KUALA LUMPUR: Investors’ appetite for riskier assets including equities perked up on Bursa Malaysia on Thursday as confidence was given a boost from the strong key Asian markets, with CIMB Group
and Bursa Malaysia taking the lead.
At 9.42am, the KLCI was up 4.21 points or 0.24% to 1,770.21. Turnover was 258.54 million shares valued at RM136.31mil. There were 235 gainers, 177 losers and 267 counters unchanged.
The ringgit climbed 0.16% to the US dollar at 4.276 from the previous close of 4.2825.
Reuters reported stocks, bonds and commodities were all on a roll in Asia on Thursday as bulls scented a softening in the Federal Reserve's confidence on inflation that promised to keep US interest rates low for longer.
MSCI's broadest index of Asia-Pacific shares outside Japan climbed 0.5% to heights not seen since January 2008. It has gained nearly 5% so far this month. South Korea added 0.6% and Australia 0.2% while Japan's Nikkei was kept flat by a firmer yen.
Oil prices dipped on Thursday after three days of gains, but were sitting just below eight-week highs on hopes that a steeper-than-expected decline in US crude oil inventories will reduce a global oversupply, Reuters reported.
Brent crude futures were down 15 cents at US$50.82 a barrel while US West Texas Intermediate futures were down 14 cents to US$48.61 a barrel.
On the outlook for Bursa Malaysia, Hong Leong Investment Bank (HLIB) Research said after two weeks of subdued trading tone, buying interest could be seen within lower liners and small caps, especially technology-related stocks.
“Meanwhile, the KLCI may retest 1,770 on the back of positive crude oil recovery,” it said.
On Wednesday, the KLCI eked out slight gains while both the MACD and Stochastics indicators continued to trend higher, preparing the KLCI to retest the 1,770 level. Meanwhile, the support will be set around 1,750, followed by 1,745.
Among the KLCI stocks, BAT added 26 sen to RM44.32, CIMB 18 sen to RM6.58 and Bursa Malaysia 12 sen higher at RM10.62.
Ajinomoto rose 30 sen to RM25.40 and Heineken added 26 sen to RM17.90 but F&N fell six sen to RM24.92.
Vitorx rose 27 sen to RM4.77 and JHM 14 sen higher at RM2.70.
Alianz added 20 sen to RM15.06 and Aeon Credit 14 sen to RM13.64. LPI shed four sen to RM18.12.
United Plantations fell 10 sen to RM27.20 and IOI Corp five sen lower at RM4.46 while Innoprise shed four sen to RM1.10.
Magni-tech fell seven sen to RM7.20 and Genting Malaysia six sen lower at RM6.04.
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