KUALA LUMPUR (July 3): The FBM KLCI reversed its earlier gains and fell 0.63% at mid-morning today, as Asian markets slipped.
At 10am, the FBM KLCI fell 10.52 points to 1,674.53.
Losers led gainers by 223 to 184, while 273 counters traded unchanged. Volume was 505.35 million shares valued at RM248.50 million.
The top losers included Nestle (M) Bhd, Kuala Lumpur Kepong Bhd, Tenaga Nasional Bdh, Fraser & Neave Holdings Bhd, Petronas Dagangan Bhd, Oriental Holdings Bhd, Allianz Malaysia Bhd, Axiata Group Bhd and PLB Engineering Bhd.
The actives included Sapura Energy Bhd, Borneo Oil Bhd, FoundPac Group Bhd and Hang Seng Index-linked put warrants.
The top gainers included Aeon Credit Service (M) and structured put warrants that tracked the Hang Seng Index.
Asian shares dropped in tentative morning trade on Tuesday as sentiment remained fragile in the face of tense trade relations between the United States and major economies, with investors braced for another potentially rocky day for Chinese markets, according to Reuters.
Investors, worried the trade row could derail a rare period of synchronized global growth, have pulled out of riskier assets in the past month or so, it said.
Hong Leong IB Research in a traders’ brief wrote that market choppiness may persist with the continuation of trade tensions worries as key trading partners of the US could retaliate with tariffs measure, and likely to dampen growth eventually.
“Hence, Dow’s upside may be limited over the near term, forming the extended consolidation phase.
“With the on-going trade developments between the US-China, investors may stay cautious and remain on the sidelines, deploying the wait-and-see over the near term.
“Hence the FBM KLCI may trend sideways between the 1,650-1,725 levels. Also, we think the trade spats concerns may resurface if the trading partners intensify with reciprocal tariff actions,” it said.