Bursa closes higher as govt unveils special stimulus package
By FocusM |   |  Mainstream

BURSA Malaysia closed higher on Monday as the government unveiled a special stimulus package worth RM10 bil aimed at small and medium enterprises to soften the impact of the movement control order (MCO) due to the Covid-19 pandemic .

At 5pm, key index FTSE Bursa Malaysia KLCI (FBM KLCI) rose 11.04  points, or 0.83%, to close at 1,341.69 from 1,330.65 at Friday’s close.

The index opened 1.96 points firmer at 1,332.61 at 9am and hovered between 1,324.43 and 1,343.05 during the day.

Market breadth was positive, with gainers thumping losers 738 to 183, while 281 counters were unchanged, 719 untraded and 21 others suspended.

Turnover increased to 5.98 billion shares worth RM2.60 bil from 5.34 billion shares worth RM2.48 bil recorded on Friday.

In announcing the Prihatin Package for SMEs (Additional Measures), Prime Minister Tan Sri Muhyiddin Yassin said the stimulus package was vital for SMEs and micro-businesses which account for two-thirds of the country’s workforce and 40% of the economy.

Commenting on the initiative, Bank Islam chief economist Dr Mohd Afzanizam Abdul Rashid said it would help to alleviate the financial burden of those affected by the MCO.

“The loss of income is the immediate impact, so the government is trying to soften the impact,” he told Bernama.

He said the measures would result in more online spending via digital platforms and help to stimulate the economy, especially in the banking sector.

“The question now is how these financial aids are being delivered,” he said.

Meanwhile, of the Bursa Malaysia heavyweights, Maybank rose 25 sen to RM7.65, Tenaga added 18 sen to RM12.10, Public Bank improved 20 sen to RM15.90 and IHH was one sen higher at RM5.03.

Petronas Dagangan and Sime Darby Plantation were among the top losers after falling by 40 sen to RM20.10 and 12 sen to RM4.65, respectively.

Top gainers were led by Dutch Lady, which edged up 50 sen to RM43.50, followed by Panasonic Manufacturing Malaysia which increased 32 sen to RM26.98 and United Plantation which was 22 sen higher at RM24.92.

The most active counters’ list continued to be dominated by energy-linked stocks on speculation that the oil price war between Saudi Arabia and Russia would end.

Hibiscus Energy rose six sen to 51 sen, Sapura Energy ticked up one sen to 10.5 sen while Bumi Armada was also one sen better at 17.5 sen.

On the index board, the FBM Emas Index appreciated 99.81 points to 9,275.19, the FBMT 100 Index increased 88.52 points to 9,177.18 and the FBM Emas Shariah Index gained 80.60 points to 10,142.05.

The FBM 70 jumped 158.70 points to 10,868.76 and the FBM Ace advanced 152.82 points to 3,970.13.

Sector-wise, the Financial Services Index expanded 192.31 points to 12,244.30, the Industrial Products and Services Index edged up 0.70 of a point to 105.94 but the Plantation Index was 6.99 points weaker at 6,132.65.

Main Market volume narrowed to 4.56 billion shares valued at RM2.36 bil from 4.66 billion shares valued at RM2.33 bil recorded on Friday.

Warrants turnover, however, was higher at 391.84 million units worth RM94.73 mil from 296.16 million units worth RM70.81 mil last Friday.

Volume on the ACE Market rose to 1.02 billion shares valued at RM152.38 mil versus 383.85 million shares worth RM81.30 mil.

Consumer products and services accounted for 443.50 million shares traded on the Main Market, industrial products and services (514.28 million), construction (526.52 million), technology (319.95 million), SPAC (nil), financial services (56.76 million), property (332 million), plantations (138.05 million), REITs (9.85 million), closed/fund (9,200), energy (2.01 billion), healthcare (34.16 million), telecommunications and media (58.44 million), transportation and logistics (87.31 million), and utilities (29.42 million). -- April 6, 2020, Bernama

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