Trade Performance and Fund Flow Week Ended 14 February 2025
- The Emerging Market traded mixed last week, with most of the major economies rising and the Southeast Asian markets broadly moderating. The US reported a six-month high inflation rate of 3% in January following the increased prices in egg and energy. The Federal Reserve reiterated that the Central Bank has no intention of slashing the interest rate any time soon. Towards the end of the week, the US government announced a delay in implementing reciprocal tariffs until April, as a measure to rebalance trade relations. Overall, the MSCI Emerging Market Index closed in positive territory despite the net disposal of global funds in all the observed markets.
- Riding on the DeepSeek AI optimism, China’s stock markets continued to advance, with the SHCOMP and SZCOMP gaining 1.3% and 1.9% week-on-week (WoW). According to newsflows, hedge funds have been supporting Chinese equities due to the bullish outlook on AI-driven technology and hopes for additional economic stimulus.
- The FBMKLCI ended the four-day trading flat as cautious sentiment weighed on markets following hotter-than-expected US CPI data, which dampened expectations for the Fed’s interest rate easing cycle. Additionally, INARI and Genting Malaysia are set to be excluded from the MSCI EM Index effective on 3 March 2025 following the latest MSCI Quarterly Index review.
- It is also worth noting that Malaysia reported a solid GDP growth of 5.1% in 2024.
- Overall market capitalisation saw a slight decline from the previous week to RM2,000.81 bil,
Published Date
18 Feb 2025
Publisher
Bursa Digital Research
