Banking Sector Leads Gains, Tech Sector Retreats

February 5, 2026
Sector Analysis
Star Biz

The banking sector emerged as the top performer today, gaining 1.5% driven by strong earnings expectations and stable interest rates. Conversely, the technology sector experienced a retreat, falling 1.2% amidst concerns over slowing global semiconductor demand and a cautious outlook for tech exports. Property and healthcare sectors showed mixed performance.

Sectoral performance on Bursa Malaysia today was notably divergent. The banking sector emerged as the strongest performer, collectively gaining 1.5%. This uplift was primarily driven by market expectations of robust earnings reports from banks and a stable interest rate environment. Major banking counters like Maybank and CIMB further solidified the sector's leading position. In contrast, the technology sector faced considerable pressure, declining by 1.2% overall. This downturn was largely attributed to a slowdown in global semiconductor demand and a cautious outlook for tech exports. Investors are adopting a wait-and-see approach regarding the short-term prospects of technology stocks. Meanwhile, the property and healthcare sectors displayed mixed performance, with some companies advancing and others retreating, reflecting complex market sentiments.
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