KUALA LUMPUR (Nov 5): The FBM KLCI fell 7.5 points or 0.44% to settle at 1,706.37 as investors digested Malaysia's Budget 2019 and China-US trade dispute updates.

At 12:30pm, volume across Bursa Malaysia was 1.38 billion shares valued at RM1.96 billion. Top decliners included Genting Malaysia Bhd and Malaysia Airports Holdings Bhd.

TA Securities Holdings Bhd wrote in a note today that while the welcome surprise over Malaysia's expansionary Budget 2019's higher revenue and lower deficit targets should boost local sentiment, "external uncertainties should continue to weigh".

Across Asia, Reuters reported that Asian stocks sank on Monday as fears of faster rate hikes in the United States and uncertainty around the Sino-US trade war deterred investment in riskier assets, while sterling jumped to a two-week high on hopes of an orderly Brexit.

It was reported that MSCI's broadest index of Asia-Pacific shares outside Japan lost 1.5% on Monday, slipping back towards last week's 1½-year trough of 505.61 points. It was also reported that markets are expected to be skittish ahead of US congressional midterm elections on Tuesday.