KLCI snaps 2-day losing streak as Covid-19 rise spurs glove share buy

KLCI snaps 2-day losing streak as Covid-19 rise spurs glove share buy
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KUALA LUMPUR (Nov 20): The FBM KLCI ended 10.07 points or 0.64% higher at 1,593.75 today, to snap two straight days of losses, as the rise in global Covid-19 cases spurred buying of rubber glove manufacturers’ shares.

Across Bursa Malaysia at 5pm, 9.01 billion securities were traded for RM5.16 billion.

Top gainers included glove manufacturers Top Glove Corp Bhd and Supermax Corp Bhd on bargain hunting and as the rise in the number of global Covid-19 cases checked investors’ vaccine-driven optimism.

Top Glove’s share price closed 35 sen or 5.04% higher at RM7.29, while Supermax added 32 sen or 4.12% to RM8.08.

Bursa’s Healthcare index, which includes rubber glove manufacturers as constituents, ended up 1.43%.

Top Glove and Hartalega Holdings Bhd are also members of the 30-stock KLCI.

The KLCI snapped its two-day losing streak today, after falling 21.07 points and 5.4 points respectively yesterday (Nov 19) and Wednesday (Nov 18).

“At this juncture, the index is anticipated to trend sideways between 1,610 and 1,580 marks in the near term, hanging between bull and bear territory, “ Public Investment Bank Bhd technical analyst Lee Siao Ping said today.

Globally, CNBC reported Asia-Pacific markets traded mixed on Friday, as investors remained cautious over the short-term economic impact of the coronavirus as cases around the world continue to rise.

“The session in Asia followed a tepid finish overnight, where US stocks closed slightly higher as traders increased their exposure to major technology names. Sentiment on Wall Street received a boost after lawmakers agreed to resume negotiations over a potential new Covid-19 relief bill. Still, US futures fell in overnight trading,” CNBC reported.


Chong Jin Hun