Daniel Larsson's fine strike was enough for Malmo to take a 1-0 lead back to Sweden after overcoming a poor Rangers side.
The Swede's 18th minute strike was a goal of real quality, something that looked distinctly out of place in an otherwise dire match, running onto Wilton Figueiredo's back-heel, the smashed finish gave Allan McGregor no chance in the Rangers goal.
The goal maker Figueiredo was the best player on the pitch and gave the Rangers defence the run around all evening, with McGregor twice forced into action after long range efforts from the striker.
After Rangers disappointing start to the SPL season many expected Ally McCoist to get his first victory against the Swedish Champions, however their first half performance was poor and they were fortunate to only trail by one goal at the half-time break.
Rangers come out after the interval the better side and Steven Naismith should have levelled the tie for the Scottish Champions only to shoot wide on two seperate occasions. With time running out Steve Davis blazed over, and with that miss went any chance of Rangers drawing level.
With the return leg on the 3rd August, McCoist's side face an uphill struggle if they are to progress, and with their side already behind League favourites Celtic, the former assistant manager is going to have to adjust to life as the number one quick.