KUALA LUMPUR (Oct 1): The FBM KLCI edged down at mid-morning to as sentiment at the local bourse turned cautious.

At 10am, the FBM KLCI was down 0.71 points to 1,620.33.

The top losers included Lay Hong Bhd, Hong Leong Financial Group Bhd, Sarawak Oil Palms Bhd, Kuala Lumpur Kepong Bhd, PPB Group Bhd, DiGi.Com Bhd, Top Glove Corporation Bhd, IGB Corporation Bhd, C.I. Holdings Bhd and Genting Bhd.

The actively traded stocks included AirAsia Bhd, AirAsia X Bhd, The Media Shoppe Bhd, Felda Global Ventures Holdings Bhd, IFCA MSC Bhd and Datasonic Group Bhd.

The top gainers included Magni-Tech Industries Bhd, Metrod Holdings Bhd, Genting Plantations Bhd, British American Tobacco (M) Bhd, Telekom Malaysia Bhd, Far East Corporation Bhd and Pharmaniaga Holdings Bhd.

Asian stocks edged up on Thursday as global equities found breathing space after their worst quarter in four years, although caution over China Purchasing Managers' Indexes due later in the session limited gains, according to Reuters.

Stocks in Asia took heart from an overnight rally on Wall Street, where the S&P 500 gained 1.3% and the Dow rose 1% as bargain hunters scooped up beaten-down shares, it said.

Hong Leong IB Research said Bursa Malaysia may get an extended bounce today from recent weakness due to positive spillover from overnight gains in US and European markets.

The research house said given its strong close above 30-d SMA (now at 1,604) yesterday, the FBM KLCI could inch higher in the near term to test 1,633 and 1,640 resistance levels.

“A decisive break above 1,640 will spur index higher to retest formidable downtrend line resistance near 1,669.

“Nevertheless, we expect stiff resistance near 1,669 in the wake of nagging internal and external headwinds, the FBM KLCI’s near-term outlook will remain choppy.

“Key support is 1,604 and 1,595. A decisive breakdown will witness further slide towards 1,575,” it said.

(Note: The Edge Research's fundamental score reflects a company’s profitability and balance sheet strength, calculated based on historical numbers. The valuation score determines if a stock is attractively valued or not, also based on historical numbers. A score of 3 suggests strong fundamentals and attractive valuations.)