Foreign funds maintain buying momentum on Bursa last week
KUALA LUMPUR: Foreign investors continued with the purchase of Malaysian equities for its fourth consecutive week with a net purchase of RM121.1 million.
The research arm of MIDF Amanah Investment Bank Bhd (MIDF Research) in a report yesterday said foreign investor's buying momentum continued last week although the intensity appeared to be easing.
Based on preliminary data from Bursa which excluded off-market trades, foreign investors bought RM121.1 million net amount last week as compared with RM198.0 million in the prior week ended February 24.
MIDF Research said, “February was a surplus month as foreign investors mopped up RM955.5 million net.
“This was more than double the RM418.8 million net inflow in January. March started on an auspicious note with a net foreign aggregate inflow for the first three days amounted to RM49.5 million.
“There was heavy buying recorded on (last) Thursday with a net inflow that exceeded RM200 million for the third time this year.”
In contrast, MIDF Research observed that regional markets such as Thailand and the Philippines experienced foreign net outflow last week.
The research firm noted foreign traders were currently in active trading mode.
“We note that foreign participation rate surged by 46 per cent to an elevated level of RM1.2 billion last week.
“This was the second time the foreign average daily trading value (ADTV) breached the RM1 billion mark,” it observed.
Additionally, the research firm said the retail market remained relatively healthy although retail investors were net sellers to the tune of RM154 million last week.
It pointed out that the retail investor's participation was relatively high as the weekly ADTV rose near to the RM1 billion mark.
It was the highest ADTV so far this year.
Meanwhile, the top ten counters which experienced the highest money inflow were Public Bank Bhd, Kuala Lumpur Kepong Bhd, Petronas Chemicals Group Bhd, Sime Darby Bhd, Nestle (Malaysia) Bhd, CIMB Group Holdings Bhd, United Plantations Bhd, My E.G. Services Bhd, Heineken Malaysia Bhd and Fraser & Neave Holdings Bhd.