KUALA LUMPUR (July 19): The FBM KLCI cut losses for a 0.29-point drop on bargain hunting, while the ringgit weakened as crude oil prices fell.

At 5 p.m., the KLCI finished at 1,670.55 points, after the index touched its intraday low at 1,666.43 points. The KLCI had earlier risen to its intraday high at
1,674.58 points.

The ringgit weakened to 4.0065 against the U.S. dollar, after trading between 3.9725 and 4.0425 today. The ringgit tracks crude oil prices, as the commodity forms a crucial component of the Malaysian economy.

Reuters reported oil prices eased on Tuesday, as concerns over a crude and refined fuel glut outweighed an expected cut in U.S. shale production and a probable further draw in U.S. crude inventories.

Brent crude slipped 11 cents to US$46.85 a barrel as of 0657 GMT, after finishing the previous session down 65 cents or 1.4%. U.S. crude, known as West Texas Intermediate (WTI), fell 11 cents to US$45.13 a barrel, after settling 71 cents or about 1.6% lower in the previous session.

In Malaysia today, JF Apex Securities Bhd senior analyst Lee Cherng Wee told theedgemarkets.com that the KLCI's decline could be attributed to profit taking activities, after the market’s steady climb last week.

“(Today) Falling crude oil prices had also dampened sentiment,” Lee said.

Bursa Malaysia saw 1.88 billion shares, valued at RM2.01 billion, traded. There were 424 gainers against 376 decliners.

Top gainer was Panasonic Manufacturing Malaysia Bhd, while leading decliners included Microlink Solutions Bhd and Scientex Bhd.

The most active counter was Vivocom Intl Holdings Bhd, which saw some 85 million shares exchanging hands. The stock added 2.5 sen to 28 sen.