Capital trend: Foreign net buy 1.5 billion Malaysian shares, the largest net buy in 8 years.

As the performance of the banking industry shines, foreign investors have been actively buying Malaysian shares for the third consecutive week, with a net purchase of up to 1.5 billion Malaysian ringgit, the highest net purchase since March 18, 2016.

According to the MIDF research on capital trends, foreign investors continued to flow into Malaysian shares significantly last week. The three favored sectors were financial services (1.3 billion Malaysian ringgit), utilities (0.2 billion 59.7 million Malaysian ringgit), and construction (88.7 million Malaysian ringgit).

At the same time, the three sectors with the net selling by foreign investors were technology (-60.4 million Malaysian ringgit), transportation and logistics (-57.2 million Malaysian ringgit), and industrial products and services (-41 million Malaysian ringgit).

Local institutions sold Malaysian shares throughout the week, with a net selling total of 1.2 billion 60 million Malaysian ringgit, the largest net selling since March 4, 2022. Local institutions net bought 13.9 million Malaysian ringgit of shares on Monday, but they were net sellers from Tuesday to Friday.

As for retail investors, except for buying on Thursday, they were selling on other trading days, with a total net selling of 0.2 billion 45.4 million Malaysian ringgit of shares.

As for the level of participation, all three parties experienced growth. Among them, foreign investors were the most active in trading, with the average daily trading volume (ADTV) increasing by 49.9%, while local institutions and retail investors decreased by 0.4% and 2.8% respectively.