KLCI extends uptrend in early trade

KUALA LUMPUR (Dec 24): Bursa Malaysia extended its uptrend from yesterday to open slightly higher this morning as market sentiment remained positive following increasing clarity of vaccine deliveries, dealers said.

At 9.04am, the benchmark FBM KLCI had added 0.49 of a point to 1,647.99 after opening 1.58 points higher at 1,649.08.

On the broader market, gainers led losers 292 to 109, while 1,425 counters were unchanged, 322 untraded and 38 others suspended.

Volume stood at 1.03 billion units worth RM315.07 million.

In a note today, Malacca Securities Sdn Bhd expects the positive momentum to be sustained today ahead of the long weekend.

The research firm believed that market participants are expecting news of the Kuala Lumpur-Singapore High-Speed Rail (HSR) and the Large Scale Solar 4 (LSS4) to surface soon.

Additionally, health experts have commented that the Covid-19 vaccines in production would be effective against the new variant, which could rekindle trading interest in recovery-themed stocks, it said.

“We expect that building material stocks will continue to be under the limelight following the anti-dumping duties imposed on selected imported steel products.

“Meanwhile, recovery-themed stocks such as aviation and gaming could rebound higher amid optimism about vaccine developments,” it said, adding that the resistance level now set at around 1,660-1,680, while support is located around 1,620, followed by 1,600.

Of the heavyweights, Public Bank Bhd rose 10 sen to RM20.70, Tenaga Nasional Bhd (TNB) gained two sen to RM10.70, Top Glove Corp Bhd added one sen to RM6.57, while both Petronas Chemicals Group Bhd (PetChem) and IHH Healthcare Bhd were flat at RM7.58 and RM5.65 respectively.

Conversely, Malayan Banking Bhd (Maybank) eased two sen to RM8.47.

Of the actives, Fintec Global Bhd inched down half a sen to nine sen, Malaysia Steel Works (KL) Bhd (Masteel) gained 2.5 sen to 54.5 sen, while Hiap Teck Venture Bhd and Talam Transform Bhd were flat at 46.5 sen and 3.5 sen respectively.

On the index board, the FBM Emas Index was 16.7 points higher at 11,853.55, the FBMT 100 Index bagged 11.52 points to 11,612.32, the FBM Emas Shariah Index perked 7.56 points to 13,315.06, the FBM 70 appreciated 46.36 points to 15,145.81 and the FBM ACE increased 46.11 points to 10,699.66.

Meanwhile, the Industrial Products and Services Index picked up 0.42 of a point to 175.89, the Financial Services Index advanced 43.27 points to 15,334.91 and the Plantation Index improved 37.02 points to 7,404.51.

Source: TheEdgeMarkets