Bursa Malaysia's yearly growth at more than 9pc, highest since 2013

Annual increase of more than 9pc, highest since 2013, boosts optimism for next year

BURSA Malaysia ended the year on a high note yesterday as its key benchmark index saw yearly growth of more than nine per cent, the highest since 2013, marking the beginning of a new upswing.

The local bourse also hit a twoyear high yesterday, advancing 17.71 points, or one per cent, to close at 1,796.81 from Thursday’s close of 1,779.10.This year’s low of 1,635.53 was recorded on January 3 and since then, it had risen to end the year in positive territory.

Analysts are growing more optimistic about the FTSE Bursa Malaysia KLCI (FBM KLCI), now that the catalysts for growth are clearer than ever.

Global oil prices had begun to show a more concrete sign of surging and with the FBM KLCI still considered cheap from a regional standpoint, things could get even better for the local stock market, said analysts.

The run-up to the 14th General Election could also provide a near-term trading-oriented lift, added one of them.

Stock market expert Nazarry Rosli, the director of the Malaysian Association of Technical Analysts, expects the oil price to hover above US$60 (RM244) per barrel, closer to US$70.

Press Metal Aluminium Holdings Bhd was the overall top gainer for the year, with its share price surging 237.11 per cent, followed by CIMB Group Holdings Bhd (45.01 per cent) and Nestle Malaysia Bhd (30.56 per cent).

The banking sector had turned more positive this year than last year and helped lift the benchmark index. Banks that recorded double-digit growth in total return year-to-date include CIMB Group, Hong Leong Bank Bhd, Hong Leong Financial Group Bhd and Malayan Banking Bhd.

Only four of the FBM KLCI’s 30 members ended 2017 worse than at the start of the year.

Bursa Malaysia saw a slight drop in initial public offerings (IPOs) this year — 11 versus 12 last year — but the 11 new listings raised a total of RM7.4 billion from the market, compared with RM996.43 million previously.

Of the 11 IPOs, two companies set new records as the largest IPOs since the listings of Felda Global Ventures Bhd and Maxis Bhd in 2012.

Lotte Chemical Titan Holding Bhd raised RM3.77 billion from its IPO in July, while Eco World International Bhd raised RM2.58 billion in April.