KUALA LUMPUR (July 24): Malaysian shares retreated on Friday as investors weighed Trump's latest tariffs and a surge in oil prices amid escalating geopolitical conflicts. 

The benchmark FBM KLCI fell 13.57 points or 0.79% to 1,701.02 with 27 of its 30 constituent stocks in the red at market close. Press Metal Aluminium Holdings Bhd (KL:PMETAL) was the biggest loser, down 2.4% to RM7.86. 

Most of the Bursa Malaysia sectoral indices were in negative territory led by telecommunication-and-media index that declined 1.7%. 

Meanwhile, transportation firms, plantation stocks, and real estate investment trusts advanced. 

The US has imposed tariffs of between 10% and 12.5% on around 60 economies under Section 301 investigations into forced labour practices. Malaysia's tariff rate remains at 10%, unchanged from the temporary levy that expired on Friday.

Despite the latest trade measures, analysts largely brushed aside potential damage from the tariff, saying that investors are paying greater attention to geopolitical developments and energy prices. 

An analyst at RHB Investment Bank said the latest tariffs announcement leaves Malaysia's tariff rate unchanged, making it largely a continuation of the current trade regime rather than a new escalation.

The analyst also noted exemptions for certain Malaysian exports, particularly electrical and electronics products and goods related to artificial intelligence. 

Brent, the global benchmark for crude oil, has risen back above US$100 (RM408.56) per barrel at a time of widening Middle East conflict. 

Asian stock markets also took hit following reports that Yemen’s Houthi rebels attacked Saudi ships in the Red Sea, potentially cutting off another route for oil and gas supply already under pressure from the closure of the Strait of Hormuz.