KUALA LUMPUR (July 18): The FBM KLCI pared some of its losses at mid-morning but Genting-linked stocks weighed on the benchmark index.
At 10am, the FBM KLCI was down 0.05 point to 1,668.35. The index had earlier dipped to a low of 1,663.34.
The top losers included Panasonic Manufacturing Malaysia Bhd, Malaysia Airports Holdings Bhd, Heineken Malaysia Bhd, SCGM Bhd, Teck Guan Perdana Bhd, Genting Bhd, Lafarge Malaysia Bhd, IHH Healthcare Bhd, LPI Capital Bhd and Genting Malaysia Bhd.
The actives included Hibiscus Petroleum Bhd, TH Heavy Engineering Bhd, IFCA MSC Bhd, AirAsia Bhd, Felda Global Ventures Holdings Bhd and Sumatec Resources Bhd.
The gainers included Nestle (M) Bhd, United Plantations Bhd, Oriental Interest Bhd, KESM Industries Bhd, MBM Resources Bhd, Cycle & Carriage Bintang Bhd, DKSH Holdings (M) Bhd and PPB Group Bhd.
The US dollar gained on the yen in Asia on Monday as investors unwound safe-haven trades in the wake of the failed coup in Turkey, while better US economic news and the promise of central bank stimulus lent support to equities, according to Reuters.
The Turkish lira was quoted around 2.9675 after the dollar climbed almost 5% late Friday to a six-month peak around 3.0476. Dealers noted liquidity was sparse and a true price would only be found once Turkish markets opened, it said.
Hong Leong IB Research said riding high on easing fears of brutal 'Brexit' fallout and hopes of more stimulus from central banks and governments, possibility of further easing by Bank Negara Malaysia by end-December and expectations of more mega project roll-outs by Government in the near term, the FBM KLCI's near-term outlook is still tilted to an upside bias towards 1,683-1,700 resistances.
"However, we still expect global markets to remain choppy as profit taking may emerge after recent sharp relief rallies.
"Key risks are geopolitical tensions (eg terrorist attack, tensions in South China Sea claims, Turkey's coup), slower-than-expected growth in global and Malaysia economies, aggressive Fed rate hike cycle and persistent slump in commodities prices," it said.