KUALA LUMPUR (Oct 3): CIMB IB Research said the KLCI fell 1.5% month-on-month (m-o-m) to close at 1,793 points in Sep due to profit taking by investors and concerns over US-China trade tensions.

In its monthly wrap-up for September, the research house said the KLCI performed in line with the broader market but  underperformed small caps.

“We observe that the market’s performance tends to be positive in Oct with historical average m-o-m gain of 1.4% over a 40-year period.

“Key events to watch in Oct are the mid-term review of the 11th Malaysia Plan, Industry 4.0 Blueprint, National Housing Policy 2.0 and Felda white paper.

“We maintain our view that the stock market could be volatile in the months ahead due to short-term domestic policy uncertainty and external risk factors,” it said.