KLCI starts week on muted note in line with regional markets as souring US-China trade relations weigh on sentiment, select blue chips drag

KLCI starts week on muted note in line with regional markets as souring US-China trade relations weigh on sentiment, select blue chips drag
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KUALA LUMPUR (Aug 17): The FBM KLCI got off to a muted start Monday, tracking the regional markets as souring U.S.-China trade relations kept a lid on sentiment, while select index-linked blue chips dragged.  

At 9.05am, the benchmark index shed 0.31 points to 1,564.28.

The early decliners included VitRox Corp Bhd, Petronas Gas Bhd, Public Bank Bhd, Rubberex Corp Bhd, MISC Bhd and Tomei Consolidated Bhd.

Bloomberg said stocks in Asia began the week on the back foot as investors faced worries over soured U.S.-China trade relations and lingering uncertainty about the timing of an American stimulus package.

The dollar slipped, it said.

Rakuten Trade Sdn Bhd in its daily market report said Wall Street ended on listless territory as investors were mostly sidelined in view of the stalemate with the latest US Covid-19 stimulus package.

It said the Dow Jones Industrial Average gained a mere 34 points to close within touching distance of 28,000.

“Regionally we expect the markets to wake up from its slumber following last week’s consolidation.

“Domestically, we reckon glove counters to encounter more profit taking thus the FBM KLCI may continue to see a bumpy ride today.

“We expect the benchmark index to trend within the 1,560-1,575 range today,” it said.