KLCI pares loss as Asian shares ease from all-time highs

KLCI pares loss as Asian shares ease from all-time highs
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KUALA LUMPUR (Nov 19): The main index at Bursa Malaysia pared some of its loss at the midday break today while Asian shares eased from all-time highs.

At 12.30pm, the FBM KLCI was down 13.92 points to 1,590.83. The index had earlier fallen to a low of 1,585.64.

Market sentiment remained tepid with 422 losers and 299 gainers, while 810 counters traded unchanged. Trading volume was 5.94 billion shares valued at RM2.36 billion.

The top decliners included Nestle (M) Bhd, Hong Leong Bank Bhd, KESM Industries Bhd, Fraser & Neave Holdings Bhd, Public Bank Bhd, Dutch Lady Milk Industries Bhd, Panasonic Manufacturing Malaysia Bhd, PPB Group Bhd and Batu Kawan Bhd.

The actively traded stocks included AT Systematization Bhd, Kanger International Bhd, Metronic Global Bhd, Vsolar Group Bhd, XOX Bhd and mTouche Technology Bhd.

The gainers included Malaysian Pacific Industries Bhd, Eita Resources Bhd, Amway (M) Holdings Bhd, Kuala Lumpur Kepong Bhd, Euro Holdings Bhd, Telekom Malaysia Bhd and Petronas Gas Bhd.

Reuters said Asian shares eased from all-time highs on Thursday as widening Covid-19 restrictions in the United States weighed on Wall Street, while bonds were underpinned by speculation the Federal Reserve would have to respond with yet more easing.

Losses were minor with much of the region faring better in containing the coronavirus, though a jump in new cases in Tokyo did nudge the Nikkei off 0.4% and away from a 29-year closing top, it said.

Hong Leong IB Research said as technicals are turning grossly overbought now, a pullback is imminent in the wake of the lingering concerns about fragile global economic outlook due to the surging Covid-19 infections worldwide and new lockdowns, expectations of weaker 4Q20 economy and corporate earnings in Malaysia (post-CMCO 2.0), ongoing 3Q20 results season, and the Budget 2021 approval (expected to be held next week).

“Key supports are pegged at 1,579-1,555-1,535 levels whilst resistances are situated near 1,618-1,633 levels,” it said.