KUALA LUMPUR (March 23): The FBM KLCI found itself back below the 1,300-point level at the midday break Monday, after a brief respite last Friday, as it tracked regional losses.

At 12.30pm, the FBM KLCI lost 2.7% or 35.21 points to 1,268.07, dragged by most index-linked constituent stocks. The index had earlier slumped to a low of 1,241.46.

Market breadth was negative with 650 losers and 51 gainers, while 331 counters traded unchanged. Volume was 1.63 billion shares valued at RM1.09 billion.

Among the laggards, index-linked bank stocks stumbled after the sector’s earnings growth was seen contracting by 7.4% this year, down from the 0.1% contraction estimated earlier.

Among the banking stocks that fell were CIMB Group Holdings Bhd, Malayan Banking Bhd, Public Bank Bhd, RHB Bank Bhd and AMMB Holdings Bhd, while other decliners included IHH Healthcare Bhd, Top Glove Corp Bhd, Genting Malaysia Bhd, Carlsberg Brewery Malaysia Bhd and Heineken Malaysia Bhd.

The actives included Lambo Group Bhd, AirAsia Group Bhd, Jaks Resources Bhd, Hibiscus Petroleum Bhd, Ekovest Bhd, Genting Malaysia Bhd, Bumi Armada Bhd and Velesto Energy Bhd.

The gainers included Spritzer Bhd, Kossan Rubber Industries Bhd, Hartalega Holdings Bhd, KPJ Healthcare Bhd and Menang Corp Bhd.

Reuters reported that Southeast Asian stock markets fell on Monday and Singapore marked its worst day in over 11 years as lockdowns and travel curbs to stem the spread of the coronavirus pandemic stoked fears of a likely recession.

While nations imposed stricter restrictions on movement, central banks in the region have adopted a range of measures to boost liquidity and spur growth in markets but their efforts have paled in comparison to the speed of the virus' spread and the economic toll, it said.

Kenanga IB Research said last Friday, Asian stocks ended mostly higher as investors were encouraged by the surge in oil prices as well as central banks’ efforts to combat the virus risks.

It said back home, the FBM KLCI rose 83.56 points or 6.85% to finish at 1,303.28.

“Chart-wise, the index remains below all the key SMAs. Coupled with the bearish MACD signal, we expect the index to remain under pressure ahead.

“On the chart, our support levels are seen at 1,145 (S1) and 1,050 (S2). Conversely, the resistance levels are now set at 1,310 (R1) and 1,360 (R2),” it said.