Strong start for KLCI as IHH, PPB Group shares surge

KUALA LUMPUR: Bursa Malaysia trekked the key Asian markets and Wall Street higher early Thursday on expectations the US Federal Reserve could restrain its interest rate hikes next year.

At 9.12am, the KLCI was up 11.03 points or 0.65% to 1,697.58. Turnover was 153.44 million shares valued at RM108.37mil. There were 245 gainers, 99 losers and 136 counters unchanged.

Asian stocks rose tracking a Wall Street rally as dovish comments from Federal Reserve Chair Jerome Powell boosted investor sentiment towards riskier assets, Reuters reported.

MSCI's broadest index of Asia-Pacific shares outside Japan rose 0.6%. Australian stocks gained 0.8% and Japan's Nikkei climbed 0.9%.

However, while a robust Wall Street buoyed Asian shares, gains in the region were nonetheless limited ahead of a meeting between U.S. President Donald Trump and his Chinese counterpart Xi Jinping due to take place on the sidelines of the G20 summit, Reuters noted.

At Bursa Malaysia, PPB Group rose 58 sen to RM17.58 and KL Kepong added 22 sen to RM24.66 as crude palm oil futures rose on expectations of the greater shift towards biodiesel.

IHH Healthcare rallied 36 sen to RM5.61 on news that Khazanah was selling its 16% stake in the healthcare provider to Japan’s Mitsui for RM8.42bil or RM6 a share.

Petronas Gas gained 18 sen to RM19 but Petronas Dagangan lost 10 sen to RM26.36 as hopes for higher dividends dissipated.

Telcos also advanced with Axiata up 12 sen to RM3.75 and Digi 11 sen to RM4.23.

Nestle added 20 sen to RM146.40 and F&N gained 16 sen to RM33.54.

Transocean surged 18.5 sen to 62 sen and Johore Tin 11 sen to RM1.02.

Hengyuan fell the most, down 32 sen to RM4.59, Allianz 20 sen to RM12.10, MSM 13 sen to RM2.72 and CSC Steel 10 sen to RM1.