MIDF Research said in retrospect, foreigners offloaded -RM19.5bil and -RM6.9bil in 2015 and 2014 respectively.
KUALA LUMPUR: Foreign funds finally returned to Bursa Malaysia in the week ended July 8 after 10 successive weeks of selling, though only marginally, says MIDF Equities Research
It said on Monday foreigners turned net buyers last week despite the short trading week. Bursa was closed on Wednesday and Thursday for Hari Raya Puasa.
“Over the three trading days, foreign investors were net purchases +RM93.5mil on Bursa, after a negligible –RM1.4mil selling the week prior. The estimates are based on transactions in the open market which excluded off market deals,” it said.
MIDF Research said last week foreign net buying effectively lifted the cumulative net foreign fund flow thus far this year into shares listed on Bursa from the negative territory.
As of last Friday, the year-to-date cumulative flow into Bursa was +RM58.4mil, up from -RM35.1mil the week prior. In retrospect, foreigners had offloaded -RM19.5bil and -RM6.9bil in 2015 and 2014 respectively.
“Despite the intermittent trading days last week, foreign participation rate managed to edge up to RM906.5mil from prior week’s RM811.7mil. It was the first time it rose above the RM900m level after one after one month of moderate trading at less than RM900mil,” it said.
MIDF Research said local institutions sold -RM87mil on Bursa last week, their first net selling in 11 weeks. Meanwhile, its participation rate fell further to RM1.41bil from prior week’s RM1.76bil, amid the short trading week.
Retail buyers continued to be net sellers for the third week in a row. They sold marginally at –RM6.5mil. Their participation rate slowed down to RM384.8mil.
