KLCI falls 1.16% as Tenaga, Genting drag

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KUALA LUMPUR (Dec 26): The FBM KLCI lost 1.16% at mid-morning today as the local market sentiment turned tepid in line with the regional markets, dragged by losses at Tenaga Nasional Bhd and Genting Bhd.

At 10am, the FBM KLCI fell 19.35 points to 1,664.47.

Losers led gainers by 447 to 72, while 180 counters traded unchanged. Volume was 344.79 million shares valued at RM176.05 million.

The top losers included Ajinomoto (M) Bhd, Tenaga Nasional, Genting, Nestle (M) Bhd, Petronas Dagangan Bhd, Aeon Credit Service (M) Bhd, Panasonic Manufacturing Malaysia Bhd, Hong Leong Bank Bhd, Hong Leong Industries Bhd and KESM Industries Bhd.

The actives included Sapura Energy Bhd, Hubline Bhd, Hibiscus Petroleum Bhd, Prestariang Bhd, My EG Services Bhd, Genting Malaysia Bhd, Jaks Resources Bhd, Vivocom International Holdings Bhd and Yong Tai Bhd.

The gainers included Fraser & Neave Holdings Bhd, Gopeng Bhd, Pharmaniaga Bhd, Unisem (M) Bhd, Wong Engineering Corp Bhd and N2N Connect Bhd.

Global stock markets were heading into the year-end under a heavy cloud after another rout this week as US political uncertainty added to heightened concerns over slowing global economic momentum. Asian equities were shaky on Wednesday following the plunge in Wall Street on Christmas Eve in the face of a series of unnerving US political developments, including a US federal government shutdown and President Donald Trump's increasingly hostile stance towards the Federal Reserve chairman, according to Reuters.

US Treasury Secretary Steven Mnuchin had also raised market concerns by convening a crisis group amid the pullback in stocks, it said.

Affin Hwang Capital Research said Asian markets were expected to open flat with slight downward bias as the US market continues to weaken.

"The FBM KLCI Index expected to be very volatile.

"Nonetheless, weakness from the US market should be capitalised as opportunity to accumulate local stocks since these stocks are in a deeply oversold range and anticipated to edge higher in the near future. Accumulate quality stocks on price weakness.

"Anticipate FBM KLCI Index to test the short-term resistance in the near future," it said.