COVID-19: Shut down KLSE to avoid further panic and uncertainty, suggests former cabinet minister

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--fotoBERNAMA (2014)COPY RIGHT

 

KUALA LUMPUR – Former cabinet minister and UMNO Tuaran division chief Abdul Rahman Dahlan suggested that it is better to shut down the Kuala Lumpur Stock Exchange (KLSE) for time being especially during the control movement order.

According to news reported by The Nusantara Daily, Rahman Dahlan said that many people understand the stock market is caught in the midst of panic situation and buying-selling is based on emotion as well as short speculation.

“ Companies in KLSE rely on fundamental analysis which naturally makes the share strong, however due to the panic factor such as COVID-19 the share prices can be volatile.

“This has to be avoided. We have to allow big companies like EPF, Tabung Haji and Khazanah to achieve market equilibrium during a crisis.

“We need to have ‘cooling off period’ or else the companies will experience huge loss which eventually give a negative impact to our country in a longer period.” Rahman Dahlan said.

Rahman Dahlan explained that in the present situation, the panic level is overwhelming around the world including Malaysia. He believes that the investors will feel better assured if the share market is temporarily closed.

“We have to protect our economy value and let’s not make things worse; perhaps I believe other countries also thinking the same measures to close the share market temporarily,” Rahman Dahlan suggested.