KLCI adds 0.34% as regional markets hover near record highs

KLCI adds 0.34% as regional markets hover near record highs
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KUALA LUMPUR (Feb 8): The main index at Bursa Malaysia added 0.34% at mid-morning today, as select index-linked stocks advanced against the backdrop of near record high regional bourses.

At 10am, the FBM KLCI was up 5.33 points to 1,583.96.

Gainers led losers by 501 to 355, while 406 counters traded unchanged. Trading volume was 2.06 billion shares valued at RM1.06 billion.

The gainers included Nestle (M) Bhd, Seni Jaya Corp Bhd, Petronas Chemicals Group Bhd, Fraser & Neave Holdings Bhd, Techbond Group Bhd, Press Metal Aluminium Holdings Bhd, Telekom Malaysia Bhd, PPB Group Bhd and Malaysian Pacific Industries Bhd.

The actively traded stocks included Dagang NeXchange Bhd, AT Systematization Bhd, Trive Property Group Bhd, Luster Industries Bhd, Sanichi Technology Bhd and Iris Corp Bhd.

The decliners included Hartalega Holdings Bhd, Supermax Corp Bhd, Top Glove Corp Bhd, See Hup Consolidated Bhd, KESM Industries Bhd, Hong Leong Financial Group Bhd, United Plantations Bhd and Ajinomoto (M) Bhd.

Reuters said Asian shares hovered near record highs on Monday while oil edged closer to US$60 a barrel on hopes a US$1.9 trillion Covid-19 aid package will be passed by US lawmakers as soon as this month just as coronavirus vaccines are being rolled out globally.

MSCI's broadest index of Asia-Pacific shares outside Japan was last up 0.2% at 717.2, not far from last week's record high of 730.6, it said.

Inter-Pacific Research Sdn Bhd said the slight uptick in Malaysian equities stalled last Friday as profit-taking resumed, sending the key index below the 1,580 level again, much of it due to the retreat of glove maker stocks alongside selected plantation stocks.

In its daily bulletin today, the research house said that in addition, the mild bargain-hunting actions also evaporated and as a result, traded volumes slipped with the lower liners and broader market shares staying mixed.

“There remain few noteworthy leads for market players to follow and we see the key index staying mostly rangebound ahead of the Lunar New Year break at the end of the week.

“The lack of leads would also see the market remaining thin with market players awaiting the release of the country’s 4Q2020 GDP later in the week before charting their next course.

“In the interim, overall market sentiments are still cautious due to the ongoing pandemic conditions and concerns over the country’s economic outlook for 1H2021 that is likely to be affected by the latest lockdown amid the unabated Covid-19 cases,” it said.

Nevertheless, Inter-Pacific said the key index will attempt to make some headway to climb back above the 1,580 level, before resuming its range-bound trend within the 1,580 and 1,600 levels.

“The other support is at the 1,570 level.

“The lower liners and broader market shares are seeing some mild revival following their recent consolidation and this trend may continue despite the reduced following amid the selected bargain-hunting activities.

“At the same time, we also think that the quick profit-taking activities could keep a lid on the gains for the time being,” it said.