KLCI pares gains, remains above 1,740-level

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KUALA LUMPUR (Oct 17): The FBM KLCI pared some if its gains at mid-morning today, against the backdrop of firmer regional markets.

At 10am, the FBM KLCI was up 3.99 points to 1,740.83.  The index had earlier risen to a high of 1,742.80.

Gainers led losers by 381 to 144, while 218 counters traded unchanged. Volume was 513.48 million shares valued at RM291.83 million.

The gainers included Carlsberg Brewery Malaysia Bhd, British American Tobacco (M) Bhd, Lion Forest Industries Bhd, SAM Engineering & Equipment Bhd, Heineken Malaysia Bhd, UMW Holdings Bhd, Genting Malaysia Bhd, iCapital Biz Bhd and Nestle (M) Bhd.

The actives included Barakah Offshore Petroleum Bhd, Borneo Oil Bhd, Nova MSC Bhd, XOX Bhd, Hibiscus Petroleum Bhd, Hibiscus Petroleum Bhd, Vortex Consolidated Bhd and Nextgreen Global Bhd.

The decliners included Hong Leong Bank Bhd, Dutch Lady Milk Industries Bhd, Encorp Bhd, UOA Development Bhd, Westports Holdings Bhd and Pineapple Resources Bhd.

Asian equities got some much needed relief on Wednesday after upbeat U.S. earnings reports drove a rebound on Wall Street and helped restore a little confidence in emerging market stocks and currencies, according to Reuters.

Japan's Nikkei leaped out of the gates with an early rise of 1.3 percent, but still has a long way to go to recoup the past week's losses, it said.

Hong Leong IB Research in a traders’ brief said the current upbeat earnings could be short lived as concerns over trade discussions and geopolitical tensions issues could resurface after the corporate earnings season and that could pose further downside risk to the stock markets.

“Hence, the Dow’s upside could be limited around 26,000.

“In the local front, we noticed buying interest was milder compared to the selling activities last week as market participants could be staying sidelines ahead of the 11MP midterm review and the lacklustre tone could persist over the near term.

“The KLCI’s trading range will be located within 1,725-1,750,” it said.