KUALA LUMPUR (April 6): The FBM KLCI drifted lower Monday morning as crude oil prices continued to remain under pressure as Saudi-Russian negotiations to cut output were delayed.

Brent crude traded lower by $2.39 a barrel, or 7%, by 6:16 p.m. EDT (10:16 GMT) after earlier touching a session low of $30.03 a barrel.

At 9.10am, the FBM KLCI dipped 0.72 points to 1,329.93.

The top decliners included LPI Capital Bhd, PPB Group Bhd, Petronas Gas Bhd, MISC Bhd, MCE Holdings Bhd, Favelle Favco Bhd and Malaysia-listed Hang Seng Index-linked put warrants.

Reuters said oil prices skidded on Monday after Saudi-Russian negotiations to cut output were delayed, keeping oversupply concerns alive, while stocks jumped as investors were encouraged by a slowdown in coronavirus-related deaths and new cases.

In currency markets, sterling fell after British Prime Minister was admitted to hospital following persistent coronavirus symptoms as the pandemic rapidly spreads, it said.

JF Apex Securities Research said US markets tumbled over 1% on Friday after unemployment rate rose to 4.4% and higher death toll from the coronavirus.

It said that earlier in the day, European stocks declined after March PMI data fell to a record low.

“On the local bourse, the FBM KLCI was flat after shedding 0.25 points to 1330.65 points.

“Following the bearish performances in the US and Europe, the FBM KLCI could remain pressured with support at 1280 points,” it said.