KUALA LUMPUR (May 6): The FBM KLCI fell 0.59% at mid-morning today in line with the slump at most regional markets.
At 10am, the FBM KLCI fell 10.66 points to 1,816.76.
The top losers included British American Tobacco (M) Bhd, PPB Group Bhd, Carlsberg Brewery (M) Bhd, Pharmaniaga Holdings Bhd, Kuala Lumpur Kepong Bhd, Sunway Bhd, Malayan Banking Bhd and MISC Bhd.
The top actives included R & A Telecommunication Group Bhd, Kinsteel Bhd, Sumatec Resources Bhd, Perwaja Holdings Bhd, Kanger International Bhd, Perisai Petroleum Teknologi Bhd, KNM Group Bhd and Frontken Corporation Bhd.
The gainers included Guiness Anchor Bhd, MNRB Holdings Bhd, Time Dotcom Bhd, Fraser and Neave Holdings Bhd, UMW Holdings Bhd, Dayang Enterprise Holdings Bhd and Muhibbah Engineering Bhd.
Asian stocks stumbled on Wednesday in sympathy with weak U.S. and European markets as equities investors were spooked by a vicious selloff in sovereign bonds globally, according to Reuters.
The sudden spike in bond yields is being mirrored by an equally rapid rally in resources to suggest investors are becoming less concerned about the danger of deflation, it said.
Hong Leong IB Research said despite a 9.2 point technical bounce yesterday to stay above 200-d SMA (near 1818), near term FBM KLCI outlook remains uncertain due to the lack of local fresh catalysts (except the tabling of 11th Malaysian Plan in Parliament on 21 May).
It said that overall, sentiment would remain edgy, given a 46% reduction in majority votes registered in the Rompin by-election yesterday, Greek debt crisis, the traditionally volatile month of May (which coincides with reporting season for CY1Q15 and unlikely to excite due to uncertainties ahead of GST) and potential Fitch rating downgrade during its next review in May/Jun.
“Crucial supports are now situated near 1,818-1,800 whilst resistances now are 1,830-1,850,” it said.