MIDF Research said in retrospect, foreigners offloaded -RM19.5bil and -RM6.9bil in 2015 and 2014 respectively.
KUALA LUMPUR: Foreign fund selling on Bursa Malaysia fell to RM82.9mil in the week ended Oct 6 compared with the near RM1bil a week earlier, says MIDF Equities Research.
It said on Monday the selling was the third straight week but this was at a relatively smaller pace.
Foreign investors were net sellers on every single day of the week except on Tuesday as foreigners bought RM82.2mil net which coincided with the FBM KLCI’s 0.28% advance to 1,761 after four days of staying below the 1,760 level.
Interestingly, local institutions cashed in gains the same day, selling off -RM60mil net, ending their 11-day buying binge.
“Overall, the slowdown in foreign sales of Malaysian stocks last week could be attributable to the spillover effect from record gains in Wall Street as President Trump’s tax plan makes progress,” it said.
MIDF Research said the cumulative net inflow so far this year into shares listed on Bursa was slightly pulled down to RM9.53bil from RM9.61bil in the week before.
“Although the number of weekly attritions has reached 11, the year-to-date infl ow still offsets approximately 30% of the net outfl ows recorded in the past three years,” it said.
IOI Corp registered the highest net money inflow of RM18.72mil last week. Its share price however lagged as it ended unchanged against the FBM KLCI which gained 0.48%.
CIMB Group
recorded the second highest net money infl ow of RM14.79m. Nevertheless, its share price outperformed against the market benchmark with a 1.75% gain during the review week.
Public Bank saw the largest net money outflow of –RM19.51mil last week. Its share price also slightly outperformed the market benchmark with a 0.59% weekly gain.
“The net money outflow amidst advancing share price indicates a sell on strength (SOS) stance among investors,” it said.
MIDF Research said Tenaga Nasional recorded the second largest net money outfl ow of -RM15.21mil during the week under review. Its share price underperformed the KLCI with a 0.42% loss for the week.
Limited time offer:
Just RM5 per month.
