KUALA LUMPUR (Feb 4): The FBM KLCI closed up 1.91 points or 0.12% at 1,584.90 today, after erasing losses in the final trading hour on bargain hunting and as investors weighed Prime Minister Tan Sri Muhyiddin Yassin’s special televised message on the Malaysian government’s measures to curb the spread of the Covid-19 pandemic. 

The KLCI had earlier today fallen to its intraday low at 1,576.33 with Asian equity indices, as a spike in short-term Chinese interest rates fanned worries about policy tightening in the world's second-largest economy.

"There's persistent speculation that the Chinese authorities may want to tighten its policy,” Reuters quoted Wang Shenshen, senior strategist at Mizuho Securities, as saying.

It was reported that higher interest rates raised worries Chinese policymakers may be starting to shift to a tighter stance to rein in share prices and property markets.

In Malaysia today, Muhyiddin’s special televised message, which was scheduled at about 3:30pm, also appeared to help the KLCI close higher, according to remisiers.

Maybank Investment Bank Bhd remisier Jeffry Azizi Jaafar told theedgemarkets.com that the KLCI managed to finish the day with a positive performance "due to Muhyiddin’s announcement on the planned rollout of Malaysia’s Covid-19 vaccination programme by the end of February 2021".

Across Bursa Malaysia today, 8.04 billion securities were traded for RM4.18 billion. There were 626 gainers and 489 decliners.

Top gainers included Hong Leong Financial Group Bhd (HLFG), See Hup Consolidated Bhd and Unisem (M) Bhd.

HLFG’s share price closed up 76 sen or 4.59% at its intraday high at RM17.30, after a substantial rise in afternoon trades.