Malaysia stocks down 1% as country heads for ‘total’ Covid lockdown

A man carrying a facemask as a security against Covid-19 walks previous two Malaysian flags in capital city Kuala Lumpur.

Faris Hadziq | SOPA Photos | LightRocket thru Getty Photos

Shares in Malaysia fell in early Monday alternate as the authorities launched a nationwide “total lockdown” to curb the rapidly rising day-to-day Covid-19 infections within the country.

The benchmark FTSE Bursa Malaysia KLCI Index fell around 1.5% within the beginning before settling around 1.1% — underperforming most Asia-Pacific markets.

Malaysia has been struggling to govern a surge in Covid infections. Final week, the country reported five-consecutive days of yarn increases in coronavirus instances, taking cumulative infections to bigger than 565,500 instances with 2,729 deaths as of Sunday, nicely being ministry info confirmed.

High Minister Muhyiddin Yassin launched Friday after market shut that the country will enter a two-week lockdown starting Tuesday.

All the diagram thru the duration, folk are in total most effective allowed to stir away their homes to take dangle of important objects or glimpse medical providers and products. For companies, those offering important providers and products will stay birth while obvious segments of the manufacturing sectors can operate with a reduced capability.

Brian Tan, an economist at Barclays Financial institution in Singapore, estimated that the measures will rate the Malaysian economy between 0.5 to 1 share level every two weeks.

Tan wrote in a Monday existing that he has lowered Malaysia’s 2021 converse forecast from 6.5% to 5.5% — beneath the central financial institution’s projection vary of 6% to 7.5%.