KLCI: Foreign investors stay net buyers for 5th consecutive week

FOREIGN investors continued to net buy equities on Bursa Malaysia, with a net inflow of RM786.1 million, marking the fifth consecutive week of net purchases.

The amount was 2.2 times higher than the net inflow amount of RM352.9 million the week before, according to a fund flow report tracked by MIDF Research.

In a report released today, it said similar to the previous week, foreign investors net bought every day.

“The net buying streak has gone on for 16 consecutive trading days, something not seen since February 2022,” it said.

As opposed to foreign investors, it said local institutions continued their trend of net selling domestic equities for the fifth consecutive week, totalling RM596.6 million, 2.1 times higher than the week before.

The FTSE Bursa Malaysia KLCI (FBM KLCI) concluded last week positively, aligning with global markets buoyed by artificial intelligence-driven optimism, according to Kenanga Research.

Despite lacklustre excitement from the ongoing fourth quarter of calendar year 2023 (4QCY23) corporate earnings, it said the index rose most of the time last week, finishing up 15.56 points or 1.01% at 1,549.11, solidly above its critical 200-month simple moving average (SMA) of 1,548.

In a note released today, it said technically, the FBM KLCI’s long-term bullish outlook was reinforced by its position above the significant 1,510 level, aligning with its 200-week SMA, crucial for maintaining its positive trajectory.

Despite expecting increased volatility during the peak of the 4Q earnings season, the 1,510-support level should remain robust, it added. — TMR / pic credit: MEDIA MULIA