KUALA LUMPUR, July 18 — Bursa Malaysia continued to see foreign fund outflow last week, making it the sixth consecutive week, but its value reduced to RM28 million during the shortened trading week due to Aidiladha replacement holiday on Monday as compared with net outflow of RM120.55 million in the previous week.
In its weekly Fund Flow Report today, MIDF Research, which is part of MIDF Amanah Investment Bank Bhd, said foreigners were net buyers on Tuesday and Thursday at RM21.9 million and RM49.6 million, respectively, cushioning the outflows of RM81.9 million on Wednesday and RM17.6 million on Friday.
“Local institutions turned net sellers again at a rate of RM25.1 million after net buying for a brief two weeks. They were net sellers of RM60.4 million on Tuesday and RM48.5 million on Thursday, which was softened by net buys on Wednesday and Friday valued at RM47.9 million and RM36 million, respectively.
“Local retailers maintained their net buying spree for the sixth week, totalling RM53.1 million. They bought RM72.5 million net on Tuesday and Wednesday before net selling worth RM19.5 million over the next two days,” it said.
MIDF Research said to-date, international funds were net buyers for 17 out of the 28 weeks in 2022, with a total net inflow of RM5.94 billion, while local institutions were net sellers for 21 out of 28 weeks with a total net outflow of RM7.84 million.
Local retailers were net buyers for 19 out of 28 weeks of 2022. Year-to-date, they have been net buyers at RM1.9 billion.
In terms of participation, there was a decline in the average daily trade value (ADTV) among all investor classes. Retail investor saw a decline of 26.26 per cent while the ADTV for institutional and foreign investors decreased by 25.51 per cent and 25.94 per cent, respectively.
On a sectoral basis, the research house said the top three sectors which saw net outflows by foreign investors were industrial products and services (RM51.7 million), technology (RM40.4 million) and plantation (RM22.3 million).
“Meanwhile, the top three sectors with net inflows were healthcare, financial services and consumer products and services with RM71.7 million, RM35.5 million and RM16.6 million respectively,” it added.
Globally, MIDF Research said global markets were hit by gloomy sentiments last week, reversing the rally seen in the previous week as inflation jitters returned to spook investors with a 41-year high consumer price index (CPI) in the US, on top of disappointing second-quarter US corporate earnings thus far, as announced last week.
“Benchmark indices on Wall Street pared part of the gains it made in the previous week amidst the negativities, pushing the S&P500 lower by 0.93 per cent for the week to finish at 3,863.16 points while the Dow Jones Industrial Average inched lower by 0.16 per cent to 31,286.02 points.
The Nasdaq Composite took a bigger hit of 1.57 per cent to 11,452.42 points.
MIDF Research also reported that out of the 16 major indices that it tracked, 13 were in the red, with Hong Kong’s Hang Seng Index at the very bottom after tanking 6.57 per cent.
China’s CSI 300 lost 4.07 per cent while the Philippines Stock Exchange Index retreated 2.62 per cent.
“The only three advancers for the week were Japan’s Nikkei 225, Taiwan’s TAIEX and France’s CAC40, which were up 1.02 per cent, 0.60 per cent and 0.05 per cent respectively,” it said. — Bernama
