KUALA LUMPUR (Oct 10): The FBM KLCI ticked higher on some mild bargain hunting activities this morning and was up 0.26%, against the backrop of mixed regional markets.

At 9.05am, the FBM KLCI was up 4.69 points to 1,778.84.

The early gainers included Petronas Dagangan Bhd, Hong Leong Financial Group Bhd, Hong Leong Bnk Bhd, United Plantations Bhd, Petron Malaysia Refining & Marketing Bhd, Petronas Gas Bhd, Maxis Bdh, Sime Darby Plantations Bhd, Hap Seng Consolidated Bhd and IHH Healthcare Bhd.

Asian stocks looked set for a mixed start to trading Wednesday following a volatile session for U.S. equities and as yields on Treasuries retreated from a seven-year peak, according to Bloomberg.

Equity futures nudged higher in Japan and Hong Kong, while Australian shares pointed to small declines. The S&P 500 Index was dragged down by materials shares, after a profit warning in the sector, while technology shares rebounded from a three-day rout. The Bloomberg Dollar Spot Index hit lows on the day after U.S. President Donald Trump said the Federal Reserve is moving too fast with rate hikes, it said.

Hong Leong IB Research in a traders’ brief said despite the 10-year treasury yield retreating from the multi-year high, the concerns over interest rate upcycle environment could dampen the sentiment moving forward.

“Also, the unsettled trade war between US and China may pose downside risk towards stock markets. Hence, we opine that the Dow’s upside will be limited over the near term and the resistance will be located around 27,000,” it said.

The researhc house said it expects negative sentiment to spillover on the local front, tracking weaker performance on Wall Street and investors are likely to deploy a wait-and-see approach ahead of both the 11MP midterm review (18 Oct) and Budget 2019 (2 Nov) events.

“Nevertheless, O&G sector may trade actively following a rebound in Brent crude oil prices, which is hovering near US$85 level,” it said.