Bursa ends higher on positive regional sentiment

Bursa Malaysia finished higher on Friday, mirroring gains in major Asian markets following a technology-driven rally on Wall Street. The index closed at 1,633.35, up 1.60 points from Monday's close of 1,631.75. The US 10-year Treasury yield climbed to 5.349%, its peak since 2002, and the 30-year yield peaked at 5.703%. Rakuten Trade Sdn Bhd's equity research VP Thong Pak Leng highlighted that Brent crude oil fell beneath $100 per barrel, aided by stable Middle East exports and the G7's emergency stockpile release.

Domestically, sectors like telecommunications and commodities saw buying interest, alongside small-cap technology, energy, and plantation stocks. While some blue chips may attract bargain hunters, cautious investors remain due to limited follow-through buying and high bond yields. The government's upcoming Budget 2027, focusing on sectors like semiconductors, AI, digitalization, energy transition, pharmaceuticals, logistics, and aerospace, may offer some support.

Over the coming week, the index is expected to stay in consolidation mode with a slight recovery bias, contingent on additional catalysts like Budget 2027, foreign fund flows, bond yields, and geopolitical events. The FBM KLCI is projected to trade within the 1,620-1,650 range for the week.