3rd week of sustainable buying on Bursa as foreign funds rake in a further RM172m of net inflow

FOREIGN investors sustained their position as net buyers on Bursa Malaysia for the third consecutive week with an inflow of RM172.4 mil last week or a significantly moderated rate compared to the previous week’s RM676.7 mil.

The market was closed on Monday (Nov 13) in observance of Deepavali.

“Wednesday (Nov 15) recorded the highest daily foreign inflow at RM191.9 mil. On this day, stocks with the highest net buy amounts were Genting Bhd (RM23.9 mil), PPB Group Bhd  (RM19.7 mil) and YTL Power Bhd (RM14.9 mil),” observed MIDF Research in its weekly fund flow report.

“The other net inflow day was on Thursday (Nov 16) which saw an inflow of RM43.7 mil. However, we saw a reversal on Friday (Nov 17) with a net outflow of -RM58.2 mi.”

The top three sectors with the highest net foreign inflows were utilities (RM115.2 mil), healthcare (RM63.5 mil) and transportation & logistics (RM51.9 mil) while the top three sectors with the highest net foreign outflows were industrial products & services (-RM41.6 mil), consumer products & services (-RM31.0 mil) and technology (-RM30.8 mil).

On the contrary, local institutions posted net sales of -RM95.6 mil last week, marking the third consecutive week of net selling.

Net selling occurred on every trading day of the week except on Friday (Nov 17) when Bank Negara Malaysia (BNM) reported that Malaysia’s GDP grew by +3.3% year-on-year (yoy) in 3Q 2023.

Likewise, local retailers also continued their net selling streak for the sixth consecutive week with net sales amounting to RM76.8 mil. Only Tuesday (Nov 14) and Friday (Nov 17) recorded inflows of RM22.8 mil and RM3.2 mil respectively.

In terms of participation, there were increases in average daily trading volume (ADTV) among local retailers by +3.6% and foreign investors by +3.3% but a decline of -7.4% among local institutions.

In comparison with another four Southeast Asian markets tracked by MIDF Research, both Thailand and Indonesia recorded a net inflow of US$55.5 mil and US$45.7 mil respectively after four weeks of net selling in both markets.

However, Vietnam witnessed net foreign outflow for the second consecutive week which amounted to -US$55.3 mil while the Philippines posted a net outflow of -US$1.8 mil after having recorded a net buying activity in the previous week.

The top three stocks with the highest net money inflow from foreign investors last week were MISC Bhd (RM61.9 mil), YTL Power International Bhd (RM33.0 mil) and YTL Corp Bhd (RM30.6 mil). – Nov 20, 2023

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