KUALA LUMPUR (Feb 14): The FBM KLCI reversed its earlier gains and fell at mid-morning today as regional markets stayed cautious, dragged by select index-linked stocks including Public Bank Bhd.

At 10am, the FBM KLCI dipped 1.98 points to 1,683.32. The index had earlier risen to a high of 1,686.56.

Gainers edged losers by 232 to 229, while 278 counters traded unchanged. Volume was 695.36 million shares valued at RM258.26 million.

The losers included United Plantations Bhd, British American Tobacco (M) Bhd, Kuala Lumpur Kepong Bhd, Ajinomoto (M) Bhd, LPI Capital Bhd, Malaysia Airports Holdings Bhd, Mesiniaga Bhd, Public Bank, Amway (M) Holdings Bhd and Gas Malaysia Bhd.

The actives included KNM Group Bhd, Bumi Armada Bhd, Seacera Group Bhd, Dagang NeXchange Bhd, Green Packet Bhd, Dayang Enterprise Holdings Bhd and Reach Energy Bhd.

The gainers included Fraser & Neave Holdings Bhd, Petronas Dagangan Bhd, Carlsberg Brewery Malaysia Bhd, Bursa Malaysia Bhd, Petron Malaysia Refining & Marketing Bhd, CB Industrial Product Holding Bhd, KKB Engineering Bhd, MBM Resources Bhd and BIMB Holdings Bhd.

Asian stock markets started in a cautious mood on Thursday as investors hoped for progress in the latest Sino-US tariff talks while bracing for China trade data that are expected to show further falls in both exports and imports, according to Reuters.

There was some hope another US government shutdown would be averted as President Donald Trump edged towards backing a deal in Congress on funding for a border barrier, it said.

Hong Leong IB Research said despite the fading worries on the trade front following positive comments by Trump, which may boost the sentiment at least over the near term, traders are likely to be focusing on the trade discussions this week between US and China's officials, to gauge the tone of the trade developments moving forward.

"At this current juncture, both RSI and Stochastic oscillators are suggesting that the Dow is overbought with immediate resistance located around 26,000.

"Although the FBM KLCI extended its consolidation between the 1,682-1,700 levels, sentiment on the broader market could stay positive tracking the positive performances from regional stock markets and Wall Street.

"We believe traders may look into small cap and lower liner within the IT software related stocks such as Prestariang Bhd, Dagang NeXchange Bhd and Datasonic Group Bhd as they have surged in trading volumes yesterday," it said.