THE trend of foreign fund outflow continued on Bursa Malaysia for the fourth consecutive week with foreign investors net sold -RM320.3 mil of Malaysian equities last week.
This was at an accelerated pace from the -RM61.5 mil net outflow the previous week, according to MIDF Research.
“Foreign investors were net sellers for the whole week except on Tuesday (June 28) when they net bought RM17.2 mil,” observed the research house in its weekly fund flow report. “The heaviest outflow occurred on Thursday (June 30) at -RM196.3 mil.”
Meanwhile, local institutions turned net buyers for the week at RM182.7 mil after having net sold -RM7.9 mil of equities the previous week.
They were net sellers on Monday (June 27) and Tuesday (June 28) at -RM11.9 mil and -RM29.6 mil respectively before turning net buyers on Wednesday (June 29) and Thursday (June 30) at RM69.7 mil and RM167.4 mil respectively. However, they then net sold again at a rate of RM12.9 mil on Friday (July 1).
Local retailers, too, maintained their net buying spree for the fourth week by mopping up RM137.5 mil worth of equities. They were net buyers throughout the entire week, the highest being on Monday (June 27) amounting to RM44.6 mil.
To date, international funds have been net buyers for 17 out of the 26 weeks of 2022 with a total net inflow of RM6.07 bil.
In contrast, local institutions were net sellers for 20 out of 26 weeks with a total net outflow of RM7.81 bil while local retailers have been net buyers for 17 out of 26 weeks of 2022. Year-to-date (YTD), they have been net buyers at RM1.74 bil.
In terms of the sectors, Industrial Products and Services, Technology and Energy saw the highest net outflow by foreigners last week with -RM124.6 mil, -RM83 mil and -RM60.1 mil respectively. The biggest net buying by foreigners was Utilities with RM19.6 mil.
In terms of participation, there was a growth in average daily trade value (ADTV) among foreign investors by +10.14%. Both retail investors and institutional investors saw declines in ADTV for the week by -7.56% and -13.85% respectively.
In comparison with another three Southeast Asian markets tracked by MIDF Research last week, Thailand was the only market which posted an inflow with US$71.07 mil while Indonesia had the highest outflow at US$266.27 mil followed by Malaysia (US$72.69 mil) and the Philippines (US$41.21 mil).
The top three stocks with the highest net money inflow last week were Petronas Chemicals Group Bhd (RM2.48 mil) followed by Westports Holdings Bhd (RM1.71 mil) and Nestle (M) Bhd (RM1.28 mil). – July 4, 2022
