FX.co ★ Malaysia Leading Index Remains Weak

In September 2025, Malaysia's leading economic index experienced a monthly decline of 0.5%, following a downward revision to a 0.6% decrease in August, marking two consecutive months of reductions. Of the seven components evaluated, three saw declines: housing units approved decreased by 0.7% compared to a 0.1% increase in August, the real imports of other basic precious and non-ferrous metals fell by 0.5% after a 0.1% rise, and the expected manufacturing sales value dipped by 0.1% following a 0.2% increase. New company registrations remained largely unchanged at 0.001%, compared to a 0.5% decrease previously. However, the impacts were partially offset by gains in other areas: real money supply increased by 0.3% after a 0.1% decline, the Bursa Malaysia Industrial Index grew by 0.3% from a previous 0.1%, and real semiconductor imports rose by 0.2% after a 0.5% drop. On an annual basis, the leading index climbed 0.8%, rebounding from a 0.3% decline witnessed in the preceding two months. At the same time, the coincident index, which measures current economic conditions, saw an improvement of 0.2%, overturning August's 0.6% drop, thanks to robust retail trade performance.