KUALA LUMPUR: The FBM KLCI was lower in early trade as profit taking activities prevail on the local bourse.
At 9.04am, the benchmark KLCI fell 1.38 points, or 0.08% to 1,735.57. Turnover was 120 million shares valued at RM46mil. There were 135 gainers, 115 losers and 164 counters unchanged.
PublicInvest Research said the FBM KLCI might open with a cautious note today after the global bond market suffered a drubbing overnight, with yields climbing sharply across the board and weighing on stocks.
Overnight, US markets declined from record highs as investors took profit with the expectation that the tax reform will be approved by this week.
Earlier, European stocks also dropped in tandem with Wall Street despite optimism on US tax reform.
Meanwhile, Kenanga Research said overall, the technical picture of the index was gradually improving after bottoming-out from a 3-month downtrend late last month.
“And while key SMAs are still in a ‘death-cross’ state, the MACD has turned bullish recently after crossing above its signal and zero line, possibly indicating a turn in momentum towards the bulls.
“From here, expect some support at 1,734 (S1) should the index consolidate at this level for the time being, with a decisive break-below to see a lower support at 1,709 (S2).
“Conversely, resistances can be identified at 1,750 (R1), and at the psychological-mark of 1,800 (R2),” it said.
British American Tobacco
fell 90 sen to RM35.20, CCM eased 15 sen to RM1.76 while Hengyuan lost 14 sen to RM13.84.
Heineken was 14 sen lower at RM18.44 and Carlsberg eased eight sen to RM15.22.
Nestle jumped 33 sen to RM99.80, Hartalega gained 32 sen to RM11.04, Top Glove rose 31 sen to RM7.79 and Panasonic Manufacturing gained 28 sen to RM39.38.
Meanwhile, crude oil prices rose in after-hours trading because an oil-industry assessment was said to show a larger-than-expected contraction in U.S. crude stockpiles.
Brent crude was up 10 cents to at US$63.90 a barrel while U.S. West Texas crude was up 19 cents at US$57.75 a barrel.
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