KLCI stays in the red as Petronas-linked stocks weigh

KLCI stays in the red as Petronas-linked stocks weigh

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KUALA LUMPUR (May 12): The FBM KLCI remained in negative territory at mid-morning today as Petronas-linked stocks retreated.

At 10.01am, the FBM KLCI was down 4.94 points to 1,636.64.

The top losers included Panasonic Malaysia Manufacturing Bhd, Petronas Dagangan Bhd, MISC Bhd, Petronas Gas Bhd, Petron Malaysia Refining & Marketing Bhd, Hong Leong Bank Bhd, Hong Leong Financial Group Bhd, Petronas Chemicals Group Bhd, LPI Capital Bhd and Boustead Holdings Bhd.

The actives included Vivocom International Holdings Bhd, AirAsia X Bhd, Kanger International Bhd, DPS Resources Bhd and AirAsia Bhd.

The gainers included Nestle (M) Bhd, P.I.E. Industrial Bhd, tasek Corporation Bhd, Lay Hong Bhd, Heineken Malaysia Bhd, Fraser & Neave Holdings Bhd and Lafarge Malaysia Bhd.

Asian shares fell on Thursday following a dismal day on Wall Street, while crude oil futures gave back some of their overnight gains after jumping on an unexpected fall in U.S. crude inventories, according to Reuters.

MSCI's broadest index of Asia-Pacific shares outside Japan fell 0.2 percent in early trading, in the wake of the worst day for U.S. share markets since February, following downbeat quarterly retail reports, it said.

Hong Leong IB Research said given the favourable remarks from Bank Negara Malaysia Governor, Datuk Muhammad Ibrahim on 1MDB and increase in crude oil prices, local sentiment is likely to be positive to the market.

“Meanwhile, the ‘Morning Hammer Star’ candlestick pattern and ‘Positive Divergence’ pattern also lend support to the likelihood of the FBM KLCI recovery.

“However, any upside might be capped as traders still stay cautious over global economic growth, further Ringgit depreciation against US Dollar as well as overnight slump in Dow,” it said.