KUALA LUMPUR: Profit taking on CIMB and Axiata weighed on the FBM KLCI at midday on Thursday in line with the cautious key Asian markets while the ringgit retreated against the key currencies.
At 12.30pm, the KLCI was down 4.74 points or 0.27% to 1,739.93. Turnover was 2.33 billion shares valued at RM1.33bil, indicating the lower quality of buying as investors picked up smaller capitalised stocks.
The broader market showed some signs of weakening as gainers trailed losers 392 to 489 and 341 counters were unchanged.
The ringgit fell against the key currencies, sliding to 4.4373 against the US dollar from 4.4373 versus 4.4307 while the pound sterling declined to 5.5382 from 5.5225. It weakened against the Singapore dollar to 3.1649 from 3.1643 and lost ground against the Euro to 4.7361 from 4.7284.
Southeast Asian shares fell on Thursday on worries of capital outflows from the region after minutes of the U.S. Fed meeting showed that most policymakers were of the view that the central bank should start trimming its massive stimulus, Reuters reported.
The US central bank's stimulus since the global financial crisis has driven huge amounts of investment inflows into emerging markets in Asia and any reduction in that could trigger capital outflows from the region.
US light crude oil and Brent fell 29 cents each to US$50.86 and US$54.07 as worries of oversupply cropped up again. Petronas Chemicals, Petronas Dagangan and Petronas Gas ended flat at RM7.70, RM24.10 and RM19.74 respectively.
Crude palm oil for third-month delivery slipped RM5 to RM2,709 per tonne. IOI Corp was flat at RM4.65, PPB Group and Sime Darby fell two sen each to RM16.66 and RM9.30 but KL Kepong rose four sen to RM24.66.
Among the banks, CIMB lost eight sen to RM5.48 and erased 1.16 points from the KLCI, Public Bank and Hong Leong Bank six sen lower at RM19.88 and RM13.68 while AmBank, RHB Bank and Maybank fell one sen each to RM4.84, RM5.22 and RM8.84 respectively.
As for telcos, Axiata lost five sen to RM5 and wiped out 0.73 of a point from the KLCI. Telekom lost three sen to RM6.39, Digi two sen lower at RM5.08 while Maxis was flat at RM6.40.
Among the consumer stocks, Nestle rose 38 sen to RM79.80 and Ajinomoto 28 sen higher at RM16.88 while Heineken lost 18 sen to RM18.14 and Carlsberg 12 sen down to RM15.04. Even Kawan Food's recent surge hit a speed bump, down 11 sen to RM4.52.
Poultry company CAB Cakaran
warrants came under profit taking, sliding 13 sen to RM1.82.
Limited time offer:
Just RM5 per month.
