Foreign funds exit from Bursa, regional markets escalates amid Middle East conflict

FOREIGN investors extended their selling streak on Bursa Malaysia to a fifth week by posting a net outflow of -RM565.2 mil for the June 16-20 trading period which was slightly higher than the previous week’s net outflow of -RM444.4 mil.

They were net sellers on every trading session with outflows ranging from -RM52.5 mil to -M202.2 mil, according to MIDF Research.

“The largest outflow was recorded on Friday (June 20), followed by Monday with -RM130.3 mil,” observed the research house in its weekly fund flow report.

The three sectors that recorded the highest net foreign inflows were transportation & logistics (RM95.8 mil), REITs (RM38.4 mil) and Construction (RM28.9 mil).

On the other hand, the top three sectors with the highest net foreign outflows were financial services (-RM387.4 mil), healthcare (-RM110.0 mil) and industrial products & services (-RM52.9 mil).

On the contrary, local institutions extended their buying spree to a fifth week with net purchases of RM510.6 mil. Likewise, local retailers also returned to buying mode last week with a net inflow of RM54.7 mil to snap their two-week outflow streak.

The average daily trading volume (ADTV) saw a broad-based decline last week with the exception of foreign investors. Local institutions and local retailers saw a decline of -13.3% and -10.9% respectively while foreign investors saw a surge of +24.0%.

In comparison with another four Southeast Asian markets tracked by MIDF Research, all recorded outflows with the largest emanating from Thailand at -US$298.3 mil to end its single-week of net buying streak.

Indonesia came in second with a net outflow of -US$275.4 mil after a brief week of inflow while the Philippines posted a net outflow of -US$61.8 mil to extend its foreign selling streak to two weeks.

Vietnam posted the smallest outflow among the regional markets at -US$7.3 mil to end a one-week inflow streak.

The top three stocks with the highest net money inflow from foreign investors last week were Westports Holdings Bhd (RM86.5 mil, Tenaga Nasional  Bhd (RM74.0 mil) and Eco-Shop Marketing Bhd (RM42.5 mil), – June 23, 2025

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