KLCI falls 0.47%, under pressure in line with regional trend

KUALA LUMPUR (June 13): The FBM KLCI came under pressure in line with the fall at regional markets and fell 0.47% in early trade.

At 9.05am, the FBM KLCI lost 7.79 points to 1,642.95.

The top losers included Kuala Lumpur Kepong Bhd, PPB Group Bhd, MISC Bhd, Petronas Gas Bhd, Tenaga Nasional Bhd, DiGi.Com Bhd, Genting Bdh, IIH Healthcare Bhd, KESM Industries Bhd and Petronas Chemicals Group Bhd.

Asian stocks faced more pressure Thursday after U.S. equities slipped amid ongoing trade tensions. Treasuries climbed as slower-than forecast inflation bolstered the case for Federal Reserve interest-rate cuts, according to Bloomberg.

Futures in Japan, Hong Kong and China pointed lower. The S&P 500 Index posted a modest decline, weighed down by energy, tech and financial shares. Crude oil slumped to the lowest since January on concern the trade dispute between the U.S. and China could trip up the global economy. The dollar climbed. President Donald Trump said he had no deadline for China to return to trade talks, other than the one in his head, it said.

CIMB Retail Research said the FBM KLCI ended Wednesday on a softer tone, in line with the weak regional markets.

It said market breadth turned negative after 3 consecutive days of positivity.

“We maintain our view that cautious sentiments may still prevail given the uncertainties over the external and internal headwinds.

“Chart wise, the index has formed a small candlestick yesterday, indicating market indecision.

“Hence, we think that the index may see a period of range-bound trading (possibly between 1,640 and 1,670) in the near term. Resistance: 1,657 & 1,670. Support: 1,633 & 1,628,” it said.

Source: TheEdgeMarkets