BN win has extraordinary impact on KL mart

The Barisan Nasional's (BN) victory in the 13th General Elections
yesterday has had an extraordinary impact on share prices today on
Bursa Malaysia.

Affin Investment Bank head for retail research
Dr Nazri Khan said the participation of many foreign investors in the
local bourse today was a clear signal of their confidence in the
Malaysian economy.

"Bursa Malaysia soared to a new high of more
than 1,800 points and this clearly showed foreign investors' confidence
in the government's development projects.

"In fact, Bursa
Malaysia received an injection of RM2 billion in foreign funds during
the morning session today which is the highest recorded thus far," he
told reporters today.

The cash market today saw active
involvement of foreign investors, with RM13 billion in foreign funds
from January to April, compared to RM13.5 billion for the whole of
2012, he said, adding the investors were mainly from Singapore, Japan
and China.

Shares of government-linked companies, especially in
the construction, banking, oil and gas and property sectors, were among
the main counters to benefit from the active movement of the main index
today, he said, adding the positive trend is likely to continue for
several weeks.

"Assuming this momentum is sustained, we are revising upwards the target to 1,830 points by year-end," he said.

Nazri
said the public listing of four companies in the second half of this
year -- Iskandar Waterfront, expected to raise RM9 billion; AirAsia X;
Malakoff and KLCC REIT, expected to be Malaysia's biggest
syariah-compliant REIT -- will help to sustain the movement on the main
board of Bursa Malaysia.

BN's win has also had a positive impact
on the cash and foreign exchange market while the entry of foreign
investors has helped the movement of the ringgit, which rose to a
10-month high of 2.9870 against the US dollar.

Last Friday, the ringgit closed at 3.0315 against the US dollar.-- Bernama