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Malaysian stocks fall as neighbours react positively to US-China deal news

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Southeast Asian markets have come under pressure since the imposition of tariffs by the world's two economic giants on each other's goods.

KUALA LUMPUR: Most Southeast Asian stocks climbed on Monday amid reports the US and China were close to striking a trade deal, while Malaysia fell despite the country reporting a higher-than-expected trade surplus for January.

Shares across broader Asia edged higher, with MSCI’s broadest index of Asia-Pacific shares outside Japan rising 0.1%for their second straight day of gains. The Singapore index, which is impacted by any development on the Sino-US trade front due to its high trade exposure, gained 0.7%, bolstered by consumer and financial stocks.

Bucking the trend, Malaysian shares started the day as much as 0.7% lower on expectations of a lower January trade surplus.

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