KUALA LUMPUR (Aug 5): The FBM KLCI rose 3.24 points or 0.2%, tracking Asian share gains after the Bank of England cut its interest rate to 0.25% from 0.5%.

At 12:30pm, the KLCI settled at 1,658.53 points. Japan's Nikkei 225 rose 0.13% while Hong Kong's Hang Seng was up 1.47%.

Reuters reported that Asian shares followed global stock markets higher on Friday after the Bank of England launched a larger-than-expected post-Brexit stimulus package that sent the British pound tumbling.

An overnight rally in crude oil prices also sharpened risk appetites, but some caution before the July US non-farm payrolls report later on Friday limited gains.

The ringgit is closely watched following the Bank of England's monetary policy. FXTM vice president of corporate development and market research Jameel Ahmad said the Bank of England's rate cut could support the ringgit.

"Following the decision from the Bank of England to pull the trigger of further monetary easing, this could provide some enticement for some risk appetite in the markets, which would provide potential for the ringgit to rebound losses following its recent selling pressure," Jameel wrote in a note.

At 12:56pm, the ringgit strengthened to 5.2996 against the pound sterling.

Bursa Malaysia saw 347 gainers and 292 decliners. A total of 1.13 billion shares valued at RM710.37 million were traded.

Top gainer was United Plantations Bhd while Nestle (M) Bhd led decliners.

The most-active stocks included Malaysia Building Society Bhd and M3 Technologies (Asia) Bhd.