In a shortened trading week due to the public holiday in conjunction with Hari Malaysia, Bursa Malaysia continued to see net selling activities from foreigners for the 2nd consecutive week. They net sold RM186.2m worth of equities last week, which was over 4 times the amount net sold in the week prior.
The net selling by foreign investors probably stemmed from higher-than-expected inflation data in the US prompting investors to expect another aggressive rate hike by the US Fed.
Local institutions which have briefly net bought RM91.3m worth of equities the previous week after 8 weeks of net selling have turned to net sellers yet again last week, albeit at a much lower rate of -RM4.7m. They were net sellers from Monday through Wednesday. The net outflows reported amounted to -RM35.2m on Monday, -RM40.8m on Tuesday, and -RM12.6m on Wednesday. Local institutions turned to net buyers after net buying RM84.0m on Thursday before the market took a break on Friday.
Local retailers however turned net buyers again at RM190.8m after net selling -RM48.8m in the previous week. Starting the week with net selling of -RM12.3m worth of equities, they have then net bought RM63.2m on Tuesday, RM70.1m on Wednesday, and RM69.9m on Thursday. To date, international investors have been net buyers for 24 out of the 37 weeks of 2022, with a total net inflow of RM7.93b. Local institutions were net sellers for 29 out of 37 weeks, with a total net outflow of -RM9.91b. Local retailers have been net buyers for 24 out of 37 weeks of 2022.
Year-to-date, they have net bought RM1.98b. In terms of participation, there was an increase in average daily trade value (ADTV) across all investor classes at +14.7% for retail investors, +5.1% for institutional investors, and +58.3% for foreign investors.
