KUALA LUMPUR (March 23): Several technology stocks emerged as top gainers on the local bourse after the US Nasdaq index inched higher as investors bought the dip in technology stocks, while briefly taking in stride a more aggressive tone by the Federal Reserve to raise the cost of borrowing to tame inflation.
The Bursa Malaysia Technology Index (KLTech Index), which tracks the performance of technology stocks, edged 2.76 points or 3.53% higher to 79.25 on Wednesday (March 23).
The positive vibes among local tech players could also partially be attributed to the robust global fab equipment spending.
In its latest quarterly World Fab Forecast report released on Tuesday (March 22), the US-based Semiconductor Equipment & Materials International (SEMI) said global fab equipment spending for front-end facilities is expected to rise 18% year-on-year (y-o-y) to an all-time high of US$107 billion in 2022, marking a third consecutive year of growth following a 42% jump in 2021.
Selected tech-index heavyweight stocks such as Malaysian Pacific Industries Bhd (MPI) and ViTrox Corporation Bhd appeared as the top gainers.
Shares in MPI rose RM1.66 or 4.6% to RM37.76 at the time of writing, valuing the group at RM7.93 billion.
Automated test equipment maker ViTrox surged 54 sen or 6.91% to RM8.35, giving it a market capitalisation of RM7.89 billion.
Meanwhile, other tech stocks, such as Dagang NeXchange Bhd (DNeX), emerged among the top actively traded counters on Bursa Malaysia on Wednesday.
DNeX was the third most actively traded counter with 48.64 million shares changing hands.
AT Systematization Bhd also appeared in the list of top actively traded counters after it witnessed a total of 46.32 million shares exchanged.
Reuters on March 22 reported that Megacap Apple Inc, Microsoft Corp, Amazon.com, Meta Platforms and Alphabet Inc gained between 1.7% and 3.2% to provide the biggest boost to the S&P 500 and the Nasdaq.
A 12% jump in Alibaba Group Holding also spurred a rally in Chinese tech stocks, after the e-commerce giant raised its share buyback programme to a record US$25 billion.