Regional Market Weakness Drags Bursa Malaysia, Investor Sentiment Cautious

February 5, 2026
Global Markets
Reuters

Singapore and Hong Kong stock markets declined today, impacting investor sentiment on Bursa Malaysia. The FBM KLCI was dragged by regional weakness, with investors remaining cautious ahead of the Lunar New Year.

KUALA LUMPUR, February 5, 2026 – Regional markets generally trended lower today, casting a negative shadow over Bursa Malaysia. Singapore's Straits Times Index fell 0.4%, while Hong Kong's Hang Seng Index plunged 1.2%, primarily influenced by weaker Chinese economic data and geopolitical uncertainties. This regional cautious sentiment spilled over into Malaysia, contributing to the FBM KLCI's marginal 0.15% decline. Investors reduced their risk exposure ahead of the Lunar New Year holidays, and trading activity remained relatively subdued. Analysts noted that despite robust domestic economic fundamentals in Malaysia, global and regional market volatility would remain a key factor influencing local equities in the short term. Market sentiment and trading volume are expected to pick up after the Lunar New Year break.
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