KUALA LUMPUR (Feb 19): The FBM KLCI ticked up marginally in early trade this morning, tracking regional markets, but gains were seen capped.
At 9.05am, the FBM KLCI was up 0.91 points to 1,693.65.
The gainers included Hong Leong Industries Bhd, Petronas Dagangan Bhd, Carlsberg Brewery Malaysia Bhd, Kossan Rubber Industries Bhd, MISC Bhd, Petronas Chemicals Group Bhd, WZ Satu Bhd, Muhibbah Engineering (M) Bhd, Syarikat Takaful Malaysia Keluarga Bhd and RHB Bank Bhd.
Asian shares hovered near a four-month peak on Tuesday, supported by hopes that Sino-U.S. trade talks were making positive progress and expectations of policy stimulus from central banks, according to Reuters.
While investors were without any firm directional cues with U.S. markets shut on Monday for public holiday, sentiment remains broadly buoyant with the STOXX 600 index of European shares hitting four-month highs, it said.
Kenanga IB Research said Asian markets closed mostly higher yesterday tracking gains from Wall Street as investors’ optimism grew on renewed hopes of a trade deal.
It said back home, the FBMKLCI gained by 3.91 points or 0.23% to close at 1,692.74.
“Overall, we maintain our neutral outlook, as the index continues to remain above the 20 and 50 day-SMAs but other momentum indicators lacklustre.
“A positive outcome from the trade talk should see the index trend higher to its resistances at 1,730 (R1) and 1,800 (R2).
“Should the index break below both the 20 and 50-day SMA, support levels can be identified at 1,650 (S1) and 1,600 (S2),” it said.