by DASHVEENJIT KAUR
The Malaysian equity market received RM328 million net in foreign inflows last week and was the only market in Asean to see fresh inflows in the period.
MIDF Research noted in a report yesterday that the inflows came despite investors being nervous about the ongoing tariff war between China and the US.
The RM328 million net purchase of Malaysian equities last week offset the RM301.3 million net disposal in the prior week.
“The first day of the second quarter of 2018 (2Q18) started off with an attrition worth RM40.6 million net last Monday, as investors were cautious regarding the timing of Malaysia’s 14th General Election (GE14),” the report stated.
The level of foreign attrition peaked last Wednesday at US$90.1 million (RM348.69 million) net, as investors digested China’s move to impose a tariff of 25% on US$50 billion worth of US products which hit sentiment on global markets.
“It is noteworthy that foreign investors still entered Malaysia at a higher pace of RM212 million net last Friday, despite threats by US President Donald Trump to slap US$100 billion in additional tariffs on China,” MIDF Research added.