KUALA LUMPUR: The FBM KLCI advanced at midday on Tuesday on sustained buying and pushed the FBM KLCI past the 1,770 resistance level, led by CIMB Group
.
At 12.30 pm, the benchmark FBM KLCI rose 8.15 points to 1,776.21. The index opened 1.10 points higher at 1,769.16.
In the broader market, gainers led losers 479 to 388 with 350 counters unchanged, 533 untraded and 18 others suspended. Turnover stood at 1.98 billion shares worth RM1.41bil.
PublicInvest Research said the FBM KLCI might open with a positive bias today after Wall Street’s so-called fear gauge slid to its lowest level since before the credit crisis overnight as the broad US stock market inched closer to a new all-time high and the technology-heavy Nasdaq Composite closed at a record.
Overnight, the US markets advanced with the Nasdaq extending its all-time high after President Donald Trump is looking at breaking up big banks.
European stocks declined on Friday amid North Korea tension and earnings season with telcos leading the laggers.
JF Apex said the FBM KLCI could follow suit and retest its resistance of 1,770 points following the gains in Wall Street.
Hong Leong Investment Bank Research opined that the sentiments were likely to stay on a cautious note ahead of the two-day FOMC meeting and Friday’s employment data. Hence, the Dow could be taking a breather this week near the 21,000 level following strong weekly gains last week.
“Similarly, shares on the local bourse could stay on a wait-and-see mode ahead of the Federal Reserve meeting. The FBM KLCI’s resistance is envisaged along 1,770-1,780,” it added.
Meanwhile, the ringgit opened marginally higher against the US dollar in early trade on better demand for the local note as weak US economic data dampened investor sentiment towards the greenback.
The ringgit was quoted at 4.3280 against the US dollar.
On Bursa Malaysia, Nestle was the top gainer, up 50 sen to RM82.50, British American Tobacco rose 48 sen to RM45.92 while Malaysia Airports Holdings Bhd added 40 sen to RM8. The top losers included Dutch Lady and HCK Capital.
Among the banks, Public Bank added 16 sen to RM20.12, Maybank gained 5 sen to RM9.63 and CIMB rose 17 sen to RM5.94.
Elsewhere in the region, Asian shares closed mixed with Japan’s Nikkei Stock Average rose 0.66%, Australia’s S&P/ASX 200 fell 0.28%, Korea’s Kospi rose 0.58% and the Hang Seng Index in Hong Kong eased 0.02%.
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