KUALA LUMPUR (Dec 16): The FBM KLCI pared some of its losses at the midday break on Tuesday but remained below the crucial 1,700-point level as investor sentiment stayed tepid.

At 12.30pm, the FBM KLCI fell 0.38% or 6.51 points to 1,690.80. It had earlier dipped to its intra-morning low of 1,684.24.

Market breadth was negative with losers outpacing gainers by 516 to 247, while 262 counters traded unchanged, Volume was 834.63 million shares valued at RM792.11 million.

The top losers included Dutch Lady Milk Industries Bhd, British Amrican Tobacco (M) Bhd, P.I.E. Industrial Bhd, RHB Capital Bhd, DKSH Holdings Bhd, APM  Automotive Bhd, Malayan Banking Bhd, Hong Leong Financial Group Bhd and LPI Capital Bhd.

Sumatec Resources Bhd was the most actively traded counter with 37.95 million shares done. The stock rose 8.82% or 1.5 sen to 18.5 sen.

The other actives included KNM Group Bhd, Bumi Armada Bhd, Perisai Petroleum Teknologi Bhd, SapuraKencana Petroleum Bhd, Tiger Synergy Bhd and IFCA MSC Bhd.

The gainers included Carlsberg Brewery (M) Bhd, United Plantations Bhd, Cahya Mata Sarawak Bhd, MISC Bhd, Kuala Lumpur Kepong Bhd, Kim Loong Resources Bhd, Maxis Bhd, KLCC Property Holdings Bhd, Lafarge Malaysia Bhd and Petronas Chemicals Group Bhd.

Regionally, oil prices continued to slide on Tuesday, while the rouble jumped against the dollar after Russia sharply hiked its benchmark interest rate to halt a collapse in its currency, according to Reuters.

The dour mood kept equities down in Asia, with MSCI's broadest index of Asia-Pacific shares outside Japan down 0.1 percent in early trade, it said.

AffinHwang Capital Research said the FBM KLCI was very near to reach an anticipated strong support level around 1690-1670 points, which had previously proven to be the anchor zone during major pullback in August 2013.   

It said given the possibility of reaching a strong support level, stabilising Ringgit at around RM3.50 against the US dollar and current deep oversold level of overeall stocks in Bursa Malaysia, the short term downside risk had reduced significantly hence a sharp technical rebound is in the offing.

“In addition, for medium to long term investors, bargain huntings anticipated to be the talking points from this week onward.

“Risk: Downward trend still intact, both for short and medium term, and no reversal signal appear yet, thus downward bias remains,” it said.