KUALA LUMPUR (Apr 30): The FBM KLCI fell 0.54% ahead at the midday break in line with the weaker regional markets and as investors at the local bourse stayed on the sideline ahead of the extended weekend with the Labour Day and Wesak holidays.
At 12.30pm, the FBM KLCI lost 9.89 points to 1,833.04.
Losers led gainers by 328 to 315, while 300 counters traded unchanged. Volume was 721.29 million shares valued at RM694.72 million.
The top losers included British American Tobacco (M) Bhd, Petronas Dagangan Bhd, Nestle (M) Bhd, Petronas Chemicals Bhd, Genting Bhd, Kuala Lumpur Kepong Bhd, UMW Holdings Bhd and MISC Bhd.
The actively traded stocks included DGB Asia Bhd, Frontken Corporation Bhd, Perwaja Holdings Bhd, Kinsteel Bhd, Vsolar Group Bhd, My E.G. Services Bhd, Perisai Petroleum Teknologi Bhd and Nova MSC Bhd.
The gainers included United Plantations Bhd, Syarikat Takaful Malaysia Bhd, My E.G., Malaysian Pacific Industries Bhd, Tambun Indah Land Bhd, Vitrox Corporation Bhd and Super Enterprise Holdings Bhd.
Asian stocks stumbled on Thursday while the euro held near two-month highs against the dollar after surprisingly downbeat first quarter economic growth in the United States dimmed the mood, according to Reuters.
The disappointing news on the world's biggest economy, coming on top of a worrying slowdown in China, found expression in a warning by New Zealand's central bank that it could cut rates if domestic momentum weakened, it said.
M & A Securities research head Rosnani Rasul said Wall Street shed some fats on Wednesday as they chewed on US FOMC policy statement. S&P 500 and DJIA lost 7.91 (-0.37%) and 74.61 (-0.41%) points to end at 2,106.85 and 18,035.53 respectively.
Commenting on the market, she said that as it turned out to be, the US FOMC may need some more time before adjusting the Federal Fund rate (FFR) amid less-than-sanguine US Fed assessment of US economy.
She said the target for policy adjustment had now been upped to 3Q of 2015, as in September the earliest.
Rosnani said the FOMC was of the view that US economy is still weak as growth during the winter almost stalled and they need to at least ensure that inflation can reasonably reach their target of 2% before making conclusive call to adjust the FFR.
“This means that business will be as usual and the absence of bad news means that investors may want to take big bets again although we think that the trend may only start next week due to holiday shortened week this week.
“As for today, we foresee the local market may continue to suffer from lack of energy as there is no earth shaking catalyst that could lift momentum higher, to be tempered also by long holiday ahead,” she said.