Malaysia’s Auditor General Report, Germany’s Election Results & Covid-Linked Stock Surge

February 24, 2025

🔴 Evening News Update – ALPS Global News (24/02/2025)

Stay informed with the latest headlines from Malaysia and around the world. Here’s what’s making news this evening:

🇲🇾 Malaysia’s News: Auditor General Flags Concerns in Federal Agencies

The Auditor General’s 2023 financial report has raised concerns over nine federal agencies, highlighting issues in financial management. The Muda Agricultural Development Authority (MADA) received an ‘adverse opinion’ due to RM392.95 million in unverified accounts.

Additionally, Solid Waste Management and Public Cleansing Corporation (SWCorp) was found to have overstated assets and understated receivables by RM60.41 million. The report stresses the need for stricter financial oversight in government agencies.

🌍 International News: Germany’s CDU/CSU Wins Federal Elections

Germany’s CDU/CSU party, led by Friedrich Merz, has won the federal elections, securing 28.8% of the votes. Coalition talks are now underway, with uncertainty over whether the new government will be formed with one or two partners.

Meanwhile, European stock markets remained stable, and the euro gained 0.3% following the election results. EU leaders are set to meet in March to discuss additional defense funding and Ukraine aid.

🌏 Asia’s News: Covid-Linked Stocks Surge in South Korea & Hong Kong

Covid-related stocks surged after a new bat coronavirus was discovered by researchers at the Wuhan Institute of Virology in China. The virus uses the same cell entry pathway as Covid-19, raising concerns about potential human transmission.

Stock market reaction was immediate:
📈 Sugentech Inc (South Korea) – +26% (Covid & influenza test kits)
📈 Cellid Co (South Korea) – +17% (Vaccine manufacturer)
📈 CSPC Pharmaceutical Group (Hong Kong) – +5% (mRNA vaccine producer)

This follows similar gains in US vaccine makers, where Moderna climbed 5.3% and BioNTech rose 1.8%, reflecting renewed investor interest in pandemic-related stocks.