KUALA LUMPUR (Feb 26): The FBM KLCI dipped 0.35% at mid-morning today, weighed by select blue chips, in line with the pause at regional markets.

At 10am, the FBM KLCI fell 6.01 points to 1,718.57.

Losers led gainers by 460 to 147, while 238 counters traded unchanged. Volume was 770.72 million shares valued at RM356.49 million.

The top losers included Dutch Lady Milk Industries Bhd, Petronas Dagangan Bhd, Fraser & Neave Holdings Bhd, Carlsberg Brewery Malaysia Bhd, Amway (M) Holdings Bhd, Mi Technovation Bhd, PPB Group Bhd, New Hoong Fatt Holdings Bhd, DKSH Holdings (M) Bhd and Deleum Bhd.

The actives included Bumi Armada Bhd, Econpile Holdings Bhd, Sapura Energy Bhd, TRC Synergy Bhd, Seacera Group Bhd, Orion IXL Bhd and Prestariang Bhd.

The gainers included Batu Kawan Bhd, United Plantations Bhd, Tan Chong Motor Holdings Bhd, APM Automotive Bhd, Petronas Chemicals Group Bhd, Merge Energy Bhd, Malaysian Bulk Carriers Bhd, Petronas Gas Bhd and Genting Plantations Bhd.

The pound climbed to near four-week highs on Tuesday on a report UK Prime Minister Theresa May could seek to delay a Brexit deadline while Asian shares paused at a five-month peak on signs Washington and Beijing were making progress on a trade deal, according to Reuters.

Sterling jumped to US$1.3149 in early Asian trade after Bloomberg reported May was expected to allow her Cabinet to discuss extending the Brexit deadline beyond March 29 at a crunch meeting later in the day, it said.

Hong Leong IB Research said taking cues from the progressive US-China trade talks and increasingly dovish US Fedederal Reserve (Fed), further gains on Dow remain bright, but growing worries over the global economy coincide with a deteriorating US 1Q19 earnings outlook might cap further strong gains.

“Stiff resistances are near 26,300-26,500 while supports are pegged at 25,500-25,700 zones,” it said.

On the FBM KLCI, the research house said the Dow’s bullish outlook (+11.9% year to date) amid the US-China trade optimism as well as a dovish Fed, coupled with the recovery in commodity prices and news on the potential resumption in domestic mega projects should bode well for KLCI to retest 1,738 or 200D SMA levels.

“However, sentiment would remain cautious as the ongoing 4Q18 results season coupled with recent net foreign outflows might limit further upside potential.  Supports are near 1,700-1,706 levels,” it said.