Equity, Financial Markets Capable Of Navigating Heightened Tariff-led Volatility -- Amir Hamzah

By Zarul Effendi Razali

KUALA LUMPUR, April 9 (Bernama) -- Malaysian equity and financial markets are capable of navigating the heightened tariff-led volatility, driven by strong institutional support during the period and ample liquidity, said  Finance Minister II Datuk Seri Amir Hamzah Azizan.

“We all have seen volatility for a while now. Whether (it was) the Asian financial crisis, the COVID-19 (pandemic), (or) shocks that hit the system, the market (was volatile), but it was also resilient and managed through it,” he said.

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There is ample liquidity in the domestic market, Amir Hamzah said when asked about Bursa’s performance amid the volatility unleashed by US President Donald Trump’s tariffs.

He said local financial institutions and government-linked investment companies (GLICs), among others, usually look at this market volatility not only in terms of investment for the long term but also as a time to reset their portfolios in terms of picking quality assets along the way.

Speaking to the media on the sidelines of the 12th ASEAN Finance Ministers and Central Bank Governors’ Meeting (AFMGM) and related meetings here, he recalled that Bursa Malaysia’s previous challenging times were manageable due to strong institutional support.

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“Bursa Malaysia has not triggered circuit breakers during this period. It has been one of the more resilient markets. The ringgit has also stayed within range so far.

"So, I think it is a position that we can manage along the way,” he said.

At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) slipped 42,97 points, or 2.98 per cent, to 1,400.59 from Tuesday’s close of 1,443.56.

The benchmark index opened 6.55 points lower at 1,437.01 and moved into negative territory between a high of 1,438.99 during the morning trading session and a low of 1,386.63 in the afternoon session.

-- BERNAMA