KUALA LUMPUR (Aug 19): The uptrend of the FBM KLCI this morning was short-lived after the index went into reverse gear and dipped at mid-morning.

At 10am, the FBM KLCI fell 2.04 points to 1,597.18. The index had earlier risen to a high of 1,600.66.

Losers edged gainers by 211 to 207, while 274 counters traded unchanged. Volume was 534.34 million shares valued at RM267.56 million.

The decliners included Kuala Lumpur Kepong Bhd, Nestle (M) Bhd, Fraser & Neave Holdings Bhd, Genting Plantations Bhd, Axiata Group Bhd and British American Tobacco (M) Bhd.

The actives included Sapura Energy Bhd, NetX Holdings Bhd, KNM Group Bhd, Naim Holdings Bhd and Genting Malaysia Bhd.

The gainers included Panasonic Manufacturing Malaysia Bhd, Petronas Gas Bhd, Carlsberg Brewery Malaysia Bhd, Hong Leong Bank Bhd, Bursa Malaysia Bhd, Hengyuang Refining Company Bhd, Ajinomoto (M) Bhd and DRB-Hicom Bhd.

Asian stocks rose on Monday as hopes of more stimulus from central banks around the world and steps being taken by major economies such as Germany and China soothed investors' fears of a sharp global economic slump, according to Reuters.

Over recent weeks, recession anxiety — triggered by an inversion in the US bond yield curve — has led to a shakeout in financial markets. That has driven speculation of more support from policy makers, including from the US Federal Reserve, which last month cut rates for the first time since the financial crisis, it said.

Hong Leong IB Research said stocks in the US could trade positively after the 10Y-2Y yield spread has been recovering since middle last week.

"However, this is likely to be short-lived given the ongoing unresolved trade tensions between the US and China. Also, the protracted protest in Hong Kong may cap the potential upside on stock markets. The Dow's trading range this week is set around 25,600-26,300.

"Given the rebound on Wall Street, we expect buying interest to spill over towards stocks on the local bourse, eventually lifting KLCI higher to retest the next resistance along 1,620.

"Also, we believe bashed down technology and construction stocks may gain trading interest this week as traders are looking forward to construction news flow to pick up by 4Q19," it said.