Foreign selling on Bursa Malaysia slowed to RM714.7mil last week


  • Markets
  • Wednesday, 27 May 2020

KUALA LUMPUR: Foreign selling of Malaysian equities slowed down to RM714.7mil last week against RM843.2mil in the preceding week, according to MIDF Research.

“In comparison to its other six Asian peers that we monitor, Malaysia remains as the nation with the third smallest foreign net outflow on a year-to-date basis after Indonesia and the Philippines.

“Foreign investors have so far taken out RM12.6bil net of local equities from Malaysia,” MIDF said.

The research house said Bursa began the week with a foreign net outflow of RM122.3mil on Monday.

Meanwhile, trading volume on Bursa reached another record high of 11.2 billion shares on the same day supported by trading in oil and gas and infrastructure-related stocks on the back of strong energy prices and the prospects of a restart of mega-projects.

The level of foreign net selling declined slightly to RM93.8mil on Tuesday sparked positive Covid-19 vaccine trial results by drugmaker, Moderna.

MIDF said the 10-day foreign net selling spree was snapped on Wednesday as foreign funds snapped up RM0.7mil net of local equities.

However, the foreign net inflow was short-lived as foreign investors were back in selling mode at a tune of RM178.9mil on Thursday.

Foreign net selling surged to RM320.3mil, the highest during the week as investors anticipated an escalation of U.S-China tensions after Beijing effectively proposed that China security laws be applied inside Hong Kong.

In terms of participation, MIDF said only foreign investors saw a weekly drop in their average daily traded value (ADTV). Foreign investors recorded a weekly decline in ADTV of 0.4% to remain above the healthy RM1bil mark.

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Bursa Malaysia , fund flow , MIDF

   

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