Tech Sector Faces Profit-Taking Pressure, Energy Boosted by Oil Prices

March 7, 2026
Sector Analysis
Star Biz

The technology sector experienced profit-taking this week, while the energy sector gained traction from rising international oil prices. Investors are reallocating funds, seeking more defensive assets amidst market uncertainties.

Malaysia's technology sector faced significant profit-taking pressure this week, with major tech counters like Inari Amertron falling 2.5% and MPI declining 1.9%. This reflects a trend of investors locking in profits after recent strong gains, alongside concerns over global tech valuations. Concurrently, the energy sector performed robustly, buoyed by rising international crude oil prices, with Brent crude surpassing US$84 per barrel. Dialog Group gained 1.2% and Velesto Energy rose 2.1%. Analysts anticipate a continued rotation of funds from high-growth but high-valuation tech stocks towards more value-oriented and defensive energy and banking sectors, amidst ongoing macroeconomic uncertainties.
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