KLCI dips in early trade as sentiment remains jittery after poor 1Q corporate earnings season

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KUALA LUMPUR (June 2): The FBM KLCI fell in early trade today as local investor sentiment remains jittery amist a lack of fresh catalyst as well as on the back of the disappointing first quarter corportate earnings.

At 9.02am, the FBM KLCI fell 1.23 points to 1, 742.18.

The top losers in early trade included Carlsberg Brewery (M) Holdings Bhd, Guiness Anchor Bhd, Malaysia Smelting Corporation Bhd, UEM Edgenta Bhd, PPB Group Bhd, Axis REIT, Microlick Solutions Bhd, Hong Leong Bank Bhd, MISC Bhd, Uzma Bhd, KLCC Property Holdings Bhd, Top Glove Corporation Bhd, IJM Corporation Bhd and Telekom Malayaia Bhd.

The dollar tested a 12-1/2-year peak against the yen on Tuesday after a spate of mostly upbeat U.S. data reinforced expectations that the Federal Reserve would raise interest rates this year, while Asian shares were little changed.

MSCI's broadest index of Asia-Pacific shares outside Japan was down in early trade, while Japan's Nikkei stock index edged up about 0.1 percent.

US markets climbed higher following improved economic data on manufacturing, construction spending and personal income. Meanwhile, European stocks closed mixed after Europe and UK manufacturing data came below estimate.

On the local market, the FBM KLCI lost 4.11 points to 1743.41 points. With no catalyst in sight, we expect the index to remain lackluster and trade sideways above the support of 1730 points.