Thursday 28 Mar 2024
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KUALA LUMPUR (May 9): Foreign investors returned to being net sellers of Malaysian equities after being net buyers for a brief two weeks, offloading RM365.71 million last week from a net inflow of RM131.19 million the prior week.

In its weekly fund flow report on Monday (May 9), the MIDF research team said that due to the Hari Raya Aidilfitri festivities and the Labour Day replacement holiday, there were only two trading days last week — Thursday and Friday.

It said local retailers remained net buyers for the fourth consecutive week at RM202.8 million while local institutions snapped their net selling streak for 12 weeks with a net buying position of RM162.9 million last week.

“To date, international funds have been net buyers for 14 out of the 18 weeks of 2022, with a total net inflow of RM6.92 billion.

“They were net sellers on both trading days, RM143.1 million on Thursday and RM222.6 million on Friday,” it said.

MIDF said local institutions were net buyers on both days, logging RM71.9 million on Thursday and RM91.1 million on Friday.

It said they have been net sellers for 15 out of 18 weeks this year, adding that to date, they have sold RM7.8 billion of equities.

The research house said local retailers were also net buyers on both trading days, recording RM71.3 million on Thursday and RM131.5 million on Friday.

It said that year-to-date, local retailers have been net buyers at RM875.5 million.

“In terms of participation, foreign investors saw an increase in the average daily trade value (ADTV) by 63.18%.

“Local retailers saw an increase of 4.29% while local institutions saw a decline of 9.14%,” it said.

Commenting on global markets, MIDF said volatility was the major theme last week, sending major equity indexes into a bloodbath as investors’ sentiments were swayed by inflationary fears and concerns over the need for a more aggressive monetary policy tightening by the Federal Reserve.

It said the Dow Jones Industrial Average (INDU) was down for the sixth consecutive week while the S&P500 and the tech-heavy Nasdaq Composite Index both suffered five straight weeks of losses.

“The INDU declined 0.24% while the S&P500 and Nasdaq lost 0.21% and 1.54% respectively.

“Out of the 16 indexes we track (excluding Nasdaq), 13 were decliners for the week, with the worst performer being the Hang Seng Index, CAC Index and SENSEX Index,” it said.

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