Rising Bursa shows economy is strengthening, says Rafizi

Economy minister Rafizi Ramli said Bursa Malaysia had shown consistent improvement over the past 12 months. (Bernama pic)

PETALING JAYA: The rise in the country’s stock market index to its highest level this year confirms that the economy is strengthening, says Rafizi Ramli.

In a post on X, the economy minister noted that the FTSE Bursa Malaysia KLCI (FBM KLCI) reached 1,567.57 points during its intraday high at around 11am today before closing at 1,561.64 points.

Noting that this corresponds to a 14.45% increase in annual returns for investors, Rafizi pointed out that pension funds such as EPF and Retirement Fund Incorporated (KWAP) were among the largest shareholders of companies listed on Bursa Malaysia.

“The market does not reflect the negative sentiments continuously played up by the opposition, who seem to wish for the country’s economic downfall in their pursuit of power,” he said.

“The stock market consistently rose over the past year and provided a 14.45% increase in annual returns, and if this trend continues it will translate into greater profits for the people in the future.

“The responsibility to improve the country’s economy requires a long-term perspective … Today’s rise in the stock market index confirms that our economy will continue to strengthen.”

Earlier today, Bernama reported that Bursa Malaysia continued its upbeat momentum to end higher for the fifth consecutive day, thanks to buying from local and foreign institutions.

Rakuten Trade Sdn Bhd equity research vice-president Thong Pak Leng said key regional indices also ended higher following the positive cue from global equities on hope for strong earnings from tech giants this week.

He said strong earnings were expected to help offset worries about the Federal Reserve’s interest rate plans ahead of the release of key US growth and inflation data while at the same time, investors were encouraged after Middle East tensions eased.