US Tariff Cut Boosts Glove And EMS Stocks At Mid-morning

KUALA LUMPUR, Aug 1 (Bernama) -- Glove makers and electronic manufacturing services (EMS) companies’ share prices rose at mid-morning following the lower United States (US) rate announced by Washington earlier today.

At 11.52 am, glove manufacturer Hartalega rose two sen to RM1.48 with 5.49 million shares traded, Supermax Corporation added one sen to 57.5 sen with 733,080 shares changing hands, while Kossan was flat at RM1.37 with 381,300 shares traded.

For EMS, SKP Resources and EG Industries added one sen each to 95.5 sen and RM1.15, respectively, with 952,800 and 3.26 million shares changing hands, respectively.

In a note today, Hong Leong Investment Bank Bhd (HLIB) said Malaysia’s 19 per cent tariff rate, in line with some regional peers, will give it a competitive edge.

“Despite the positive outcome over US tariffs, EMS and glove makers are still grappling with industry-specific headwinds, which could limit further gains.

“We also retain the 2025 FBM KLCI target at 1,640, based on a 14.5 times price-to-earnings ratio,” it said.

-- BERNAMA