KLCI snaps out of early losses, Petronas stocks, Public Bank advance

KUALA LUMPUR: Blue chips snapped out of their early decline on Friday on some profit taking but firmer investor confidence saw buyers emerging to buy Petronas linked stocks, Public Bank Bhd and  Malaysia Airports Holdings Bhd (MAHB).

At 9.37am, the KLCI was up 0.44 point or 0.03% to 1,670.10, extending its gains. Turnover was 321.74 million shares valued at RM206.65mil. There were 213 gainers, 148 losers and 270 counters unchanged.

Asian shares edged closer to 14-month highs on Friday while the dollar was on the defensive as investors grew more convinced that the Federal Reserve is settling into a phase of very gradual interest rate hikes, Reuters reported.

MSCI's broadest index of Asia-Pacific shares outside Japan was steady and within sight of its highest levels since July 2015 that it hit in early September.  Japan's Nikkei dipped 0.2%, reflecting the yen's gains during Japan's market holiday on Thursday.

Kenanga Investment Bank Research said based on the KLCI’s performance on Thursday, chart-wise, the KLCI has managed to stage a rebound play to escape from its consolidation zone. 

“Technical-indicators had also improved with an uptick seen by the RSI and Stochastic, with the latter emerging from its oversold region to potray a more hopeful near-term outlook ahead.

“The return of the bulls into the domestic market could allow the local bourse to aim for a higher close later today, with resistance levels now envisaged at 1,680 (R1) and 1,700 (R2). Key support levels are now tied at 1,662 (S1) followed by 1,650 (S2),” it said.

Petronas Dagangan rose 22 sen to RM23.56 and Petronas Gas 20 sen higher at RM21.90 while Public Bank gained 12 sen to RM19.70 and MAHB climbed eight sen to RM6.88.

As for plantations, KL Kepong rose 12 senn to RM23.96 but PPB Group fell 12 sen to RM16.14 and Genting Plantations lost six sen to RM10.92.

Among the consumer stocks, BAT lost 20 sen to RM49.80 and Genting Plantations shed six sen to RM24.32. 

Furniture maker Latitude Tree lost eight sen to RM4.62 while Comintel Corporation skidded 7.5 sen to 81.5 sen in active trade.