KUALA LUMPUR: The FBM KLCI ended largely unchanged on Friday as a stronger US dollar pushed the ringgit to a seven-month low, offsetting support from upbeat trade and inflation data.
The FBM KLCI was little changed, up 0.64 of a point, or 0.04%, to 1,712.03, its intraday high. The benchmark index gained 1.7% for the week.
Losers outpaced gainers 525 to 491, while 547 counters were unchanged. About 3.45 billion shares, valued at RM3.8bil, changed hands.
A dealer said the local market was supported by encouraging trade and inflation data, but gains were capped by a stronger US dollar and continued foreign fund outflows.
The dealer added that investors are likely to remain cautious in the near term amid expectations of further US rate hikes and weakness in regional currencies, including the ringgit.
Earlier, the Department of Statistics Malaysia reported that the country's inflation rate edged up to 2.0% in May, driven by higher communication, food and housing costs, with Pahang recording the highest state inflation rate.
Malaysia's trade posted its fastest growth in 44 months in May, with exports hitting a record RM184bil and the trade surplus widening to an all-time high of RM40.38bil.
Meanwhile, Bursa Malaysia data showed that foreign investors were net sellers on Thursday, with net outflows amounting to RM72mil.
Local institutions and retail investors were net buyers, purchasing RM10mil and RM63mil worth of equities, respectively.
In the foreign exchange market, the ringgit weakened 0.44% against the US dollar to 4.1350, its lowest level in about seven months since November 2025.
The local currency also edged down 0.41% against the Singapore dollar to 3.2049.
Most Asian currencies weakened as the US dollar climbed to a 13-month high after the Federal Reserve struck a hawkish tone.
Investors also raised bets on further rate hikes this year after Fed Chair Kevin Warsh pledged to keep inflation under control.
MSCI's Asia ex-Japan index fell 0.41%, while regional bourses closed mixed, with gains in Japan and Taiwan offset by declines in South Korea and Singapore.
Japan’s Nikkei 225 closed up 0.29% to 71,250.06, while South Korea’s Kospi fell 0.13% to 9,052.42.
Taiwan’s Taiex rose 1.28% to 46,465.20, while Singapore’s Straits Times Index declined 0.59% to 5,182.21.
Markets in Hong Kong and China were closed for a holiday.
On Bursa Malaysia, Malaysian Pacific Industries
emerged as the top gainer, surging RM1.34 to RM49.90. It was followed by Nestle, up RM1.08 to RM96.22, United Plantations, which advanced 86 sen to RM32.66, and PPB, which added 82 sen to RM10.12.
Among the decliners, Allianz-PA fell 30 sen to RM21.60, Ajinomoto lost 16 sen to RM15.20, CIMB eased 13 sen to RM7.65, and Ralco declined 13 sen to 90 sen.
