Thursday 28 Mar 2024
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KUALA LUMPUR (Nov 23): The FBM KLCI rose 1.06 points or 0.1% on plantation share gains amid a weakening ringgit. Bank Negara Malaysia's decision to maintain the overnight policy rate (OPR) at 3% was also seen supporting the KLCI.

Plantation shares could have taken the cue from a weaker ringgit, which bodes well for Malaysian crude palm oil exports and prices.

At 5pm, the KLCI closed at 1,630.38 points after falling to its intraday low at 1,622.49 points. The KLCI erased losses on gains in plantation shares like Sime Darby Bhd and PPB Group Bhd.

Sime Darby rose 11 sen to RM8.06 while PPB added 10 sen to RM15.76.

Sime Darby and PPB were Bursa Malaysia's eighth and 10th largest gainers respectively.

In currency markets, the ringgit depreciated to its weakest point against the US dollar today at 4.4450. The exchange rate is also the weakest over the last one year.

Reuters reported benchmark palm oil futures for February delivery on the Bursa Malaysia Derivatives Exchange were up 1.06% at RM2,959 (US$666.74) a tonne at the midday break.

Malacca Securities Sdn Bhd analyst Kenneth Leong told theedgemarkets.com the KLCI was affected by the weakening ringgit. Leong said the index had later recovered after Bank Negara kept the OPR unchanged.

"Stronger corporate earnings such as those from RHB Bank Bhd had also lent some support to the KLCI. Investors also hope to get some clues from the (US) Federal Open Market Committee minutes on the US interest rate hike," he said.

Across Bursa Malaysia, 1.56 billion shares worth RM1.83 billion changed hands.

There were 238 gainers versus 547 decliners.

 

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