Market takes a breather, GFM in focus

KUALA LUMPUR: Bursa Malaysia took a breather early Monday after the recent run-up in the FBM KLCI last week as crude oil prices slipped but GFM Services was in focus on its trading debut on the ACE Market.

At 9.23am, the KLCI was down 0.83 of a point or 0.05% to 1,674.66. Turnover was 231.51 million shares valued at RM97.40mil. There were 218 gainers, 135 losers and 211 counters unchanged.

Kenanga Investment Research said while the immediate term outlook of the KLCI looks rosy at this point of time, we do not discount the possibilities of the key index taking a sideways breather this week to neutralise its overbought condition.

"All in, we expect an upward-bias trading range within 1,665-1,692 this week. Resistance levels are capped at 1,680 (R1)/1,692 (S2), while supports are present at 1,665 (S1) followed by 1,657 (S2)," it said.

Oil halted its advance below US$54 a barrel as an increase in US drilling countered signs OPEC members including Saudi Arabia are sticking to planned output cuts to stabilise the market, Bloomberg reported.

At Bursa Malaysia, GFM jumped 10 sen to 48 sen with 21.95 million shares done.

BAT fell 18 sen to RM45.12 and Nestle shed four sen to RM77.20.

As for plantations, Genting Plantations lost 16 sen to RM10.90 and Batu Kawan was down eight sen to RM18.30 but FGV rose seven sen to RM1.77.

Among the banks, RHB Bank fell six sen to RM4.92 and Public Bank four sen lower at RM19.96 but AmBank added eight sen to RM4.44.

Axiata lost 11 sen to RM4.82 with 160,500 shares done.

Shell climed 13 sen to RM2.56 despite the takeover price for the remaining shares had been capped at RM1.92.

A&M added 10 sen to RM4.44 on reports that it is believed to benefit from a massive port-industrial city project on Carey Island with its key township project named Amverton Cove in the Island.

Tenaga rose six sen to RM14 and investors were positive on its purchase of a 50% stake in Vortex Solar S.a.r.l. for £86mil (about RM477mil) as it makes its foray into the UK’s electricity-generation market.