Malaysian market to remain cautious in short term

KUALA LUMPUR: BIMB Securities Research expects the local market to remain cautious in the short term over Greece’s debt drama as well as the political undercurrent at the moment.

“We expect the index to hover at around 1,710 to 1,730 for this week,” it said on Monday.

It said foreign funds were net sellers at -RM196.2mil last Friday and at -RM372.4mil in the week. Local institutions were net buyers at RM174.9mil last Friday and RM315.3mil in the week.

Retail investors were also active in the market at RM21.3mil in the week and RM57.1mil last Friday.

“US stocks ended lower on Friday due to the effects of options expiration which increased market volatility in the last trading hour amid the ongoing concerns over Greece debt negotiations. The DJIA extended losses to close about 100 points lower to 18,015.95,” it said.

At Bursa Malaysia, the FBM KLCI closed 3.65 points or 0.2% higher to 1,721.77 partly due to the trading interest in Tenaga counter.