Friday 29 Mar 2024
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KUALA LUMPUR (Dec 10): The FBM KLCI rose 0.9% at the midday break on Wednesday, lifted by select blue chips including Axiata Group Bhd and Tenaga Nasional Bhd.

At 12.30pm, the benchmark index added 15.91 points to 1,754.01. It had ealrlier fallen to its intra morning low of 1,732.76.

Gainers led losers by 363 to 265, while 298 counters traded unchanged. Volume was 635.16 million shares valued at RM610.28 million.

The top gainers included British American Tobacco (M) Bhd, United Plantations Bhd, Dutch Lady Milk Industries Bhd, Axiata, Kuala Lumpur Kepong Bhd, Aeon Credit Services (M) Bhd, PPB Group Bhd, Tasek Corporation Bhd and Tenaga Nasional Bhd.

SapuraKencana Petroleum Bhd was the most actively traded counter with 20.27 million shares done. The stock was flat at RM2.45.

The other actives included Nexgram Holdings Bhd, JobStreet Corporation Bhd, Perisai Petroleum Teknologi Bhd, Sumatec Resources Bhd and Nova MSC Bhd.

The decliners included P.I.E Industrial Bhd, Ibraco Bhd, Guinness Anchor Bhd, Hong Leong Bank Bhd, RHB Capital Bhd, Genting Plantations Bhd and Press Metal Bhd.

In global markets, oil prices resumed their fall on Wednesday, with Asian shares also pulling back as global growth concerns and political uncertainty in Greece prompted a flight to safety, according to Reuters.

Investors could take no comfort from data showing China's annual consumer inflation eased to a five-year low of 1.4 percent in November, signalling persistent weakness in the world's second-largest economy, it said.

M & A Securities Research head Rosnani Rasul said Wall Street ended marginally lower on Tuesday as sentiment was hampered by global economic weakness, China’s decision to tighten liquidity, and Greece’s new political uncertainty.  

Rosnani said economic uncertainties from Japan and China reared its ugly head yesterday, hurting sentiment.

She said Wall Street had a field day yesterday with China's reported tightening of liquidity supply in the banking system, pointing to higher cost of borrowing which could hurt economic growth.

Rosnani said if China’s recent export deceleration was not enough, developments in China’s banking system had certainly pushed investors to the edge.

In Greece, presidential election has been brought forward by two months, the outcome of which could make or break the country's bailout plan.

“We, at this stage, do not discount entirely Greece opting out of the Eurozone despite the bailout plan as Greece being out of the pact would be better for their survival, given the fact that they badly need monetary independence in order to grow,” she said.

On the local front, Rosnani expects sentiment to continue to be wobbly with a fair chance of a small recovery provided foreign institutional selling pressure do not  get too large.

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