KLCI rises 0.56% as banking heavyweights lift

-A +A

KUALA LUMPUR (July 19): The FBM KLCI rose 0.56% at mid-morning today, boosted by gains including at index-linked banking heavyweights.

At 10.05am, the FBM KLCI rose 9.96 points to 1,763.03.

Gainers led losers by 397 to 204, while 329 counters traded unchanged. Volume was 802.81 million shares valued at RM465.94 million.

The top gainers included KESM Industries Bhd, United Plantations Bhd, Malaysian Pacific Industries Bhd, Public Bank Bhd, Malayan Banking Bhd, Lafarge Malaysia Bhd, Kossan Rubber Industries Bhd, Malaysia Airports Holdings Bhd and Petron Malaysia Refining & Marketing Bhd.

The actives included Revenue Group Bhd, Pegasus Heights Bhd, Diversified Gateway Solutions Bhd, Sapura Energy Bhd, Velesto Energy Bhd, Priceworth International Bhd, Barakah Offshore Petroleum Bhd and Kanger International Bhd.

The decliners included Fraser & Neave Holdings Bhd, Nestle (M) Bhd, MNRB Holdings Bhd, UMW Holdings Bhd, Analabs Resources Bhd and Scientex Bhd.

Asian shares made early gains on Thursday as upbeat Wall Street earnings supported global investor sentiment, although trade war jitters pushed China's offshore yuan to a fresh one-year low, according to Reuters.

The US dollar retreated from a three-week high as investors cashed in on gains the currency made after US Federal Reserve Chairman Jerome Powell's two-day testimony reinforced a strong economic outlook, it said.

Hong Leong IB Research in a traders' brief said upbeat earnings from railroad CSX Corp and airline United Continental coupled with Morgan Stanley helped the Dow climbed for a fifth session (+79 pts to 25,199), as solid earnings boosted financial and industrial stocks and reinforced expectations for a strong 2Q18 reporting season.

"S&P 500 earnings are now expected to have increased 21.4%, up from an estimate of 20.7% on July 1.

"Although mid- to long-term KLCI outlook remain positive to retest 1,770-1,790 zones amid bullish weekly indicators, KLCI could be due for an imminent pullback amid extremely overbought daily slow stochastics (after a 5.8% rally from a low of 1,657 on June 28) and ahead of August reporting season. Key supports are located near 1,715-1,740," it said.