KUALA LUMPUR: Fund nibbling of Tenaga Nasional and Malayan Banking (Maybank) helped the FBM KLCI extend its gains while oil prices edged higher as OPEC and Russia agreed to cut back their output to steady oil prices.
At 9.11am, the KLCI was up 2.94 points or 0.18% to 1,629.38. Turnover was 99.17 million shares valued at RM35.24mil. There were 122 gainers, 69 losers and 116 counters unchanged.
Oil prices extended gains early on Friday as producer cartel OPEC and Russia agreed to rein in a global oversupply in crude on Wednesday with analysts now focusing their attention on implementation of the deal, Reuters reported.
US West Texas Intermediate (WTI) crude futures were at US$51.10 per barrel by 0037 GMT, up 5 cents from their last settlement.
Kenanga Investment Bank Research said since crude oil price closed above the US$50 a barrel at US$53.94, the FBM KLCI close higher, nearer the 1,630-1,640 mark on Friday.
"Key overhead resistance are visible at 1,640 (R1) followed by 1,662 (R2), while downside support are located at 1,620 (S1) and 1,610 (S2)," it said.
At Bursa, Petronas Gas advanced 12 sen to RM20.94, Tenaga rose eight sento RM14.06 with 122,400 shares done while Maybank added four sen to RM7.83.
As for plantations, Batu Kawan rose 72 sen to RM19 with 100 shares done and SOP added five sen to RM3.79.
Among the consumer stocks, F&N rebounded 68 sen to RM23.50 and Heineken added 16 sen to RM16.
Sasbadi rose six sen to RM1.42. CIMB Equities Research was positive on the company in its strategy report.
It said Sasbadi’s direct selling division promoting i-Learn Ace (iLA) should see strong sales once school starts in early Jan.
“Demand should be strong for iLA as we believe parents will find their children are more productive and efficient, using iLA. Sales momentum for ILA should pick up strongly from January 2017 onwards,” said the research house.
Oil and gas stocks rose in active trade with Hibiscus, KNM and Bumi Armada
adding one sen each to 30.5 sen, 34.5 sen and 55.5 sen respectively. TH Heavy edged up one sen also to 12.5 sen.
The decliners were Public Bank, down four sen to RM19.60, Genting Malaysia and Pos Malaysia slipped three sen each to RM4.72 and RM3.90.
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