KUALA LUMPUR: The bounce in crude oil prices helped lift oil and gas stocks especially Petronas-linked companies which were aided by their strong earnings while Iskandar Waterfront City (IWCity) was off its early high.
At 9.43am, the FBM KLCI was up 6.71 points or 0.38% higher at 1,785.36. Turnover was 178 million shares valued at RM152.45mil. There were 208 gainers, 77 losers and 242 counters unchanged.
The ringgit rose 0.28% against the US dollar to 4.313 from the previous close of 4.325.
Reuters reported the US dollar traded near a one-week low versus a basket of major currencies on Tuesday, having come under pressure after a surprisingly soft US manufacturing report.
The dollar index, which measures the greenback's value against a basket of six major currencies, last traded at 98.855. On Monday, it touched a low of 98.787, its weakest level since May 8.
On the market outlook, Hong Leong Investment Bank (HLIB) Research said the FBM KLCI may retest the 1,780 level as Brent oil surged nearly 2% above the US$50 mark, is likely to boost the market sentiments.
“In our view, traders may look out for opportunities within the oil and gas segment. Besides, selected property developers may experience further buying interest after PM’s discussion with key figures in China,” it said.
Reuters reported oil prices rose on Tuesday, extending gains after a joint announcement by top producers Saudi Arabia and Russia to push for an extension of supply cuts until the end of March 2018.
Brent crude futures were at US$52.05 per barrel at 0129 GMT, up 23 cents, or 0.44%, from their last close. US West Texas Intermediate (WTI) crude futures were at US$49.10, up 25 cents, or 0.51% from their last settlement.
Petronas Dagangan rose 42 sen to RM24.48 and Petronas Gas 32 sen higher at RM18.90. Refiners Hengyuan rose 24 sen to RM5.07 and Petron 23 sen up to RM8.75.
LNG carrier MISC added 14 sen to RM7.69 on rising investor interest.
Public Bank was the top gainer among the banks, up 34 sen to RM20.32 while PPB Group rose 18 sen to RM17.28 and MSM climbed 14 sen to RM4.59.
IW City was up 14 sen to RM2.27, off the early high of RM2.43. It was actively traded with 96.97 million shares done.
On Monday, IW City hit limit-up, surging 49 sen to RM2.13 with 201.73 million shares done as traders and retail investors chased up the stock again.
The Star reported Bandar Malaysia may see more changes to its equity structure – which may include the return of its original master developer IWH-CREC – after Prime Minister Datuk Seri Najib Tun Razak met with Chinese leaders in Beijing.
However, another related company, Ekovest fell four sen to RM1.30 after rising to a high of RM1.37 earlier.
BAT fell the most, down 44 sen to RM45.50 while IHH lost 17 sen to RM6 and Hartalega
was down 11 sen to RM5.56.
Lafarge Cement fell 20 sen to RM6.23 and CMSB 11 sen lower at RM4.39.
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