Bursa likely to trend higher next week, expected to breach 1,500 level
KUALA LUMPUR (Sept 10): Bursa Malaysia is likely to trend higher next week, with the FTSE Bursa Malaysia KLCI (FBM KLCI) expected to break the 1,500 mark due to the optimism that there will not be a global recession. Hence, he reckoned the FBM KLCI to trend within the 1,500 to 1,530 range for next week. Weekly turnover widened to 11.39 billion worth RM7.86 billion from 9.43 billion worth RM7.9 billion in the previous week. The Main Market volume was higher at 7.01 billion units worth RM6.29 billion from 5.58 billion shares valued at RM6.65 billion in the previous week. The ACE Market volume firmed to 3.07 billion shares valued at RM1.36 billion from 2.64 billion shares valued at RM1.05 billion the week before.
Source:The Edge Markets
September 10, 2022 14:12 UTC
My Say: From carbon ambition to delivery in Malaysia
Executives are trying to pursue their decarbonisation targets during a period of turbulence that has created historic levels of uncertainty and numerous difficulties. They are grappling with ways to make an orderly carbon transition amid an unsettling geopolitical atmosphere, chronic supply chain disruptions and rampant inflation. To translate ambition into delivery, leaders will need to adopt a mindset that we call visionary pragmatism. Companies need to demonstrate progress in everything from Scope 1 and 2 decarbonisation to customer collaboration on green products and meaningful portfolio shifts. Decarbonise customer-backIn many sectors, the bulk of emissions happen when customers use the products that companies sell (downstream Scope 3 emissions).
Source:The Edge Markets
September 10, 2022 09:31 UTC
Interim liquidator appointed to take control of Sapura Energy’s unit
KUALA LUMPUR (Sept 9): Sapura Energy Bhd said Lim San Peen has been appointed as its wholly owned subsidiary Sapura Project Services Sdn Bhd’s (SPSSB) interim liquidator under the order of the Shah Alam High Court. This is in connection with the winding-up petition filed against it due to non-payment of an outstanding sum. According to Sapura Energy’s bourse filing on Friday, the company and its subsidiaries had filed for the appointment of the interim liquidator of SPSSB on May 13, pending the hearing of the winding-up petition scheduled for Sept 14. It added that the appointment of the interim liquidator does not bear an immediate financial and operational impact on Sapura Energy, and will not affect the progress of the company’s restructuring plan. Shares in Sapura Energy closed half a sen or 12.5% higher at 4.5 sen, giving it a market capitalisation of RM719.06 million.
Source:The Edge Markets
September 10, 2022 04:58 UTC
My Say: Don’t kill share buybacks
Share buybacks are wrongfully under attack. Critics of share buybacks claim that these transactions — which involve a company purchasing its own stock from shareholders — divert resources away from employees, investments and R&D. The myth of price manipulationPoliticians claim that companies use share buybacks to manipulate stock prices, permitting executives to unload shares at inflated prices. Can companies actually manipulate prices with share buybacks? Finally, if companies are manipulating stock prices through buybacks, then prices should revert in the long run.
Source:The Edge Markets
September 09, 2022 03:33 UTC
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Bank Negara raises OPR by 25bps to 2.5%, as expected
KUALA LUMPUR (Sept 8): Bank Negara Malaysia (BNM)’s Monetary Policy Committee (MPC) has raised its overnight policy rate (OPR) by 25 basis points (bps) to 2.5% on Thursday (Sept 8), in line with expectations for further normalisation of monetary policy as the country’s economic growth and inflation gain momentum. At the current OPR level, the stance of monetary policy continues to remain accommodative and supportive of economic growth,” it said. Nevertheless, the central bank said external demand is expected to moderate following softening global growth. Further, the increased volatility expected in the global financial and foreign exchange markets is not expected to derail Malaysia's growth, it said. “Global growth is expected to face challenges from the impact of monetary policy tightening in most economies, and pandemic management measures in China.
Source:The Edge Markets
September 09, 2022 00:33 UTC
No more than 25 bps OPR hike expected on Thursday despite weak ringgit
He noted that the MPC's fifth meeting of the year is likely to see another 25 bps hike — which would raise OPR to 2.5% — in view of the continued improvement in the domestic economy. Looking at the last MPC meeting in November, Zafri expects another hike of 25 bps to end the year at 2.75%. Socio-Economic Research Centre (SERC) executive director Lee Heng Guie said a 25 bps hike is on the cards on Thursday given the strength of the Malaysian economy and inflationary pressures. Contrary to MIDF's forecast, SERC's Lee sees no more rate hike in November. The central bank then raised the key benchmark rate by another 25 bps to 2.25% in July.
Source:The Edge Markets
September 08, 2022 07:08 UTC
My Say: Decarbonising technical systems and recarbonising ecosystems in Southeast Asia
In thinking about a green future for Southeast Asia, we propose two zones of analysis. One is technology development-focused (Technology Road Mapping, or TRM) and the other is ecosystem growth-oriented (Ecosystem Growth Mapping, or EGM). Technology Road MappingTRM develops a set of possible forward technology road maps and establishes key technical feasibility and costing issues, so that detailed clarifying explorations can be initiated within an overall plan. While technology needs decarbonising, ecosystems — which invest carbon to create life — have suffered from being decarbonised and they need investing in, not decarbonising. Most of the developed world is highly technically developed and thus naturally thinks in terms of technology road mapping into the future.
Source:The Edge Markets
September 08, 2022 03:44 UTC
Mega dairy venture may bring FGV better fortunes but trading suspension looms ahead
Mohd Nazrul says an independent adviser was hired in April to conduct a feasibility study for a dairy farm in Chuping and initial findings are promising. The JV company may also utilise FGV’s animal feed product under the brand ALMA, he says. For the upcoming dairy farm project, FGV says the JV company targets to produce 100 million litres of fresh milk by 2025. The plan is to see the dairy farm produce 300 million litres per annum from 2035 onwards. The latter would be key to ensuring that the RM500 million poured into the dairy farm venture by FGV will bolster the group’s financial performance.
Source:The Edge Markets
September 07, 2022 18:03 UTC
My Say: Towards an inclusive and sustainable development bargain
The area with which I am most familiar is economic development. Without hyperbole, this is probably the most important book on economic development in the past decade or so. The reality of economic development is that, however we feel about them, elites exist and the elite bargain does matter. And an elite bargain that accelerates economic growth may not necessarily be the same bargain that maintains that growth. Have them be accountable to the people — and this is precisely why elections and an independent judiciary are so crucial — and perhaps we have a chance at a development bargain that will be inclusive and sustainable.
Source:The Edge Markets
September 07, 2022 15:36 UTC
Allowances for overseas civil servants using foreign languages during work to increase from Jan 1
PUTRAJAYA: Civil servants stationed abroad who use foreign languages during their official work will have their monthly allowance increased, announces the Prime Minister. He said this was to encourage Malaysian diplomats to master foreign languages, in line with the need for language skill during diplomatic and trade negotiations. However, the Prime Minister did not indicate the type of allowance that would be increased. Ismail Sabri added that while mastering foreign languages is welcomed, there must be commitment to uphold Bahasa Malaysia and to prove the use of the language would in no way hinder progress. "During my involvement in international meetings, I had also used Bahasa Malaysia," he added.
Source:The Star
September 07, 2022 05:34 UTC
Banking industry sees slew of CEO changes this year amid new challenges
HSBC Bank Malaysia Bhd made Omar Siddiq its CEO on April 1, succeeding Stuart Milne, who retired after almost four years at the helm. At United Overseas Bank Malaysia Bhd (UOB), Ng Wei Wei became the lender’s first female CEO on May 1. Alliance Bank Malaysia Bhd will have Kellee Kam as its group CEO from Sept 1. With increasing competition, a consolidation of the banking industry is inevitable but the question is, will it happen sooner rather than later? Be that as it may, analysts list AMMB Holdings Bhd (AmBank), RHB Bank Bhd, Hong Leong Bank Bhd (HLBB) and even Public Bank Bhd as potential institutions where mergers and acquisitions (M&As) may pan out.
Source:The Edge Markets
September 06, 2022 18:03 UTC
My Say: Allowing corruption is a greater danger than corruption itself
At the base of these problems is the permissibility of corruption, which is arguably worse than corruption itself. The basis of this permissibility of corruption and of emulation lies precisely in notions of exceptionalism, exclusivity or in tribal, racial, ethnic or religious solidarities. Anyone who considers their own identity as superior, or inherently innocent, renders any wrongdoing (corruption) by in-group members as permissible. It is difficult for orthodox economics to explain the social and cultural permissibility of corruption. What we cannot escape is the deleterious effects of corruption across state, society and the political economy.
Source:The Edge Markets
September 06, 2022 05:34 UTC
Tennis-Djokovic to skip Serbia's Davis Cup group stage ties for personal reasons
(Reuters) - Novak Djokovic will miss Serbia's Davis Cup Finals group stage matches starting in Valencia next week due to personal reasons, the country's tennis federation announced on Monday. Djokovic, 35, was expected to return to action in the men's premier team event but Serbian captain Viktor Troicki said in a statement http://www.teniskisavez.com/vesti/dejvis-kup-tim-srbije-zapoceo-pripreme-u-beogradu/ posted on the Teniski Savez Srbije website that the player had cancelled his participation. Djokovic's official website lists the Sept. 23-25 Laver Cup at London's O2 Arena as his next tournament, followed by an ATP 250 event in Tel Aviv and the Paris Masters in late October. Serbia have been drawn in Group B alongside Spain, South Korea and Canada. Two teams from each of the four groups will advance to the quarter-finals of this year's event with the knockout stages to be held in November in Malaga.
Source:The Star
September 06, 2022 05:27 UTC
EP Manufacturing gets JPJ nod for two-wheel EVs
The Road Transport Department's (JPJ) National Committee for Vehicle Type Approval (VTA) and Homologation granted the VTA for EPMB's Blueshark SG3000DT (Blueshark R1) model, the group said. The VTA approval allows Blueshark R1 to be road registered and licensed by JPJ, EPMB said in a filing with Bursa Malaysia on Monday (Sept 5). This was subject to conditions to be fulfilled by EP Blueshark within six months from the letter of approval. With the conditional approval, EP Blueshark is on track to establish a manufacturing plant and sales and distribution centre to assemble, manufacture and distribute the Blueshark-branded two-wheel EVs in Malaysia. Read also:Auto parts maker EP Manufacturing ventures into EV business
Source:The Edge Markets
September 06, 2022 02:04 UTC
Ringgit opens marginally lower against US dollar
KUALA LUMPUR (Sept 5): The ringgit continued its downward momentum from last week to open marginally lower against the US dollar on Monday (Sept 5), as investors reacted to the positive US jobs data released last week, an analyst said. “The ringgit is seen to benefit from Bank Negara Malaysia’s potential 25 bps overnight policy rate hike, and the European Central Bank’s widely anticipated 75 bps interest rate hike. Kenanga Research said the ringgit had shed all of its gains against the US dollar last week, mainly due to a lack of pro-ringgit catalysts and deteriorating global economic prospects. “On top of continuation of safe-haven flows into the US dollar, the ringgit was dragged down by persistent weakness in the yuan (around 6.90 per US dollar), as China extended its lockdown in the city of Chengdu,” it added. The local unit appreciated against the Singapore dollar to 3.1968/1998 from last Friday's close at 3.1996/2009, and rose against the pound to 5.1522/1568 from 5.1888/1906.
Source:The Edge Markets
September 05, 2022 09:16 UTC