KUALA LUMPUR: Foreign investors continued to be net buyers of Malaysian equities in the week ended Feb 22, 2012 despite the general weakness on Bursa Malaysia, according to MIDF Equities Research.
It said on Monday foreign investors were net buyers for 11 weeks in a row. On a net basis, foreign investors bought net RM283mil in equities in the open market last week, compared with net RM437.2mil the week before.
"Foreign buying was slow for most part of the week (indeed they were selling on Wednesday), but the buying inexplicably surged on Friday. Foreign investors bought net RM184.9mil on Friday, the second highest in a day this Year of the Snake," it said.
MIDF Research said so far this year, foreign investors had already bought net RM3.7bil net of Malaysian equities compared with net RM13.7bil in 2012.
Local retail investors remained net sellers for the 12th consecutive week. Retail selling surged to net RM309mil last week, the third highest in a week since July last year.
"We reaffirm our expectation that retail bearishness will prevail until the General Elections. Their participation rate rebounded toRM482mil, still low in our definition.
"Local funds purchased a non-convincing net RM26mil net last week. Local institutions' support of the local market can be described as non-committal at current level of the KLCI," said the research house.
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