Friday 29 Mar 2024
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KUALA LUMPUR (Oct 28): The main index at Bursa Malaysia slipped below the 1,500-point threshold at the midday break today, tracking sagging global markets rattled by surging coronavirus cases and concerns over the US presidential elections next week.

Meanwhile, glove making giants Hartalega Holdings Bhd and Supermax Corp Bhd failed to shine despite having reported stellar quarterly earnings.

At 12.30pm, the FBM KLCI fell 5.67 points to 1,494.68. The index had earlier in the morning climbed to a high of 1,505.64.

Market breadth was tepid with 423 losers and 214 gainers, while 666 counters traded unchanged. Trading volume was 2.42 billion shares valued at RM1.79 billion.

The top losers included Nestle (M) Bhd, Dutch Lady Milk Industries Bhd, JF Technology Bhd, Hartalega Holdings Bhd, Bursa Malaysia Bhd, Panasonic Manufacturing Malaysia Bhd, Carlsberg Brewery Malaysia Bhd, Heineken Malaysia Bhd, Genting Plantations Bhd and Supermax Corp Bhd.

The actively traded stocks included AT Systematization Bhd, Vortex Consolidated Bhd, Mah Sing Group Bhd, Dataprep Holdings Bhd, Luster Industries Bhd and Supermax.

The gainers included Malaysian Pacific Industries Bhd, Scientex Bhd, Malaysia Airports Holdings Bhd, ViTrox Corp Bhd, Unisem (M) Bhd, Greatech Technology Bhd, LBI Capital Bhd and KESM Industries Bhd.

Reuters said global shares slipped on Wednesday as coronavirus infections grew at an alarming pace in the United States and Europe, while uncertainty over next week's US elections added to a "risk off" tone.

MSCI's ex-Japan Asia index dipped 0.15% in early trade while Japan's Nikkei fell 0.6%, it said.

Hong Leong IB (HLIB) Research said in the short term, it expects the KLCI to be stuck in a tug-of-war between the bulls and bears ahead of the key US presidential election (Nov 3) and the Budget 2021 presentation (Nov 6) coupled with ongoing November reporting season.

Moreover, it said the CMCO extensions in Selangor, KL and Putrajaya for another two weeks till Nov 9, 2020 (contributed over 41% to national GDP) amid spiking Covid-19 local transmissions and clusters underlining the risks to 2H20 economic and corporate earnings recovery.

“This week, KLCI may continue to recover from last Friday’s low of 1,482 but upside is likely to be capped near 1,509 (uptrend line support from 1,474) and 1,521 (23.6% FR) while supports are pegged at 1,482-1,474-1,461 levels,” it said.

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