KUALA LUMPUR (Nov 21): The FBM KLCI reversed its earlier gains and dipped to below the 1,720-point level at mid-morning , dragged by select blue chips.

At 10am, the FBM KLCI dipped 1.59 points to 1,716.77. The index had earlier risen to a high of 1,722.73

The top losers included Malaysian Pacific Industries Bhd, British American Tobacco (M) Bhd, Genting Plantations Bhd,m ViTrox Corp Bhd, Petronas Gas Bhd, Apex Healthcare Bhd, Hengyuan Refining Company Bhd, Heineken Malaysia Bhd and Petron Malaysia Refining & Marketing Bhd.

The actives included DGB Asia Bhd, Palette Multimedia Bhd, Tiger Synergy Bhd, PUC Bhd, Land & General Bhd, Key Alliance Group Bhd, Kejuruteraaan Asastera Bhd, Nova MSC Bhd and Dagang NeXchange Bhd.

The gainers included Nestle (M) Bhd, KESM Industries Bhd, Hong Leong Industries Bhd, Asia File Corp Bhd, Malaysia Airports Holdings Bhd and Degem Bhd.

Asian stocks edged higher on Tuesday as investors took heart from further evidence of strength in the global economy, while the dollar hovered near a one-week high against its peers thanks to higher U.S. yields and a floundering euro, according to Reuters.

Gains on Wall Street overnight also helped MSCI's broadest index of Asia-Pacific shares outside Japan tack on 0.15 percent, it said.

Hong Leong IB Research in a traders’ brief said despite near term uncertainty about the US tax overhaul details, Dow’s downside risks are likely to be well cushioned for the time being amid positive economy and corporate earnings outlook coupled with supportive monetary policies.

“Hence, we expect Dow to trend range bound within 22,900 to 24,000 over the near term until more clarity of the tax overhaul details.

“On Bursa Malaysia, we expect KLCI to find a floor near 1700-1705 levels, supported by a grossly oversold market and the Ringgit coupled with and oil price strength, in spite of the nagging issues such as ongoing 3Q17 reporting season and FBM KLCI index rebalancing exercise on 30 Nov coupled with political uncertainty ahead of the upcoming GE14.

“Short term supports are 1700-1705 while resistances are 1728-1742 levels,” it said.