FOREIGN investors remained net sellers in Bursa Malaysia for yet another week (Oct 19-23) but at a slower pace of RM214.4 mil, which cumulatively made them net sellers to the tune of RM479.5 mil for October.
According to MIDF Research, foreign investors’ net selling has reached RM22.81 bil year-to-date.
In comparison to three other Southeast Asian markets comprising Thailand, Indonesia and the Philippines, Indonesia experienced the biggest outflow at US$67.35 mil followed by Thailand (US$63.72 mil) while the Philippines posted a net inflow of US$470,000.
“In terms of retail participation, last week saw retailer turned net buyer with RM446.5 mil worth of equities while local institutions net sold RM232.1 mil during the same period.
“We believe that this suggest that retailers interest are starting to return,” noted the research house’s weekly fund flow report.
MIDF Research further observed that this was the second week where there was stronger net buying from retailers after three consecutive weeks as net sellers previously.
“This is a potential signal for the return of buying appetite for retailers with bargain hunting activities, renewed interest in glove stocks with the surge in COVID-19 cases against a volatile Malaysian political backdrop,” said the research house.
On a related development, last week also marks the reversal to net selling among local institutions after four consecutive weeks of them being net buyers in Bursa.
As a comparison, net buying amounted to RM11.6 bil came from retailers thus far in 2020, while institution bought to the tune of RM10.9 bil.
The top three stocks which generated the highest money inflow last week were Genting Bhd (RM5.44 mil) followed by MISC Bhd (RM1.99 bil) and Genting Plantations Bhd (RM1.82 mil).
In terms of money outflow, the top three stocks were Top Glove Corp Bhd with RM9.61 mil followed by Mah Sing Group Bhd (RM3.64 mil) and Dialog Group Bhd (RM2.29 mil). – Oct 26, 2020
