KUALA LUMPUR (Nov 9): The main index at Bursa Malaysia bucked the regional trend and fell at the midday break on profit-taking in index-linked stocks, including Tenaga Nasional Bhd and PPB Group Bhd.

At 12.30pm, the FBM KLCI fell 5.8 points to 1,513.84. The index had earlier risen to a high of 1,533.05.

Losers edged gainers by 373 to 335, while 754 counters traded unchanged. Trading volume was 6.34 billion shares valued at RM2.61 billion.

The top losers included Malaysian Pacific Industries Bhd, PPB, Malaysia Airports Holdings Bhd, Petronas Dagangan Bhd, Carlsberg Brewery Malaysia Bhd, Tenaga Nasional, Hong Leong Financial Group Bhd, Time dotCom Bhd and Nestle (M) Bhd.

The actively traded stocks included AT Systematization Bhd, Lambo Group Bhd, Pegasus Heights Bhd, XOX Bhd, Sapura Energy Bhd, Kanger International Bhd and GD Express Carrier Bhd.

The gainers included Dutch Lady Milk Industries Bhd, British American Tobacco (M) Bhd, ViTrox Corp Bhd, Latitude Tree Holdings Bhd, Panasonic Manufacturing Malaysia Bhd, Kumpulan Powernet Bhd, Fraser & Neave Holdings Bhd and Ajinomoto (M) Bhd.

Reuters said shares surged, oil prices jumped and the US dollar stayed weak on Monday as expectations of fewer regulatory changes and more monetary stimulus under US president-elect Joe Biden supported risk appetite.

The Democratic candidate's victory at the US presidential election was largely priced-in by markets, which had been trading with the view of a Biden presidency and a Republican-controlled US Senate since last week, it said.

Hong Leong IB (HLIB) Research said the Biden presidency, which is viewed as moderate and less confrontational, and a stimulative Budget 2021 are likely to keep the Malaysian market in celebration mode but concerns about the economic impact from rising number of areas under CMCO and ongoing November results season may restrict further rally.

It said weekly supports are pegged at 1,500-1,489-1,474 whilst resistances are situated near 1,535-1,541-1,555 levels.

Sector-wise, HLIB reiterated its "overweight" rating on the glove sector, given its strong earnings prospects as it is a key beneficiary of the robust global demand owing to Covid-19.

“Moreover, in the absence of a widely-speculated windfall tax on the sector and with the removal of this major overhang, the sector is ripe for a further rebound in the short term,” it said.