KUALA LUMPUR: The local bourse ended marginally higher in range-bound trading in the morning session, with selling seen across the board.
At 12.30 pm, the bellwether FBM KLCI ended the morning session 1.08 points higher at 1,787.00 against yesterday’s close of 1,785.92. The key index opened 1.17 points lower at 1,784.75.
Market breadth was negative, with decliners outpacing gainers 382 to 338, while 399 counters were unchanged. Turnover stood at 1.03 billion shares worth RM820.01mil.
According to analysts, the trend is likely to trend sideways for today, with the benchmark index moving between 1,790 and 1,800 levels.
Hong Leong Investment Bank Research said there could be some relief buying in the US as most of the outcomes of the major events this week should be within expectation.
Hence, the research house said the Dow may rebound and retest the near term high of 21,200, followed by another resistance along 21,400.
“However, sentiments on the local front may be dampened by the weaker crude oil prices as Malaysia is considered highly linked with commodities. Selling pressure is likely to emerge within oil and gas heavyweights and KLCI’s upside may be capped along 1,790-1,800,” it said.
Meanwhile, PublicInvest Research said the FBM KLCI was set to open with a cautious note today after further steep falls for oil prices kept global equity indices reined in as participants continued to brace for the ‘Super Thursday’ scenario of the UK general election, and a policy decision from the European Central Bank,”
The research house added that the markets got an early take on the Congressional testimony of James Comey, also scheduled for today, following the release of prepared remarks by the former FBI director regarding Russia’s alleged involvement in the US election.
Overnight, US markets advanced after investors expect ex-FBI director James Comey’s testimony to have less impact on President Donald Trump. Earlier, European ended lower ahead of UK general election and ECB policy meeting.
Reuters reported that crude futures edged up in early Asian trading on Thursday following heavy losses in the previous session after official data showed that U.S. inventories rose for the first time in 10 weeks, reawakening concerns of a supply glut.
U.S. crude futures were up 24 cents at US$45.96 a barrel at 0300 GMT while Brent crude prices rose 29 cents to US$48.35 a barrel.
Among the top gainers at Bursa Malaysia, Allianz-PA added 48 sen to RM12.68, Hartalega
gained 39 sen to RM6.86 and MPI rose 34 sen to RM13.34.
The decliners included Bursa Malaysia, Hong Leong Bank and KESM.
Among the key regional markets:
Japan’s Nikkei 225 fell 0.33% to 19,918.24;
Hong Kong’s Hang Seng Index rose 0.09% to 25,997.28;
Shanghai Composite Index fell 0.05% to 3,138.82;
Taiwan’s Taiex gained 0.11% to 10,220.97;
South Korea’s Kospi rose 0.01% to 2,360.46 and;
Singapore’s Straits Times Index is accumulated 0.29% to 3,239.91 points.
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