KUALA LUMPUR: The FBM KLCI continued its retreat as analysts noted the lack of any resolution on trade restrictions following the Trump-Xi summit.
“We expect market sentiment to remain cautious in the near term following the Trump–Xi summit, which concluded without any meaningful breakthrough on key issues such as trade tariffs, semiconductor restrictions, and the ongoing Strait of Hormuz crisis.
“While both leaders reiterated the importance of keeping the strait open to support global energy flows, investors were disappointed by the lack of concrete policy progress, particularly on AI chip restrictions, Iran-related tensions, and broader trade cooperation,” Apex Securities said in a note.
The research firm said it expects technology stocks to remain in focus following the semiconductor-led sell-off after the Trump-Xi summit failed to deliver meaningful progress on AI chip restrictions and trade cooperation.
“Nonetheless, the broader supply-chain diversification trend and the ‘China+1’ strategy remain supportive of Malaysia’s longer-term technology and EMS ecosystem,” it added.
At 9.15am, the FBM KLCI was down 3.72 points to 1,736.50, extending its losing streak amid weakening risk appetite for equities.
MPI dropped RM1.12 to RM42.98, Kuala Lumpur Kepong fell 26 sen to RM20.06, and SAM Engineering slid 19 sen to RM4.51.
Kelington slumped 18 sen to RM6.78, while IGB REIT lost 17 sen to RM2.99.
Among active stocks, GIIB gained one sen to 30 sen, VS Industry lost 0.5 sen to 20 sen, and Top Glove rose 2.5 sen to 80.5 sen.
