KLCI pares loss, but struggles to breach 1,600 level

-A +A

KUALA LUMPUR (Sept 7): The FBM KLCI pared some of its losses, but clawing back above the psychological 1,600-point level seemed ways off at the midday break today, as regional markets sagged.

At 12.30pm, the local index was down 0.56% or 8.86 points at 1,580.30. It had earlier fallen to its intra-morning low of 1,567.91.

The top losers included British American Tobacco (M) Bhd, Far East Corporation Bhd, Petronas Dagangan Bhd, UMW Holdings Bhd, Carlsberg Brewery (M) Bhd, Sime Darby Bhd, Hong Leong Financial Group Bhd, Ibraco Bhd, Latitude Tree Holdings Bhd, Genting Plantations Bhd and Pharmaniaga Holdings Bhd.

The actives included structured warrants, including FBMKLCI-H5 and the FBMKLCI-C12, IFCA MSC Bhd, Tiger Synegy Bhd, AirAsia Bhd, Malaysian Resources Corporation Bhd, APFT Bhd and The Media Shoppe Bhd.

The gainers included V.S. Industry Bhd, SAM Engineering & Equipment Bhd, Puncak Niaga Holdings Bhd, Petronas Gas Bhd, Kumpulan Perangsang Bhd, Unisem (M) Bhd and Public Bank Bhd.

Asian stocks sagged on Monday, with risk sentiment dampened, as Shanghai shares wobbled after the Chinese markets resumed trading, following a four-day long weekend, according to Reuters.

MSCI's broadest index of Asia-Pacific shares outside Japan was down 0.7%, it said.

Meanwhile, oil prices fell on Monday, as concerns of global oversupply, a firmer dollar and lacklustre U.S. nonfarm payroll data on Friday, weighed on oil markets,  Reuters said.

The long Labor Day holiday in the United States may also lead to thin trading later in the session, it added.

AffinHwang Capital Research said the downtrend may continue, in line with the softer ringgit and dips in commodity prices.

“Delay in the rate hike by the US Federal Reserve, [and] mixed economics data from the US, have sluggished sentiments in global equity market.

“Technically, much-anticipated rebound rally above 1600 has yet to materialise, hence downward bias remains,” it said.