Banking Sector Leads Gains, Tech Stocks Face Pullback

February 5, 2026
Sector Analysis
Star Biz

The banking sector showed robust performance today, buoyed by economic recovery expectations. Conversely, technology stocks experienced a pullback after recent strong gains. The energy sector also performed well, supported by stable oil prices, indicating a rotational interest among investors towards value-oriented sectors.

Different sectors on Bursa Malaysia showed varied performances today. The banking sector emerged as a significant highlight, with the FBM Financial Services Index (FBM FINS) rising 1.1%. This was primarily driven by optimistic market expectations for 2026 economic growth and the potential for wider net interest margins. Maybank and CIMB saw gains of 1.2% and 0.7% respectively. Concurrently, the technology sector experienced a pullback after its recent strong rally, with the FBM Technology Index (FBM TECH) declining 0.9%, largely influenced by an overnight drop in US tech stocks. Investors took the opportunity to cash in profits, though the long-term outlook remains positive. The energy sector, benefiting from stable crude oil prices, saw its FBM Energy Index (FBM ENERGY) increase by 0.6%.
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