For­eign sell­ing on Bursa picks up to RM948.1m

The Sun (Malaysia) - - SUNBIZ -

PETALING JAYA: For­eign in­vestors turned more ag­gres­sive in their trad­ing of Malaysian stocks last week, sell­ing RM948.1 mil­lion, said MIDF Re­search.

“For­eign­ers dumped RM948.1 mil­lion last week, the fifth high­est weekly out­flow this year. This is es­ti­mated based on trans­ac­tions in the open mar­ket which ex­cluded off mar­ket deals,” it said in its fund flow re­port yes­ter­day.

“Net for­eign sell­ing dom­i­nated the en­tire trad­ing week. The at­tri­tion turned ugly in the last two days of the week as the amount off­loaded ex­ceeded RM250 mil­lion per diem. On Fri­day, the liq­ui­da­tion hit RM348.6 mil­lion, the third high­est in a day this year,” it added.

Ac­cord­ing to MIDF Re­search, the cu­mu­la­tive year-to-date net for­eign pur­chase of Malaysian-listed shares is now only RM1.06 bil­lion, down from a peak of RM6.47 bil­lion in April.

For­eign in­vestors have re­deemed RM5.41 bil­lion since April, com­pared with RM19.5 bil­lion and RM6.9 bil­lion net out­flow in 2015 and 2014 re­spec­tively, it added.

Mean­while, for­eign par­tic­i­pa­tion re­bounded sharply last week with for­eign av­er­age daily value of shares traded (ADTV) ris­ing 15% to RM843 mil­lion.

“Still, it was rel­a­tively mod­er­ate. The last time it broke the RM1 bil­lion mark was five weeks ago,” said MIDF Re­search.

It said the mar­ket was heav­ily sup­ported by lo­cal in­sti­tu­tions last week as re­tail par­tic­i­pa­tion re­mained de­press­ingly weak.

“Re­tail ADTV re­mained be­low RM500 mil­lion five weeks in a row now. We re­it­er­ate that the mar­ket has not seen the ex­tent of re­tail with­drawal since early 2013,” it said.

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