KLCI opens lower in line with retreat at global markets

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KUALA LUMPUR (Sept 18): The FBM KLCI opened lower this morning in line with the weaker overnight close at most global markets after the US Federal Reserve maintained interest rates citing global economic weakness.

At 9am, the FBM KLCI shed 0.96 points to 1,680.58.

The top losers included Hong Leong Financial Group Bhd, PPB Group Bhd, Kossan Rubber Industries Bhd, UEM Edgenta Bhd, Bursa Malaysia Bhd, Genting Bhd, Petronas Chemicals Group Bhd, Maxis Bhd, Aeon Co (M) Bhd, IOI Corporation Bhd, Jaya Tiasa Holdings Bhd and Glomac Bhd.

Asian shares are likely to fall on Friday after the US Federal Reserve held off on raising interest rates, reviving concerns about global economic weakness, according to Reuters.

The dollar was on back foot, having fallen more than 1% after the Fed's decision while US bond yields plunged, erasing their sharp rises in the past couple of days, it said.

JF Apex Securities Research in a market preview today said US markets were flat as the Federal Reserve kept interest rates unchanged.

Similarly, it said European stocks ended mixed pending US central Bank's decision on a rate hike.

“On the local market, the FBM KLCI rallied 34.39 points to 1,681.54 points after closing on Wednesday for Malaysia Day holiday.

“Following the mixed performance in the US, we expect the FBM KLCI to consolidate below 1,700 points as the bull takes a breather,” it said.

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