KLCI pares loss, remains in red tracking regional markets

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KUALA LUMPUR (Oct 8): The FBM KLCI pared some of its loss at mid-morning today, but remained in the negative zone in line with its key regional peers.

At 10am, the FBM KLCI was down 2.2 points to 1,774.95. The index had earlier fallen to a low of 1,769.72.

Losers led gainers by 463 to 114, while 247 counters traded unchanged. Volume was 630.37 million shares valued at RM347.89 million.

The top losers included Dutch Lady Milk Industries Bhd, Gamuda Bhd, Nestle (M) Bhd, British American Tobacco (M) Bhd, Batu Kawan Bhd, Press Metal Aluminium Holdings Bhd, MMC Corp Bhd, Supermax Corp Bhd, Top Glove Corp Bhd and KESM Industries Bhd.

The actives included Sapura Energy Bhd, Gamuda, Priceworth International Bhd, Orion IXL Bhd, Borneo Oil Bhd and Nova MSC Bhd.

The gainers included United Plantations Bhd, Hong Leong Financial Group Bhd, Hong Leong Industries Bhd, Magni-Tech Industries Bhd, IHH Healthcare Bhd, Scientex Bhd, IOI Corp Bhd and Genting Bhd.

Shares in Asia stumbled in early trade on Monday as investors waited with bated breath as China's markets prepare to reopen following a week-long holiday and after its central bank cut banks' reserve requirements in a bid to support growth, according to Reuters.

MSCI's broadest index of Asia-Pacific shares outside Japan was down 0.3%, after major stock markets around the world fell for a second straight day on Friday, it said.

Hong Leong IB Research in a trader's brief said in wake of escalating US-China trade tensions, spiking US 10-year yield and the start of the US 3Q18 reporting season this week, investors are likely gauge the latest earnings outlook after recent rounds of tariffs and stay alert.

"Hence, we opine the Dow's upside will be capped along 27,000 psychological level, in view of the overbought situation noticed on the momentum oscillators.

"Given the recent Dow's consolidation and expectations of renewed selling spree in the China markets today after the Golden Week holidays, KLCI will continue to indulge in near-term consolidation amid nagging external headwinds, a meagre KLCI earnings growth and an upcoming 'belt-tightening budget 2019' (on Nov 2)," it said.