KUALA LUMPUR (Oct 8): The FBM KLCI remained marginally in the negative zone, having pared much of its losses in the morning session today, against the backdrop of weaker regional markets.

Shares of construction giants Gamuda Bhd and MMC Corp Bhd as well as Sunway Construction Group Bhd and IJM Corp Bhd declined today, following the government's decision to retender MRT2's underground work, after terminating MMC-Gamuda KVMRT Sdn Bhd as the contractor.

At 12.30pm, the FBM KLCI was down 0.08 points to 1,777.02. The index had earlier slipped to its intra-morning low of 1,769.72.

Losers thumped gainers by 648 to 154, while 1,062 counters traded unchanged. Volume was 1.31 billion shares valued at RM806.11 million.

Among the losers were Gamuda, Dutch Lady Milk Industries Bhd, Malaysian Pacific Industries Bhd, Ajinomoto (M) Bhd, MMC Corp, Batu Kawan Bhd, Press Metal Aluminium Holdings Bhd, IJM Corp, Supermax Corp Bhd and Sunway Construction.

The actives included Sapura Energy Bhd, Gamuda, Priceworth International Bhd, Hibiscus Petroleum Bhd, Reach Energy Bhd, Orion IXL Bhd, My EG Services Bhd and Borneo Oil Bhd.

Gainers included Allianz Malaysia Bhd, British American Tobacco (M) Bhd, Hong Leong Industries Bhd, IHH Healthcare Bhd, DiGi.Com Bhd, Nestle (M) Bhd, Petronas Dagangan Bhd, IOI Corp Bhd and Genting Bhd.

Shares in Asia staggered on Monday as China's markets stumbled despite its central bank moving to pump more liquidity into the broader economy, as worries grow of a sharp knock to growth from an escalating trade dispute with the United States, according to Reuters.

The People's Bank of China (PBOC) on Sunday cut the level of cash that banks must hold as reserves, aimed at lowering financing costs as policy makers worry about fallout from the tariff row with the United States, it said.

Affin Hwang Capital Research said the FBM KLCI Index closed lower (down 12.96 points) on the last day of the week.

"Price has breached below the EMAs which acted as support the past few weeks. Technical indicators also drifted lower. Anticipate the index to experience negative bias.

"The FBM KLCI Index may experience normal consolidation with downward bias in the near term," it said.