KUALA LUMPUR (May 18): The FBM KLCI extended its gains in early trade Monday and remained above the 1,499-level, as firmer crude oil prices took centre stage and global economies reopened businesses.

Oil rose above US$30 a barrel for the first time in two months as producers in the U.S. and elsewhere continued to cut activity

At 9.10am, the FBM KLCI rose 7.57 points to 1,411.01.

The early gainers included Carlsberg Brewery Malaysia Bhd, Bursa Malaysia Bhd, Time Dotcom Bhd, Yinson Holdings Bhd, Hengyuan Refining Company Bhd, Petron Malaysia Refining & Marketing Bhd, Tenaga Nasional Bhd, Petronas Chemicals Group Bhd and Supermax Corp Bhd.

Bloomberg said U.S. stock futures advanced, Asian benchmarks edged up and the yen ticked down as investors continued to find encouragement in businesses reopening across major economies.

Futures on the S&P 500 climbed after the index rose on Friday, trimming a weekly loss. Japanese, Korean and Australian shares opened higher, while Treasuries were flat. California’s economy is now 75% open, its governor said, while upstate New York is also set to reopen; Apple Inc. said nearly 100 of its stores have opened doors. Even so, the Federal Reserve has warned of potential asset-price declines if the pandemic worsens, it said.

Rakuten Trade in its daily market report said Wall Street again staged a late revival to close on a positive note with hopes of a speedy recovery for the US economy.

“We reckon such trading pattern on Wall Street should add plenty of volatility to regional markets amid the growing pandemic.

“On the domestic front, the FBM KLCI continued with the rather strong showing as the benchmark index closed again higher.

“For today, we believe the FBM KLCI to take cue from its regional peers thus may see the index tending on a tight range of between 1,390-1,410,” it said.

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