KUALA LUMPUR, April 18 — The Bursa Malaysia key index is likely to trade with an upward bias next week, supported by improving global risk sentiment following signs of easing geopolitical tensions. 

IPPFA Sdn Bhd director of investment strategy and country economist Mohd Sedek Jantan said markets may begin to exhibit what is often described as the “all-time high syndrome”, driven by concerns of an imminent correction. 

“This often results in premature profit-taking or delayed risk deployment, which can temporarily cap upside momentum despite otherwise supportive fundamentals.

“As such, while global sentiment has improved, cross-border capital flows are likely to remain selective rather than broad-based,” he told Bernama.

On the domestic front, Mohd Sedek said markets are showing early signs of improvement, with the FBMKLCI having remained largely range-bound.

He said the sustained uptrend in FBM70 and small-cap indices over the past week suggests a broadening of market participation and a tentative return of risk appetite. 

“However, as the market strengthens and visibility improves, liquidity is expected to rotate back into large-cap names, providing a more durable foundation for the FBMKLCI to break out of its current range,” said Mohd Sedek.

For the week just ended, Bursa Malaysia traded mostly higher in line with regional peers.

On a Friday-to-Friday basis, the FBM KLCI rose 3.90 points to 1,695.21 from 1,691.31 a week earlier.

On the index board, the FBM Top 100 Index rose 91.55 points to 12,351.21, the FBM Emas Index garnered 105.51 points to 12,518.17, the FBM Emas Shariah Index recovered 158.73 points to 12,448.06, the FBM ACE Index jumped 169.67 points to 4,599.65, while the FBM Mid 70 Index surged 402.76 points to 17,723.73.

By sector, the Financial Services Index improved 30.01 points to 19,814.67, the Industrial Products and Services Index notched up 2.13 points to 188.04, and the Energy Index edged up 2.52 points to 815.77, while the Plantation Index slipped 38.59 points to 8,928.66.

The weekly turnover perked up to 16.35 billion units worth RM14.87 billion, from 15.14 billion units worth RM14.39 billion a week earlier.

The Main Market volume slipped to 8.97 billion units worth RM13.41 billion, from 9.44 billion units worth RM13.32 billion previously.

Warrants turnover inched up to 4.58 billion units valued at RM585.74 million against 4.28 billion units valued at RM529.01 million last week.

The ACE Market volume surged to 2.80 billion units, valued at RM873.03 million, from 1.40 billion units valued at RM544.66 million in the previous week. — Bernama