KUALA LUMPUR (Aug 15): The FBM KLCI pared some of its loss but remained 0.71% in the red as regional markets mostly fell in a domino effect, tracking the overnight tumble at Wall Street.

At 12.30pm, the FBM KLCI was down 11.35 points at 1,588.96. The index had earlier tumbled to a low of 1,581.26.

Market breadth was negative with 530 losers and 65 gainers, while 441 counters traded unchanged. Volume was 1.10 billion shares valued at RM833.98 million.

The top losers included Carlsberg Brewery Malaysia Bhd, Aeon Credit Service (M) Bhd, Hong Leong Bank Bhd, British American Tobacco (M) Bhd, United Plantations Bhd, Heineken Malaysia Bhd, Kuala Lumpur Kepong Bhd and Far East Holdings Bhd.

The actives included KNM Group Bhd, Bumi Armada Bhd, Datasonic Group Bhd, Genting Malaysia Bhd, MNC Wireless Holdings Bhd and Malaysia-listed Hang Seng Index-linked put warrants.

The gainers included Eita Resources Bhd, UMW Holdings Bhd, Bermaz Auto Bhd, Atlan Holdings Bhd, Chin Teck Plantations Bhd, Caring Pharmacy Group Bhd and DRB-Hicom Bhd.

Southeast Asian stock markets fell on Thursday, tracking sharp losses in global equities, after an inversion in the US bond yield curve on Wednesday raised fears of an impending recession, according to Reuters.

The yield on the US Treasury 10-year note temporarily fell below the two-year yield for the first time since 2007, in the latest signal that the global economy faces severe risks. The inversion has correctly predicted every recession barring one in the last 50 years, it said.

Kenanga IB Research said Asian markets mostly recovered yesterday due to the United States announcing a delay on tariffs on some Chinese imports.

It said the FBM KLCI followed the positives in the regional markets and gained 7.43 points (+0.47%) to close at 1,600.31.

"Chart-wise the index has rebounded and reached its key support level of 1,600, however, the index remains traded below all key-SMAs (simple moving averages), which suggest that the overall bearish trend remains.

"As such, we expect the index to continue its downward movement and further test the key support level at 1,570 (S1) and 1,550 (S2). Conversely, overhead resistance levels can be seen at 1,630 (R1) and 1,650 (R2)," it said.