KUALA LUMPUR (March 16): The FBM KLCI lost 2.76% at the midday break in tandem with the fall at most regional markets, as global equities were roiled despite an emergency move by the US Federal Reserve (Fed) to cut rates.

However, the local benchmark index regained some lost ground and clawed back above the 1,300-point level.

At 12.30pm, the FBM KLCI was down 37.1 points to 1,307.65. The index had earlier slipped to a low of 1,299.42.

Market breadth was negative with 787 losers and 28 gainers, while 338 counters traded unchanged. Volume was 2.02 billion shares valued at RM1.45 billion.

The top losers included Dutch Lady Milk Industries Bhd, Panasonic Manufacturing Malaysia Bhd, Nestle (M) Bhd, Fraser & Neave Holdings Bhd, Ajinomoto (M) Bhd, LPI Capital Bhd, Carlsberg Brewery Malaysia Bhd, Aeon Credit Service (M) Bhd and Heineken Malaysia Bhd.

The actives included Borneo Oil Bhd, Bumi Armada Bhd, Velesto Energy Bhd, Jaks Resources Bhd, Ekovest Bhd, Sapura Energy Bhd, My EG Services Bhd, Vortex Consolidated Bhd and KNM Group Bhd.

The gainers included Toyo Ink Group Bhd, Yee Lee Corp Bhd, Sime Darby Plantation Bhd, Kwantas Corp Bhd, YSP Southeast Asia Holding Bhd and Mycron Steel Bhd.

Reuters said stock markets and the US dollar were roiled on Monday after the Fed slashed interest rates in an emergency move and its major peers offered cheap US dollars to break a logjam in global lending markets.

The aggressive policy steps were aimed at cushioning the economic impact as the breakneck spread of the coronavirus all but shut down more countries, but had only limited success in calming panicky investors, it said.

Kenanga IB Research said that last Friday, Asian stocks ended lower after Wall Street dropped to a record low as Covid-19 fears escalate.

It said back home, the FBM KLCI lost 74.68 points or 5.26% to finish at 1,344.75.

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

“On the chart, we have lowered our support level to 1,310 (S1) (its Sept 2011 low) and 1,240 (S2) (61.8% retracement level from the trough in 2009 to the peak in 2018).

“Conversely, key resistance levels are now seen at 1,450 (R1) and 1,495 (R2),” it said.