ArrowArtboardCreated with Sketch.Title ChevronTitle ChevronIcon FacebookIcon LinkedinIcon Mail ContactPath LayerIcon MailPositive ArrowIcon PrintIcon Twitter
Shares in Top Glove and other Malaysian glove manufacturers soared last year, spurred by global medical demand.   © AFP/Jiji
Market Spotlight

Malaysia stocks lag as glove makers lose grip on investors

COVID-19 resurgence and political turmoil dragging on market

P PREM KUMAR, Nikkei staff writer | Malaysia

KUALA LUMPUR -- Malaysia's stock market, which got a boost last year from companies that did well out of the coronavirus pandemic, is now a COVID-19 loser -- to the point where it stands out in 2021 as one of Asia's worst performing markets.

Last year, shares in the country's glove manufacturers rose exponentially as investors saw them capitalizing on soaring worldwide demand for medical gloves -- an essential part of the personal protective equipment used to combat the spread of the virus. Shares in Top Glove, Supermax and Hartalega, which together provide more than half the global supply of gloves, shot up by 170%, 1,233% and 147%, respectively, between May and December last year. They helped propel the benchmark index Kuala Lumpur Composite Index (KLCI), which rose 22% over the same period.

Sponsored Content

About Sponsored Content This content was commissioned by Nikkei's Global Business Bureau.

Discover the all new Nikkei Asia app

  • Take your reading anywhere with offline reading functions
  • Never miss a story with breaking news alerts
  • Customize your reading experience

Nikkei Asian Review, now known as Nikkei Asia, will be the voice of the Asian Century.

Celebrate our next chapter
Free access for everyone - Sep. 30

Find out more