KUALA LUMPUR (Sept 6): The FBM KLCI pared gains for a 4.12-point or 0.23% rise as Asian shares fell amid concerns on US-China trade war escalation and contagion from weak currencies in emerging markets.
At Bursa Malaysia, the KLCI settled at 1,799.62 at 12:30pm. The KLCI pared gains after rising to its highest so far today at 1,802.60.
"An escalation of the U.S.-China trade war may be imminent, the timing is somewhat unclear and this justifies caution, even given the (U.S. dollar) pullback," Reuters quoted JPMorgan analysts as saying.
Reuters reported Asian shares fell for a sixth straight session on Thursday, as oil skidded and safe-haven gold gained, with investor confidence shaken by turmoil in emerging markets and jitters over a potentially severe escalation in the U.S.-China trade war. MSCI's broadest index of Asia-Pacific shares outside Japan fell 0.4% to hit its lowest since mid-August.
It was reported investors were focused on the Sino-U.S. trade war, with a public consultation period on the Trump administration's intent to impose tariffs on an additional US$200 billion of Chinese goods ending on Thursday.