KLCI up 0.66% as blue chips see institutional interest

-A +A

KUALA LUMPUR (Nov 1): The FBM KLCI closed 11.9 points or 0.66% higher on institutional buying for blue chip counters while other Asian markets were mixed.

The KLCI settled at 1,818.38 points at 5pm. The rise came on gains in stocks like plantation firm Kuala Lumpur Kepong Bhd (KLK) and telecommunication entity DiGi.Com Bhd

A dealer told theedgemarkets.com that blue chip stocks were up on institutional investor's radar as they switched their portfolios to consumer and telecommunication-related stocks from oil & gas counters.

“Blue chips like DiGi saw investor interest today, and institutional investors are reallocating their assets from oil and gas to consumer and telco stocks,” he said over the telephone.
 
Bursa Malaysia saw 1.76 billion shares changing hands. The shares were valued at RM1.71 billion.

There were 437 gainers and 345 decliners while 306 counters remained unchanged.

Today’s top gainers included KLK, Nestle (M) Bhd, Hong Leong Financial Group Bhd and DiGi.

Meanwhile, Asia File Corp Bhd led decliners. The most actively traded stock today was IFCA MSC Bhd

Regionally, Hong Kong’s Hang Seng declined 1.13%, Japan’s Nikkei was up 2.18% while South Korea’s Kospi rose 1.2%

According to Reuters, Hong Kong and Chinese shares fell for a second straight day after the debut of the landmark Hong Kong-Shanghai trading link as investors continued to lock in profits in stocks that had risen sharply ahead of the launch.

Downbeat Chinese home prices data also dampened sentiment. Oil prices sagged as recession in Japan, the world's fourth largest crude importer, added to oversupply worries, it added.

Meanwhile, Bloomberg noted that Asian stocks had risen as investors waited for a decision by Japanese Prime Minister Shinzo Abe to put off a sales-tax increase, add stimulus and call an election, after data yesterday showed the economy had entered a recession.