Bursa Review: FBM KLCI Ends Stronger On Upbeat Sentiment, Climbs 1.44% For The Week
06/07/2025 (Business Today) - Bursa Malaysia ended the first trading week of July on a positive note, buoyed by improved global sentiment and broad-based gains across key sectors. The benchmark FTSE Bursa Malaysia KLCI (FBM KLCI) rose 22.03 points, or 1.44%, to close at 1,550.19, up from 1,528.16 the previous week.
The rally was driven by renewed risk appetite following stronger-than-expected US labour data, which lifted investor confidence across regional markets. The positive momentum was further supported by robust domestic interest in key blue-chip counters.
Plantation stocks led the charge, gaining nearly 120 points on the back of falling palm oil inventories and resilient export demand. Financials also posted solid gains, contributing over 54 points to the index, reflecting improved performance in the banking and insurance sectors. The energy sector inched higher as crude oil prices steadied, supported by geopolitical tensions and a surprise drop in US inventories.
Market participation surged, with total weekly volume rising to 17.25 billion shares worth RM12.62 billion, reflecting growing investor engagement. Gains were broad-based, with strong activity observed in both the Main Market and ACE Market.
Looking ahead, investors are expected to tread cautiously ahead of a key US tariff decision due on July 9, which could introduce fresh volatility. Nonetheless, technical indicators remain bullish, with the index supported by healthy volume, momentum crossovers and a positive relative strength index.
Analysts anticipate the FBM KLCI to trade between the 1,530 and 1,560 range this week, with a slight upward bias should external risks remain contained.
Bottomline: Bursa Malaysia delivered a strong weekly performance, bolstered by global tailwinds and sectoral resilience. While short-term caution remains, the underlying market momentum suggests continued strength in the near term.