KUALA LUMPUR (June 11): The FBM KLCI ticked up in early trade Tuesday, tracking regional markets, lifted by select blue chips.
At 9.05am, the FBM KLCI added 0.86 points to 1,656.33.
The gainers included United Plantations Bhd, Hong Leong Bank Bhd, HeiTch Padu Bhd, Tenaga Nasional Bhd, QL Resources Bhd, MyNews Holdings Bhd, Magni-Tech Industries Bhd, Gabungan AQRS Bhd and JCBNext Bhd.
Asian stocks traded mixed Tuesday as investor focus turned to the U.S.-China trade arena, while Treasury yields pared some of Monday’s gains, according to Bloomberg.
Equities were little changed in Japan and South Korea, and climbed in Australia. U.S. futures were flat. Earlier, the S&P 500 Index rose for a fifth straight session, though closed below its highs of the day. President Donald Trump threatened to raise tariffs on China again if President Xi Jinping doesn’t meet with him at the Group of 20 summit at month-end. The yuan steadied near its lows of the year. Crude oil traded above $53 a barrel in New York, it said.
CIMB Retail Research said the FBM KLCI was up by 6.14 points or 0.37% to close at 1,655.47 yesterday, thanks to the higher-than-expected Chinese May trade surplus.
It said the local sentiment also improved as global trade tensions eased and also foreign funds seem to be returning to the Malaysian stock market. The key index is likely to test the 1,657 high today as the near-term sentiment seems to be improving given the speculation on a US Fed rate cut as well as a possible conciliatory agreement between US and China during the G20 summit at the end of June. However, we think that cautious sentiments may still prevail given the uncertainties over the external and internal headwinds. Resistance: 1,657 & 1,670. Support: 1,633 & 1,628.