Volatile crude oil prices weigh on KLCI, ringgit firm

KUALA LUMPUR: Most of the key Asian markets slipped into the red at midday on Friday, including Bursa Malaysia, as the volatile crude oil prices dampened investor risk appetite but the ringgit was up against some key currenices except the dollar.

At midday, the KLCI was down 0.66 of a point or 0.04% to 1,773.3 noon. Turnover was 1.36 billion shares valued at RM1.11bil. The broader market was cautious with decliners beating advancers nearly three to one or 635 losers to 214 gainers and 332 counters unchange.

The ringgit fell 0.01% to 4.2795 against the US dollar from 4.2790. However, it rose 0.6% against the pound sterling to 5.5164 and was up 0.08% to the Singapore dollar at 3.0874 and gained 0.33% to the euro at 4.7924.

Crude prices were on the defensive on Friday after an agreement by Opec to extend existing supply curbs disappointed investors wagering on larger cuts, prompting a move away from riskier assets and depressing Asian stocks, Reuters reported.

US light crude oil fell 38 cents to US$48.52 and Brent lost 30 cents to US$51.16.

The fall in oil prices weighed on refiner Petron Malaysia whose share price had surged in recent months and also recorded a jump in earnings. It fell 34 sen RM8.35.

Petronas Gas lost 18 sen to RM18.98, Petronas Dagangan eight sen lower at RM24.18 and Petronas Chemical rose one sen to RM7.40.

Among the heavyweights, Genting Malaysia fell 18 sen to RM6.02 and erased 1.765 points from the KLCI. Genting  Bhd was down five sen to RM9.94, Tenaga shed two sen to RM13.80 and IHH healkthcare six sen lower at RM5.65.

As for telcos, Telekom added 10 sen to RM6.50.  Axiata regained part of its recent losses after it staged a trunaround in its results and returned to the black. It rose six sen to RM5.04. Digi added two sen to RM5.05 and Maxis one sen higher at RM6.46.

Old Town lost 25 sen to RM2.84 after its fourth quarterly results disappointed investors.

As for consumer stocks, Dutch Lady fel the most, down 18 sen to RM57.82 and Ajinomoto was down 16 sen to RM19.40. However, Nestle added 10 sen to RM81.50.

CIMB rose seven sen to RM6.39 and nudged the KLCI up RM6.39 while RHB Bank gained three sen  to RM5.43. AmBank lost five sen to RM5.24, Maybank was down four sen to RM9.35, Hong Leong Bank and Public Bank two sen lower at RM13.96 and RM20.06 but

AirAsia X fell 0.05 sen to 42 sen with 71.3 million shares done while AirAsia was down eight sen to RM3.05.

Crude palm oil for third-month delivery fell RM32 to RM2,527 per tonne. However, PPB Group added eight sen to RM16.98, KL Kepong gained six sen to RM24.76, Sine Darby three sen to RM9.33 and IOI Corp rose two sen to RM4.59.

Among the key regional markets,

Japan’s Nikkei 225 fell 0.32% to 19,748.78;

Hong Kong’s Hang Seng Index rose 0.03% to 25,637.28;

CSI 300 dipped 0.09% to 3,482.52;

Shanghai’s Composite Index edged up0.09% to 3,110.74;

Hang Seng China Enterprise added 0.19% to 10,592.10;

Taiwan’s Taiex lost 0.28% to 10,080.38;

South Korea’s Kospi was up 0.53% to 2,366.27 and

Singapore’s Straits Times Index shed 0.09% to 3,231.52.

Spot gold rose US$2.38 to US$1,258.06