholders.

$SORENTO (0326.MY)$, which listed on Bursa Malaysia's ACE Market in October 2024, has proposed transferring to the Main Market. The company said it meets transfer requirements, including profit track record, financial position and positive operating cash flow.

💡 Buy or Sell?

Source: Dow Jones Newswires, Bursa Malaysia, The Malaysian Reserve, The Star, The Edge.

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