FBM KLCI finishes up 16.96 points on US-China trade optimism

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KUALA LUMPUR (Aug 30): The FBM KLCI rose 16.96 points or 1.06% today to close at its intraday high as news on US and China's willingness to continue trade negotiations buoyed world markets.

At 5pm, the KLCI closed up at 1,612.14 points amid broad-based buying across Bursa Malaysia. All Bursa indices closed in positive territory save for the ACE Market gauge.

Malacca Securities Sdn Bhd senior analyst Kenneth Leong said the KLCI rose on US-China trade optimism and as investors bargain hunted for selected KLCI stocks on August's final trading day today.

Today also marks the conclusion of the Malaysian corporate financial reporting season for the April-to-June quarter. At a glance today, Bursa top gainers included KLCI components Petronas Dagangan Bhd, Hong Leong Financial Group Bhd and Kuala Lumpur Kepong Bhd.

“The sharp uptick on the key index (KLCI) was also in line with the positive sentiment across its regional peers," Leong told theedgemarkets.com

Reuters reported that Asian shares jumped to a one-week high on Friday as the United States and China showed a willingness to resolve their trade dispute by returning to the negotiating table, though lingering recession fears tempered some of the enthusiasm.

It was reported that China's Commerce Ministry said both sides are discussing the next round of talks scheduled for September, but progress would be determined by whether Washington could create favorable conditions. US President Donald Trump said in a Fox News radio interview that trade talks were scheduled for Thursday "at a different level," but did not provide details, according to Reuters.

Next week, Malaysian markets will be closed on Monday (Sept 2) in lieu of Awal Muharram, which falls on Sunday. Trading resumes on Tuesday (Sept 3).