Petronas stocks weigh on KLCI early Thursday

KUALA LUMPUR: Petronas-linked stocks weighed on the FBM KLCI early Thursday as crude oil prices slipped while the broader market remain mixed.

At 9.28am, the KLCI was down 3.71 points or 0.22% to 1,706.08. Turnover was 242.53 million shares valued at RM108.19mil. There were 178 gainers, 173 losers and 295 counters unchanged.

Oil prices softened as record high U.S. crude and gasoline inventories fed concerns about a global glut. US crude was down 0.15% at US$53.03 a barrel and Brent was flat at US$55.75 a barrel, Reuters reported. 

Hong Leong Investment Bank (HLIB) Research said with the optimistic trading sentiments on Wall Street following the better-than-expected US data, traders are likely to maintain the bullish tone with the Dow having a potential upside towards 21,000. 

However, traders will continue to observe further developments on US President Donald Trump's economic policies.

“Meanwhile, positive sentiments may spillover to the local bourse on selective heavyweights. Nevertheless, traders might deploy sell-into-strength strategy if the FBM KLCI trades into the region of 1,720-1,730 after rallying more than 40 points over the past two weeks,” said the research house.

Reuters reported the dollar took a breather on Thursday after climbing to a one-month high as a run of upbeat US economic data rekindled expectations of an early rate hike by the Federal Reserve.

The dollar index touched 101.76 on Wednesday, a peak unseen since Jan 12, on the wake of better-than-expected U.S. inflation and retail sales data before retreating to 100.94 on profit-taking.

Petronas Gas and Petronas Dagangan fell eight sen each to RM20.52 and RM23.84 while Petronas Chemicals shed six sen to RM7.15.

Aeon Credit’s rally hit a speed bump, down 22 sen to RM15.68. BAT lost 20 sen to RM48.80 and Box Pax seven sen lower at RM1.87.

Heineken rose 66 sen to RM16.58 after announcing a strong set of results while Nestle added 34 sen to RM76.42.

Gas Malaysia rose nine sen to RM2.85 after its firm earnings, ECS added nine sen to RM1.48, RCE Capital and Public Bank were up eight sen each to RM1.59 and RM19.98.

RCE Capital’s 3QFY17 net profit rose 67% on-year, thanks to higher interest and fee income, driven by continuous growth in its consumer financing segment.

Dnex was the most active, up three sen to 31 sen and its warrants WD added one  sen to eight sen. DNeX was picked to be the service provider for the eWork Permit System.