KUALA LUMPUR: Heightened volatility in global markets is expected to weigh on investor sentiment, potentially leading Bursa Malaysia into an uncertain trend this week, as tariff-related tensions between the United States and China remain unresolved.
Rakuten Trade Sdn Bhd equity research vice-president Thong Pak Leng noted that the local bourse is likely to continue experiencing choppy trading, mirroring the fluctuations seen over the past week.
“US President Donald Trump’s move to escalate his standoff with China is expected to heighten tensions and put further pressure on the global economic outlook,” he told Bernama.
Meanwhile, SPI Asset Management managing partner Stephen Innes said that despite the tariff walk-back, Malaysia’s close economic ties to China – the primary target of US trade pressure – continue to expose the country to downside risk.
“Even with a 90-day tariff moratorium in place, we’re entering a fog of uncertainty. Expect the market to remain range-bound and highly sensitive to headlines,” he said.
Bursa Malaysia traded in a yo-yo pattern last week, as tariff-related announcements kept market sentiment jittery, mirroring the volatility seen on Wall Street, where major indices swung between gains and losses.
