Fast, factual wire coverage from across Malaysia and the region.
US stock markets reached record levels as prospects of de-escalated US-Iran tensions pushed crude oil prices down by 5% and eased concerns about further Federal Reserve rate hikes. The Dow, S&P 500, and Nasdaq all posted substantial gains.
The US dollar has climbed to a 39-year high of 163.24 yen, buoyed by geopolitical tensions in West Asia and rising oil prices. Japan's readiness to intervene has failed to stem the currency's advance.
Malaysia's stock market fell to a 10-day low as crude oil surged past US$100 per barrel on Middle East conflict concerns, prompting investors to abandon equities and reassess their portfolios.
Bursa Malaysia opened with minimal gains as crude prices jumped past US$95 on Middle East tensions, yet investor caution persisted over US tech spending and inflation pressures.
Malaysia faces potential monthly fuel subsidy costs of RM3.5 billion if crude oil prices stabilise at US$90 per barrel, though government revenue from petroleum sales helps offset the burden.
Oil markets rallied Friday as US-Iran hostilities intensified and Iran signalled Houthi allies to prepare for a Red Sea blockade, threatening global energy supplies and reinforcing geopolitical risk premiums.
Malaysia's Deputy Finance Minister Liew Chin Tong says the government has no plans to revise its fiscal projections for Budget 2027 at present, despite elevated subsidy costs. The government will reassess once the budget is tabled in October.
Southeast Asia's offshore energy sector is poised for robust growth with greenfield capital expenditure projected to exceed US$100 billion, up 12 percent, even as broader geopolitical tensions ease following diplomatic developments in the Middle East.