(Updated)

Gains on glove stocks fail to lift KLCI; ACE Market Index up 1.2%

Gains on glove stocks fail to lift KLCI; ACE Market Index up 1.2%
-A +A

KUALA LUMPUR (April 23): The gains on glove makers failed to lift the FBM KLCI much, as market interest is mainly in the low liners and ACE Market-listed counters. 

The benchmark index eked out a barely 0.7-point gain today to end the week at 1,608.43. However, The FBM ACE Index was up 1.21% or 103.64 points at 8,686.05. 

The FBM KLCI was almost flat on a week-on-week basis, rising by 0.05 points from the 1,608.38 seen last Friday (April 16).

Rubber glove counters Hartalega Holdings Bhd, Supermax Corp Bhd and Top Glove Corp Bhd resumed their upward momentum of late against the backdrop of the resurgence in Covid-19 cases in many parts of the world. 

Hartalega went up by 2.28% or 24 sen at RM10.78, while Supermax gained 3.12% or 18 sen to RM5.95. Top Glove, which has decided to downsize its initial public offer in Hong Kong, closed 1.96% or 11 sen higher at RM5.73.

Conversely, the laggards on the index were CIMB Group Holdings Bhd, RHB Bank Bhd and Hap Seng Consolidated Bhd.

Trading volume stood at 6.55 billion shares worth RM4.98 billion. Top actives were Focus Dynamics Group Bhd, UCrest Bhd and Mah Sing Group Bhd, which will start producing rubber gloves next month. 

Today’s top value gainers were Transocean Holdings Bhd, which soared 77 sen or nearly 30% to RM3.34, Freight Management Holdings Bhd and Adventa Bhd. Transocean’s share price has quadrupled over the past two weeks. 

Top value losers were Nestle (Malaysia) Bhd, Dutch Lady Milk Industries Bhd and Hong Leong Financial Group Bhd.

Most indices on Bursa Malaysia were up today, with the FBM Fledgling, FBM MidS Cap Shariah and FBM Small Cap indices posting the highest gains.

Rakuten Trade Research head of equity sales Vincent Lau noted that rebounds in US equity futures also helped boost sentiment, while noting that there was bargain hunting as well.  

Key regional bourses were a mixed bag today. Hong Kong’s Hang Seng Index climbed 1.12% or 323.41 points to 29,078.75. The Shanghai Composite closed 0.26% or 9.05 points higher at 3,474.17. Gains were also seen in South Korea, with the Kospi rising 0.27% or 8.58 points to 3,186.1.

Tokyo’s Nikkei 225, however, closed 0.57% or 167.54 points lower at 29,020.63. 

Across the causeway, Singapore announced a cabinet reshuffle, appointing Lawrence Wong as the Finance Minister today. The Straits Times Index was down 0.07% or 2.19 points at 3,189.97.

Reuters reported that Asian equities and currencies were subdued today, as surging Covid-19 infections in India, Thailand and South Korea sapped appetite for investments in these markets.

“The overnight lead from Wall Street was also negative, as major indexes fell on reports that US President Joe Biden planned to raise taxes on the wealthy to fund major investments,” it reported.

Kathy Fong