KUALA LUMPUR – Foreign investors turned more aggressive in their trading of Malaysian stocks in the week ended Nov 4 at RM948.1mil – the fifth highest weekly outflow this year – said MIDF Equities Research.
It said on Monday net foreign selling dominated the entire trading week. The attrition turned ugly in the last two days of the week as the amount offloaded exceeded RM250mil per day.
“On Friday, the liquidation hit -RM348.6mil, the third highest in a day this year,” it said.
MIDF Research said the cumulative year-to-date net foreign purchase of Malaysian-listed shares was now only +RM1.06bil, down from a peak of +RM6.47bil in April.
It pointed out foreign investors had redeemed -RM5.41bil since April compared with -RM19.5bil and -RM6.9bil net outflow in 2015 and 2014 respectively.
“The market was heavily supported by local institutions last week. Retail participation remained depressingly weak.
“Retail average daily trading volume remained below RM500mil five weeks in a row now. We reiterate that the market has not seen the extent of retail withdrawal since early 2013,” it said. – The Star Online