KUALA LUMPUR (Jan 30): The FBM KLCI fell today after US stocks dropped overnight on Monday as US bond yields climbed. Malaysian shares fell amid a shorter trading week and ahead of the crucial US Federal Open Market Committee (FOMC) meeting today and tomorow. 

At 9am today, the KLCI declined 5.17 points or 0.3% to 1,865.35 points as investors took profit after the KLCI rose 16.6 points to close at 1,870.52 points yesterday. In currency markets today, the ringgit weakened to 3.8958 against a strengthening US dollar amid higher US bond yields.

In Malaysia, TA Securities Holdings Bhd wrote in a note today : "Sustained institutional buying in core banking and consumer stocks following the quarter point interest rate hike by Bank Negara should lift the index closer to the record high. Next key resistance will be the 150% FP at 1,888, subsequent to the all-time high of 1,896 on July 2014."

Malaysian markets will be closed tomorrow (Jan 31) and on Thursday (Feb 1) for the Thaipusam and Federal Territory Day holidays respectively. Trading resumes on Friday (Feb 2). Overnight on Monday in the US, Reuters reported that the US dollar rose on Monday against a basket of currencies as US bond yields climbed to their highest since 2014 and traders waited for the Federal Reserve meeting and a US jobs report later in the week, while the euro and pound were both down. 

It was reported that Wall Street pulled back from record highs on Monday, with the Dow and the S&P 500 indexes marking their biggest one-day percentage declines in about five months, weighed down by a slide in Apple shares. The Dow Jones Industrial Average fell 177.23 points or 0.67% to 26,439.48, the S&P 500 lost 19.34 points or 0.67% to 2,853.53 and the Nasdaq Composite dropped 39.27 points or 0.52% to 7,466.51.