KLCI trends lower as manufacturing conditions deteriorate further in May

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KUALA LUMPUR (June 4): The FBM KLCI trended lower in early trade this morning, despite the firmer opening at most regional markets, after it was reported that operating conditions across Malaysia’s manufacturing sector deteriorated in May, thereby stretching the current period of decline to four months.

At 9.05am, the FBM KLCI shed 0.26 points to 1,756.12.

The early decliners included MY E.G. Services Bhd, UMW Holdings Bhd, Kuala Lumpur Kepong Bhd, MISC Bhd, Padini Holdings Bhd, Genting Bhd, British American Tobacco (M) Bhd and Paragon Union Bhd.

Asian shares edged up on Monday as strong U.S. jobs data offset worries that tariff wars between the United States and the rest of the world could drag global economic growth lower, according to Reuters.

MSCI's broadest index of Asia-Pacific shares outside Japan rose 0.3 percent while Japan's Nikkei rose 1.0 percent, it said.

JF Apex Securities Research in a market preview said US market rose on last Friday after employment data exceeded expectations.

It said earlier, European stocks advanced following political developments in Italy and Spain.

“On the local market, the FBM KLCI rose 15.76 points to 1756.38 points after extending its rebound.

“Following the bullish performance in the US and Europe, the FBM KLCI could remain buoyed, hovering above the support of 1750-point level,” it said.