KUALA LUMPUR (May 28): The FBM KLCI held firm above the crucial 1,600-point level at mid-morning today, lifted by key index-linked stocks including utility giant Tenaga Nasional Bhd.

At 10am, the FBM KLCI added 3.48 points to 1,604.83.

Gainers led losers by 256 to 207, while 245 counters traded unchanged. Volume was 336.74 million shares valued at RM136.6 million.

The gainers included Nestle (M) Bhd, Latitude Tree Holdings Bhd, UEM Edgenta Bhd, United Plantations Bhd, QL Resources Bhd, Tenaga Nasional Bhd, Malaysia Airports Holdings Bhd, Kossan Rubber Industries Bhd and Hong Leong Financial Group Bhd.

The actives included Vortex Consolidated Bhd, Scomi Group Bhd, Ekovest Bhd, Bumi Armada Bhd and KNM Group Bhd.

The decliners included Tong Herr Resources Bhd, Hong Leong Industries Bhd, Genting Plantations Bhd, Focus Lumber Bhd, Turbo-Mech Bhd, Subur Tiasa Holdings Bhd, Kuala Lumpur Kepong Bhd and KESM Industries Bhd.

Asian shares tracked European gains on Tuesday, as relief over EU election results eased concerns about political difficulties in the bloc and merger news supported auto shares, although persistent concerns about trade capped regional sentiment, according to Reuters.

MSCI's broadest index of Asia-Pacific shares outside Japan was up 0.07% in early trade, and US S&P 500 e-mini futures rose 0.14% to 2,835.75, it said.

Hong Leong IB Research said that in the US, the cautious trading tone could persist as trade deal between the two major economies has not materialised.

"Furthermore, the recent US sanctions on Huawei could translate to further complexity in the trade progress. Despite [US] President [Donald] Trump's comments on the projected timeline on a potential conclusion to be expected by end-June, market participants will be attentive to any trade headlines before any significant trading decision moving forward.

"On the local front, we are expecting further sideways consolidation phase and the trading activities may stay tepid without any fresh leads in the markets.

"Although trade negotiations may resume at some point, risk apprehension may extend over the near term which may cap the upside potential on the KLCI. Nevertheless, we see trading opportunities within export-oriented stocks as ringgit remains soft at this juncture around the RM4.18/USD," it said.