KUALA LUMPUR, 25 July – Bursa Malaysia saw a net foreign inflow of RM191.3 million last week, after recording net foreign outflows for the past six weeks, according to MIDF Amanah Investment Bank Bhd (MIDF Research).
In its weekly fund flow report today (July 25), the research house said foreigners were net buyers for every day of the week last week.
It added that the day with the highest net foreign inflow was on Monday (July 18) at RM81.7 million, followed by last Friday (July 22) at RM72.8 million and last Thursday (July 21) at RM21.6 million.
“Local institutions continued to be net sellers for the second consecutive week after selling RM87 million worth of equities last week.
“They started off the week by net selling RM60.2 million last Monday and RM19.3 million last Tuesday.
“They then briefly net bought RM5.6 million last Wednesday and RM0.8 million last Thursday, before turning to net sellers again last Friday after selling RM14 million,” it noted.
Meanwhile, MIDF Research said local retailers ended their net buying streak last week after they net sold RM104.2 million worth of equities.
The research house said they were net selling every day last week except last Tuesday when they net bought RM4.2 million.
It added that last Friday saw the heaviest net outflow from the retailers at RM58.8 million.
“In terms of the sectors, the top three sectors that saw the highest net inflows from foreigners were financial services, technology and utilities at RM141.9 million, RM39.2 million and RM37.5 million respectively.
“Only two sectors saw foreign net outflows which were industrial products and services at RM145.6 million and transport at RM2.5 million,” it said.
To date, MIDF Research said international funds have been net buyers for 18 out of the 29 weeks of 2022, with a total net inflow of RM6.11 billion.
It noted that local institutions were net sellers for 22 out of 29 weeks, with a total net outflow of RM7.89 billion.
“Local retailers have been net buyers for 19 out of 29 weeks of 2022.
“To date, they have net bought RM1.78 billion,” it said.
In terms of participation, the research house said there was an increase in average daily trade value (ADTV) among all investor classes.
It said retail investors saw growth in ADTV of 40.8%, while institutional and foreign investors saw growth of 47% and 42.4% respectively.
On money flow among Bursa’s top 100 capitalised stocks, MIDF Research said Petronas Chemicals Group Bhd recorded the highest net money inflow for the week ended last Friday to the tune of RM5.1 million.
Its share price was up by 6.0% for the week, outperforming the FTSE Bursa Malaysia KLCI (FBM KLCI) which added 3.3%.
IHH Healthcare Bhd posted the second-highest net money inflow of RM3 million, while its share price was marginally higher by 0.8%, underperforming the local bourse which was up by 3.3%.
Inari Amerton Bhd saw the third-highest net money inflow of RM2.6 million last week with its share price advancing by 8.7%, outperforming the local benchmark which was higher by 3.3%.
Telekom Malaysia Bhd saw the largest net money outflow of RM1.5 million, while its share price rose by 2.6%, underperforming the FBM KLCI which advanced by +3.3%.
“The net money outflow amid a rising share price may indicate a sell-on-strength (SOS) stance among some investors,” the research house said.
CIMB Group Holdings Bhd registered the second highest net money outflow of RM1.3 million. Its share price was higher by 4% last week, slightly outperforming the local benchmark which rose by 3.3%.
“There is also an indication of SOS among some investors,” it noted.
Top Glove Corp Bhd recorded the third highest net money outflow RM1.2 million, while its share price remained unchanged last week, underperforming the local bourse which recovered by 3.3%.
As for the ringgit, it saw a weekly depreciation of about 0.1% to close at US dollar/ringgit 4.4530 last week.
The Brent crude oil price was higher by +2% for the week, closing at US$103.20 (RM459.24) per barrel. — The Malaysian Reserve