KUALA LUMPUR: Bursa Malaysia closed below the psychological 1,700 level for the first time since Jan 20, with more than 900 stocks declining as investors turned risk-off amid the escalating Middle East conflict.
The FBM KLCI closed down 13.73 points, or 0.8%, to 1,698.22, its lowest since Jan 20. All indices on Bursa Malaysia ended in the red.
Decliners outpaced advancers, with 945 stocks ending lower versus 257 gainers, about four stocks down for every one up. Turnover stood at 3.51 billion shares valued at RM3.8bil.
A dealer said investor sentiment remained cautious as the escalating Middle East conflict prompted risk-off positioning, with investors trimming exposure to equities amid heightened geopolitical uncertainty.
Among the decliners, Heineken slid 90 sen to RM22.80, Allianz-PA dipped 64 sen to RM21.56, Nestle lost 50 sen to RM107 and Allianz declined 38 sen to RM21.36.
On the other hand, United Plantations rose 60 sen to RM30.20, PPB Group added 30 sen to RM10.90, Hengyuan climbed 19 sen to RM1.54 and Malaysian Pacific Industries
gained eight sen to RM30.50.
Meanwhile, oil prices rose about 3% as the U.S.-Israeli war with Iran disrupted Middle East supplies, although gains eased after President Donald Trump suggested the U.S. Navy could escort vessels through the Strait of Hormuz.
Brent crude rose US$2.96, or 3.64%, to US$84.37 a barrel while US West Texas Intermediate crude was at US$77.17 per barrel, up US$2.61 or 3.5%.
Around the region, MSCI’s Asia ex-Japan index fell 4.35%, with most regional bourses extending their downtrend.
South Korean shares sank 12% on Wednesday, posting the biggest drop in their 46-year history and wiping half a trillion dollars in value just this week, Reuters reported.
The benchmark KOSPI fell 698.37 points, or 12.06%, to close at 5,093.54.
Japan’s Nikkei 225 closed down 3.61% at 54,245.54 while Hong Kong’s Hang Seng lost 2.01% to 25,249.48.
China’s CSI300 Index fell 1.14% to 4,602.62, and the Shanghai Composite Index declined 0.98% to 4,082.47.
