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Foreign Buying Continues to Lift KLCI
Thu, 12-Feb-2026 07:40 am
by Research Team • Apex Research

Market Review & Outlook

Malaysia Market Review: Late session buying propelled the FBM KLCI to close 0.51% higher, as foreign investors recorded a fourth consecutive day of net inflows. Market breadth was slightly positive, with 584 advancers outpacing 467 decliners. Sector-wise, Energy (+0.75%), Finance (+0.73%) and Industrial Products (+0.68%) led gains while Construction (-0.38%), Telco & Media (-0.23%) and Technology (-0.09%) were the main laggards.

 

Global Markets. Wall Street closed largely flat on Wednesday, with the Nasdaq edging down 0.16%, the Dow Jones slipping 0.13%, while the S&P 500 ended unchanged. A stronger-than-expected January jobs report initially bolstered sentiment, as nonfarm payrolls rose by 130k and the unemployment rate fell to 4.3%. However, these gains were overshadowed by substantial downward revisions to 2025 data, which revealed significantly weaker employment growth than previously estimated. This underlying softness in the labour market has reinforced the case for the Federal Reserve to maintain interest rates at their current levels. In Europe, the STOXX 600 rose 0.10% as top U.K. lawmakers rallied around Prime Minister Keir Starmer after he defied calls to resign. Asian markets closed mixed with Indonesia’s JCI (+1.96%) and Hang Seng Index (+0.31%) ending in positive territory, while Shenzhen Composite Index (-0.35%) traded lower.

 

Market Outlook. The FBM KLCI is expected to trade with a modest downward bias today as fragile market sentiment persists amid heightened external volatility and policy uncertainty. Downside pressure likely remains contained by the resilient domestic labour market, where the unemployment rate continues to hold at an 11-year low. Investor focus is now centered on a series of critical U.S. economic data points, including initial jobless claims and existing home sales, which are expected to offer further clarity on the monetary policy trajectory. Meanwhile, continued foreign inflows and rotation into Asian markets should help cushion weakness, underpinning demand for large-cap defensives and earnings-visible names, particularly in the financials, utilities and selective technology stocks.

 

Sector focus.We favour the consumer sector, supported by ringgit strength that should ease imported cost pressures, alongside a tourism rebound under Visit Malaysia 2026 that is expected to lift domestic spending. Meanwhile, the banking and REITs sector remains favourable for its stable earnings visibility and attractive dividend yields.

 

FBMKLCI Technical Outlook

Technical Commentary: The FBM KLCI closed higher with a bullish marubozu candlestick, suggesting a buying interest. Indicators remained mixed, with the MACD line trading below the signal line while the RSI remained above 50. The next resistance is located at 1,775, while support is envisaged around 1,725.     

Company News (source: various)

CelcomDigi Bhd’s net profit for the fourth quarter ended Dec 31, 2025 (4QFY2025) more than doubled to RM349.59 million from RM158.28 million a year earlier, thanks to lower depreciation, amortisation and impairment charges.

 

Heineken Malaysia Bhd’s net profit for 4QFY2025 rose 0.28% to RM141.25 million from RM140.85 million a year earlier, as higher topline was offset by higher taxes booked in the quarter. 

 

Carlsberg Brewery Malaysia Bhd’s net profit for 4QFY2025 rose 22% to RM96.16 million from RM78.8 million a year earlier, on lower operating expenses.

 

Dialog Group Bhd swung to a net profit of RM137.74 million for the second quarter ended Dec 31, 2025 (2QFY2026), as compared to a net loss of RM129.49 million a year earlier, on the back of healthy tank storage occupancy coupled with favourable forex movements. 

 

Dayang Enterprise Holdings Bhd’s net profit for 4QFY2025 more than doubled to RM36.92 million from RM16.81 million a year earlier, aided by foreign exchange gains.

 

Its 64%-owned Perdana Petroleum Bhd turned to a net loss of RM1.81 million in 4QFY2025, reversing a net profit of RM29.55 million a year earlier, from the absence of third-party vessel chartering.

 

Taliworks Corporation Bhd’s net profit for 4QFY2025 dropped 13.7% to RM14.56 million from RM16.87 million a year earlier, partly due to foreign exchange losses and a higher share of loss from an associate company. 

 

Axis Real Estate Investment Trust’s property Wisma Kemajuan has been partially damaged by a fire incident that occurred at an adjacent furniture factory in Sea Park.

 

Mayu Global Group Bhd’s 80%-owned unit, Sunrise Manner Sdn Bhd, has been compounded by the Royal Malaysia Police for RM24 million for an undisclosed offence.

 

Sentiment: Negative
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Market Mover
Settlement Rates
Currency Buy Rates (RM) Sell Rates (RM)
USD 3.898452 3.929885
EUR 4.662119 4.667187
CNY 0.566219 0.566835
HKD 0.498854 0.502420
SGD 3.090389 3.112379