KUALA LUMPUR (March 23): Malaysian stocks followed the direction of their regional counterparts and fall sharply this morning, while the benchmark FBM KLCI fell below the 1,300-point level, dragged by index-linked blue chips including Petronas counters.
At 9.05am, the FBM KLCI lost 60.46 points to 1,242.82.
The top losers included Carlsberg Brewery Malaysia Bhd, Heineken Malaysia Bhd, Hong Leong Financial Group Bhd, Petronas Dagangan Bhd, Kuala Lumpur Kepong Bhd, Petronas Gas Bhd, LPI Capital Bhd, Hong Leong Bank Bhd and Fraser & Neave Holdings Bhd.
Reuters said Asian shares slid on Monday as more countries all but shut down in the fight against the coronavirus, threatening to overwhelm policymakers' frantic efforts to cushion what is clear to be a deep global recession.
In a taste of the pain to come, E-Mini futures for the S&P 500 dived 5% at the open to be limit down, it said.
JF Apex Securities Research said US markets declined 4% on Friday amid ongoing concerns over the impact on the economy cause by the coronavirus.
It said that earlier, European stocks surged after governments announced fiscal and monetary stimulus.
“On the local market, the FBM KLCI rallied 83.56 points to 1303.28 points.
“Following the volatile trading in global markets, the FBM KLCI remains uncertain and could hover above the support of 1280 points,” it said.