KUALA LUMPUR (March 11): The FBM KLCI reversed its earlier losses and moved into positive zone at mid-morning.

At 10.02am, the FBM KLCI was up 3.80 points to 1,694.71. The index had earlier dipped to a low of 1,688.11.

The gainers included Kuala Lumpur Kepong Bhd, KESM Industries Bhd, PPB Group Bhd, Carlsberg Brewery (M) Holdings Bdh, Kossan Rubber Industries Bhd, Petron Malaysia Refining & Marketing Bhd, Kim Loong Resources Bhd, IOI Corporation Bhd and Sime Darby Bhd.

The actives included warrants of Red Sena Bhd, Gamuda Bhd and AirAsia X Bhd; XOX Bhd, Red Sena, AirAsia Bdh, Borneo Oil Bhd, Tiger Synergy Bhd and Vivocom Holdings Bhd.

The losers included United Plantations Bhd, UMW Holdings Bhd, MSM Malaysia Holdings Bhd, Lay Hong Bhd, Public Bank Bhd, Hong Leong Bank Bhd, Malaysia Building Society Bhd, Prestariang Bhd and Hap Seng Consolidated Bhd.

The euro held hefty gains in Asia on Friday after the European Central Bank eased aggressively but suggested it was running out of room to cut interest rates, even if other stimulus options remained, according to Reuters.

The muddled message sent European bond yields surging and snuffed out a nascent rally in risk sentiment, leaving Asian share markets at a loss on how to react, it said.

Hong Leong IB Research said that after hitting year-to-date (YTD) high of 1,710 on March 7, the FBM KLCI staged a brief profit taking pullback to 1,677 (still above 200-d SMA) on March 9 before rebounding at 1,691 yesterday.

“Technically, the recent consolidation is healthy to digest overbought positions as KLCI had rallied as much as 6.9% from YTD low of 1,600 on January 21 to as high as 1710.

“Key resistance remains at 1,710-1,727 levels. A decisive breakdown below 200-d SMA near 1,675 will reignite further fall towards 1650-1666 zones,” it said.