FBM KLCI down at intraday low as trade war hits sentiment

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KUALA LUMPUR (Sept 25): The FBM KLCI closed 5.7 points or 0.32% lower today after China and the US' move to slap new tariffs on each other's goods yesterday continued to hit world market sentiment.

At 5pm today, the KLCI closed at its intraday low at 1,794.47 points. The KLCI extended losses today after the index fell 10.47 points yesterday.

Across the globe today, Reuters reported that Asia stocks struggled on Tuesday as a fresh round of US-China tariffs and a surge in oil prices to near four-year highs added to worries about risks to global growth. MSCI's broadest index of Asia-Pacific shares outside Japan edged down 0.15 percent.

It was reported that the US' Dow Jones Industrial Average fell about 0.7 percent and the S&P 500 slipped 0.35 percent overnight.

In Malaysia today, Malacca Securities Sdn Bhd senior analyst Kenneth Leong told theedgemarkets.com the weakness in the KLCI was also in tandem with general negative sentiment across Asian and US stock markets.

“Another factor that contributed to the negative sentiment is the renewed weakness in the ringgit against the US Dollar,” Leong said. At the time of writing, the ringgit depreciated to 4.1372 against the US dollar.

Across the KLCI, Axiata Group Bhd was the bigest decliner, in percentage terms, among the 30 index-linked stocks followed by Telekom Malaysia Bhd (TM).

At 5pm, Axiata shares slipped 21 sen or 4.4% to close at RM4.56. TM fell five sen or
1.53% to RM3.21.