Technology stocks decline in line with feeble market sentiment

Technology stocks decline in line with feeble market sentiment
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KUALA LUMPUR (March 7): Technology stocks on Bursa Malaysia declined in line with feeble broader market sentiment.

At 9.45am on Monday (March 7), the technology index was down 4.23% or 1.03 points to 68.67, tracking the Nasdaq that dropped 1.93% to 13,276.72 last Friday.

Meanwhile, the FBM KLCI had dropped 17.99 points to 1,585.95.

As at the time of writing, Dagang NeXchange Bhd (DNeX) had fallen 1.96% or two sen to RM1, Inari Amertron Bhd dropped 4.71% or 14 sen to RM2.83, Dataprep Holdings Bhd was down 2% or half a sen to 24.5 sen, Greatech Technology Bhd lost 7.87% or 28 sen to RM3.28, JHM Consolidation Bhd lost 9.7% or 15 sen to RM1.21 and Frontken Corp Bhd had fallen 5.77% or 15 sen to RM2.45.

Inter-Pacific Securities Sdn Bhd said the near-term market outlook remains feeble, affected by ongoing uncertainties in Eastern Europe as well as the surge in commodity prices that is again stoking inflationary fears.

It said that as a result, the fluidity will remain for now, which could cause more market volatility.

“There appears to be little reprieve for the lower liners and broader market shares as the selling looks to continue over the near term.

“Positive leads are still scant following the end of the results reporting season and the lack of catalysts would continue to keep smaller players away until market conditions are more settled,” it said.

Reuters said oil prices soared more than 10% in hectic trading on Monday as the risk of a US and European ban on Russian products and delays in Iranian talks triggered what was shaping up as a major stagflationary shock for world markets.

It said the euro extended its slide and commodities of all stripes were on the rise as the Russian-Ukraine conflict showed no sign of cooling. Russia calls the campaign it launched on Feb 24 a "special military operation", saying it has no plans to occupy Ukraine.