Malaysia's two largest banking giants, Malayan Banking Bhd (Maybank) and CIMB Group Holdings Bhd, saw strong share price performances today, rising 1.2% and 0.9% respectively. The market holds an optimistic outlook for the banking sector, anticipating robust earnings. This positive sentiment is driven by expectations of stable interest rates and economic recovery.
In today's stock market, the financial sector stood out, with Maybank's share price rising 11 sen to RM9.35 and CIMB gaining 6 sen to RM6.85. The robust performance of these two banks was a key factor in pushing the KLCI upwards. Analysts believe that despite global economic challenges, the Malaysian banking sector benefits from a gradual domestic economic recovery, stable net interest margins, and a low non-performing loan ratio. Furthermore, the market generally expects healthy loan growth as corporate and consumer confidence recovers. Investor preference for banking stocks also reflects their appeal as defensive assets, especially in the current uncertain market environment.
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