KUALA LUMPUR (May 24): The FBM KLCI staged a relief rally today, breaking a three-day losing streak. The benchmark index climbed 9.65 points or 0.62% to close at 1,571.82, as investors look for oversold counters following the recent sell-down.  

Buying momentum in selected heavyweights was led by Axiata Group Bhd (up nine sen or 2.65% to RM3.49), Press Metal Aluminium Holdings Bhd (gained 12 sen or 2.4% to RM5.12) and Telekom Malaysia Bhd (advanced 12 sen or 2.09% to RM5.85).

Rakuten Trade head of equity sales Vincent Lau said the KLCI enjoyed a relief rally today as investors cheered on the government’s decision not to impose full lockdown restrictions.

“KLCI took a beating last week as sentiments were dampened by the expectation that the government would impose a full lockdown in the country due to the unabated fourth-wave Covid-19 infections," he told theedgemarkets.com.

“The relief rally also came amid bargain-hunting activities following news that the government had decided not to impose total lockdown,” he added.

On Sunday (May 23), Prime Minister Tan Sri Muhyiddin Yassin said the government could not reimpose the strictest version of a Movement Control Order (MCO), following calls to re-implement it, because of the deep damage done by last year's lockdown to Malaysians' livelihoods.

Instead, the government has introduced tighter restrictions without requiring a complete lockdown.

Across Bursa Malaysia, 6.75 billion shares worth RM3.5 billion were traded at 5pm. Gainers led decliners by 902 to 282 respectively.

Bursa Malaysia’s Technology Index rose the most in percentage terms among exchange gauges, after it closed up 4.77% to 79.11.

Technology stocks dominated the top gainers by value list, namely Malaysian Pacific Industries Bhd, UWC Bhd, Vitrox Corp Bhd, Greatech Technology Bhd and Unisem (M) Bhd.

Other top gainers included Nestle (M) Bhd, Choo Bee Metal Industries Bhd, Kumpulan H & L High-Tech Bhd, Pharmaniaga Bhd and Carlsberg Brewery (M) Bhd.

Notable losers included Fraser & Neave Holdings Bhd, Genting Plantations Bhd, Y&G Corp Bhd,  Widetech (M) Bhd, Yinson Holdings Bhd, Heineken (M) Bhd and Supermax Corp Bhd.

The most actively traded stocks were Privasia Technology Bhd, UCrest Bhd, Focus Dynamics Group Bhd, Saudee Group Bhd, Eka Noodles Bhd, mTouche Technology Bhd, PUC Bhd and Kanger International Bhd.

Reuters reported that Asian shares were mixed on Monday as investors awaited key US inflation readings for guidance on monetary policy, while Bitcoin tried to steady after being hammered on news of China's clampdown on mining and trading of cryptocurrencies.

Elsewhere in Asia, Japan's Nikkei 225 rose 0.17%, South Korea's Kospi fell 0.38%. In China, Hong Kong’s Hang Seng Index inched down 0.16% and the Shanghai Stock Exchange Composite Index closed up 0.31.