KLCI extends gains, jumps 0.75% as index-linked glove makers surge on rising virus cases

KLCI extends gains, jumps 0.75% as index-linked glove makers surge on rising virus cases
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KUALA LUMPUR (July 6): The FBM KLCI extended its gains and jumped 0.75% in the mid-morning as index-linked glove makers surged on rising Covid-19 cases that delayed reopening across the US.

At 10am, the KLCI had jumped 11.68 points to 1,564.33.

Gainers led losers by 483 to 237, while 374 counters traded unchanged. Trading volume was 2.16 billion shares valued at RM1.08 billion.

The top gainers included Top Glove Corp Bhd, Hartalega Holdings Bhd, Petronas Gas Bhd, Supermax Corp Bhd, Kossan Rubber Industries Bhd, JF Technology Bhd and Greatech Technology Bhd.

The actives included Pegasus Heights Bhd, DGB Asia Bhd, Vivocom Intl Holdings Bhd, Anzo Holdings Bhd, Iris Corp Bhd, Sino Hua-Ann International Bhd, Hubline Bhd and Careplus Group Bhd.

The decliners included Dutch Lady Milk Industries Bhd, Petronas Dagangan Bhd, Carlsberg Brewery Malaysia Bhd, Heineken Malaysia Bhd and Plenitude Bhd.

Reuters said Asian shares held near four-month highs today as investors counted on super-cheap liquidity and fiscal stimulus to sustain the global economic recovery even as surging Covid-19 cases delayed reopening across the US.

MSCI's broadest index of Asia-Pacific shares outside Japan inched up 0.05%, having hit its highest since February, it said.

Hong Leong Investment Bank (HLIB) Research said riding on the bullish technical momentum, more positive results of the development of Covid-19 vaccines and encouraging economic data from the US and China, coupled with the global "liquidity flush" amid "unlimited quantitative easing" and a potential overnight policy rate cut tomorrow (based on the consensus estimate), the index is poised to march higher to the 1,563-1,576 points region but imminent profit taking is likely to surface in the second half of the year this week, ahead of the widely anticipated Parliament resitting on July 13.