Bursa extends downtrend

Bursa extends downtrend
-A +A

KUALA LUMPUR (July 30): Bursa Malaysia extended its losses to open lower today amid uncertainties surrounding the market.

The local bourse bucked the performance of regional peers, which took their cue from the better overnight performance on Wall Street, a dealer said.

At 9.05am, the benchmark FBM KLCI had slipped 9.46 points to 1,503.47 from yesterday’s close at 1,512.93.

The index opened 0.95 of a point easier at 1,511.98.

On the broader market, losers led gainers 214 versus 112, while 237 counters were unchanged, 1,643 untraded and 64 others suspended.

Turnover stood at 200.26 million units worth RM108.97 million.

In a research note, Malacca Securities Sdn Bhd said the KLCI edged lower amid uncertainties due to recent domestic political developments, as well as the current Covid-19 pandemic situation.

“This would result in heightened volatility in the market, and traders should turn more cautious over the near term in selecting stocks to trade.

“On a sidenote, China’s move to raise export tariffs on some steel materials and remove rebates on cold-rolled products may exert pressure on the commodity’s prices as demand continues to rise,” it said.

It noted that some buying interest may emerge in electric vehicle (EV)-related stocks following Genetec Technology Bhd’s solid results, while gains in the Nasdaq may spill over to the local technology sector.

Meanwhile, given the uptrend in crude oil and crude palm oil (CPO) prices, trading interest may increase for the plantation and oil and gas (O&G) sectors.

Of the heavyweights, Malayan Banking Bhd (Maybank) eased one sen to RM8.03, Petronas Chemicals Group Bhd (PetChem) fell nine sen to RM8.02 and Tenaga Nasional Bhd (TNB) shed two sen to RM9.71.

Public Bank Bhd and IHH Healthcare Bhd were flat at RM3.99 and RM5.79 respectively.

 Among the actives, both Tanco Holdings Bhd and EcoFirst Consolidated Bhd warrants rose 1.5 sen to 22.5 sen and 7.5 sen respectively, and Scanwolf Corp Bhd added 7.5 sen to 49.5 sen, while Serba Dinamik Holdings Bhd eased half a sen to 40.5 sen and Saudee Group Bhd was flat at 13.5 sen.

On the index board, the FBM Emas Index lost 43.44 points to 11,028.33, the FBMT 100 Index went down 56.05 points to 10,726.82 and the FBM 70 shed 31.01 points to 14,511.24.

The FBM Emas Shariah Index was 56.06 points higher at 12,113.56 and the FBM ACE eased 6.43 points to 7,134.16.

Sector-wise, the Financial Services Index dropped 44.27 points to 14,736.02 and the Plantation Index declined 31.44 points to 6,160.91, while the Industrial Products and Services Index slid 1.31 points to 186.68.