KUALA LUMPUR: Blue chips sunk to the lowest in six weeks below the key 1,700 level on Tuesday, weighed down by losses in Sime Darby, Digi, Genting Bhd
and Axiata as the ringgit weakened against the major currencies.
At 5pm, the KLCI was down 22.01 points or 1.28% to 1,692.50, which was the lowest since March 15 and erasing all the gains for the year. The KLCI was the worst performer among the regional markets on Tuesday except for Jakarta's 1.33% loss.
Turnover on Bursa Malaysia surged to 2.91bil shares valued at RM2.33bil. The broader market weakened to four decliners to one advancers, with 779 losers to 164 gainers while 286 counters unchanged.
The ringgit weakened against the US dollar to 3.9290 from 3.9075 the previous day while it slipped against the pound sterling to 5.7251 from 5.6416. Against the Singapore dollar, the local unit was at 2.9063 from 2.8875 and weakened to 4.4369 against the euro from 4.3986.
Crude palm oil for third month delivery rose RM15 to RM2,670.
Crude futures edged up on Tuesday due to a weaker dollar and hopes for an easing of the global oil glut, although gains were capped by concerns that a battle for market share between Saudi Arabia and Iran could intensify further, Reuters reported. US light crude oil rose 33 cents to US$42.97 and Brent added 32 cents to US$44.80.
Meanwhile, focus was on 1Malaysia Development Bhd which had had on Tuesday confirmed that the International Petroleum Investment Company (IPIC) has not made a US$50.3mil (RM196.3mil) interest payment on its bonds where it was co-guarantor.
1MDB however said there was no cross default on its other remaining debt, namely the US$1.75bil 1MDB Energy Ltd notes and the US$3bil 1MDB Global Investments Ltd notes.
At Bursa Malaysia, plantation heavyweight Sime Darby fell 22 sen to RM7.73 and erased 2.38 points from the KLCI due to fund selling.
Digi fell 16 sen to RM4.53 and Axiata 14 sen lower at RM5.72 and wiping out 2.13 points and 2.11 points. Maxis lost 10 sen to RM5.85 and Telekom two sen to RM6.69.
Genting fell 33 sen to RM9.07 and erased 2.11 points while Genting Malaysia was down eight sen to RM4.46. Tenaga fell 10 sen to RM14.40 while MISC shed three sen to RM8.73. AirAsia lost 13 sen to RM1.91 in active trade in line with the weaker sentiment.
Chip maker Globetronics fell the most, down 55 sen to RM3.89 with 33.20 million shares as its earnings fell on the weaker contracts. MPI was down 23 sen to RM6.86.
Crude palm oil for third month delivery rose RM15 to RM2,670, snapping its recent decline. PPB Group fell 22 sen to RM16.18, KL Kepong 16 sen lower at RM23.90, IOI Corp six sen lower at RM4.37 but TSH added eight sen to RM2.14.
As for oil stocks, Petronas Dagangan lost 24 sen to RM23.84, Petronas Gas eight sen to RM21.88 and Petronas Chemicals one sen to RM6.69 while SK Petro lost three sen tp RM1.74.
Sona-WA warrants fell two sen to one sen with 386 million units done after shareholders have voted against the purchase of its qualifying acquisition (QA), signifying the end of yet another potential special purpose acquisition company (SPAC). This was in spite of a proposed capital repayment plan by Sona to help sweeten the deal.
Tanah Makmur jumped 20 sen to RM1.67 after the takeover offer at RM1.80 a share.
As for banks, Public Bank lost 28 sen to RM18.84, CIMB seven sen to RM4.73, AmBank six sen to RM4.56 and Maybank four sen to RM8.97 but RHB Cap added one sen to RM6.14.
Among the key regional markets,
Japan’s Nikkei 225 fell 0.49% to 17,353.28;
Hong Kong’s Hang Seng Index rose 0.48% to 21,407.27;
CSI 300 rose 0.54% to 3,179.16;
Shanghai’s Composite Index added 0.16% to 2,964.70;
Shenzhen Composite rose 1.19% to 1,881.99;
Hang Seng China Enterprise added 0.33% to 9,016.12;
Taiwan’s Taiex added 0.25% to to8,581.57;
South Korea’s Kospi gained 0.25% to 2,019.63 and
Singapore’s Straits Times Index fell 0.19% to 2,894.66.
Spot gold fell US$3.32 to US$1,234.65.
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