KLCI stages mild recovery in early trade

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KUALA LUMPUR (Sept 22): The FBM KLCI staged a mild recovery in early trade today in line with the resurgent regional markets and overnight gains at Wall Street and Europe.

At 9.01am, the FBM KLCI added 1.37 points to 1,640.84.

The top gainers in early trade included Petronas Dagangan Bhd, MISC Bhd, Hartalega Holdings Bhd, DKSH (M) Holdings Bhd, Sime Darby Bhd, Malayan Banking Bhd, IOI Corporation Bhd, Genting Bhd, Genting Malaysia Bhd and Petronas Chemicals Group Bhd.

Asian shares rose on Tuesday and the dollar held steady as US markets bounced back and the European Central Bank said it was prepared to ease monetary policy further, according to Reuters.

MSCI's broadest index of Asia-Pacific shares outside Japan edged up 0.1%, with Australia up 1.1% and South Korea 0.1%. Japanese markets are shut through Wednesday, it said.

JF Apex Securities Research in a market preview today said US markets ended positive with the Dow staging a rebound from Friday's losses while a slump in biotech stocks weighed on the S&P and Nasdaq.

Similarly, it said European stocks recovered from last week's decline amid selldown in Volkswagen and RSA.

“On the local market, the FBM KLCI tumbled 29.98 points to 1,639.47 points.

“Following the positive performance in the US and Europe, the KLCI could rebound from yesterday's tumble to test its resistance of 1,650 points,” it said.

(Note: The Edge Research's fundamental score reflects a company’s profitability and balance sheet strength, calculated based on historical numbers. The valuation score determines if a stock is attractively valued or not, also based on historical numbers. A score of 3 suggests strong fundamentals and attractive valuations.)