Bursa Malaysia May Face Volatility Next Week Amid US Govt Shutdown Concerns

By Rosemarie Khoo Mohd Sani

KUALA LUMPUR, Oct 4 (Bernama) -- The FTSE Bursa Malaysia KLCI (FBM KLCI) futures contract on Bursa Malaysia Derivatives is expected to experience volatility next week if the United States federal government shutdown continues.

IPPFA Sdn Bhd’s director of investment strategy and country economist Mohd Sedek Jantan said if the US federal government shutdown drags on, it may create uncertainty in global markets, and that uncertainty could spill over into Malaysia’s futures market.

He also said domestic attention would pivot to the tabling of Budget 2026 on Oct 10, and investors are expected to remain selective, positioning cautiously ahead of fiscal announcements that would set the tone for sentiment into year-end.

Meanwhile, Rakuten Trade Sdn Bhd's vice-president of equity research, Thong Pak Leng, expects the overall outlook to remain positive as long as the benchmark index holds above 1,620, paving the way for a move toward 1,650.

“We anticipate FBM KLCI to trend within the range of 1,620-1,650 next week,” he said. 

On a weekly basis, the spot-month November 2025 stood at 1,631.00, while October 2025 advanced 25.5 points to 1,631.50, December 2025 rose 30.5 points to 1,628.50, and March 2026 increased 32 points to 1,609.00.

Turnover for the week dropped to 52,286 lots from 137,491 lots a week ago, while open interest decreased to 52,286 contracts from 87,049 contracts previously.

On a Friday-to-Friday basis, the FBM KLCI accumulated 26.01 points to 1,635.06 from last week’s 1,609.05. 

-- BERNAMA