KUALA LUMPUR (July 4): The FBM KLCI closed 2.57 points or 0.15% lower today on continued profit taking in an overbought Malaysian stock market and as lower crude oil prices hit local shares.

At 5pm, the KLCI closed down at 1,687.48 on profit taking after rising to its intraday high at 1,690.81. The KLCI closed lower today to extend losses after yesterday's 0.95 point or 0.06% drop.

Today, analysts said Malaysian shares exhibited overbought momentum after recent gains. "The local market should consolidate due to overbought momentum after recent gains and as investors await further leads from data on slowing
global economies and US trade policies," TA Securities Holdings Bhd wrote in a note today.

Lower crude oil prices did not help either. Malacca Securities Sdn Bhd senior analyst Kenneth Leong said the KLCI extended losses today amid renewed volatility in crude oil prices.

“This is also coupled with the uncertainly over global trade,” Leong told theedgemarkets.com today.

Reuters reported that oil prices fell more than 0.5% on Thursday, weighed down by data showing a smaller-than-expected decline in US crude stockpiles and worries about the global economy.

It was reported that front-month Brent crude futures, the international benchmark for oil prices, were down 1% at US$63.21 per barrel by 0538 GMT after closing up 2.3% on Wednesday. According to Reuters today, US West Texas Intermediate crude futures were down 1% at US$56.78 per barrel after closing up 1.9% on Wednesday.

Across Bursa Malaysia today, the exchange saw 2.84 billion shares worth RM1.82 billion traded. Top decliners included Petronas Gas Bhd after the stock closed 18 sen or 1.03% lower at RM17.36.

Oil and gas-related shares which ended lower included Petron Malaysia Refining & Marketing Bhd. The stock fell four sen or 0.65% to RM6.16.