Bursa bucks key Asian markets as Tenaga, IHH lift KLCI


KUALA LUMPUR: Bursa Malaysia bucked the weaker key Asian markets to chalk up some solid gains on Wednesday, thanks to power giant Tenaga Nasional and IHH Healthcare.

At 5pm, the FBM KLCI was up 9.1 points or 0.56% to 1,623.67. Turnover was 1.95 billion shares  valued at RM1.83bil. Volume and value shrank from the 2.4 billion shares valued at RM4.52bil the previous day.

Key Asian markets were mostly lower, with Japan's Nikkei 225 dn 1.21%, Hong Kong's Hang Seng Index lost 0.57%, South Korea's Kospi lost 1.25% and Singapore's STI 0.06% lower. China's Shanghai Composite gained 0.16%.

Investors piled into Tenaga shares after its firm earnings, sending the power giant's shares up 66 sen to RM12.32 and pushing the KLCI up 6.56 points. 

Maybank Kim Eng Research said Tenaga’s first quarter (Q1 FY19) results were ahead of expectations but this could be due to timing.

“We think the YTD share price correction is unwarranted, with industry reforms possibly having a relatively muted impact on Tenaga’s profitability. Reiterate buy with an unchanged RM15.50 target price,” it said. 

IHH Healthcare added 14 sen to RM5.50 and lifted the KLCI up 2.14 points while Press Metal added 21 sen to RM4.45 and added 1.4 points.

Sime Darby fell seven sen to RM2.29 despite the firmer third quarter results. Its net profit rose by 64% to RM222mil in the third quarter ended March 31, 2019 from a year ago, boosted by the strong performance of its industrial division.

Among the banks, Maybank – which is yet to announce its results – rose six sen to RM9.05, RHB Bank added four sen to RM5.74, AmBank and CIMB lostthree sen each to RM4.36 and RM5.15. 

Public Bank gave up some of Tuesday's gains, down 12 sen to RM23 while Hong Leong Bank lost 36 sen to RM18.58.

US light crude oil tumbled US$1.35 to US$57.79 and Brent lost US$1.45 to US$68.67.

Petronas Chemical lost 17 sen to RM8.34 and erased 2.37 points but Petronas Gas added 48 sen to RM16.82 and Petronas Dagangan eight sen to RM24.80. Dialoh she done sen to RM3.30.

Digi rose nine sen to RM4.81, Maxis three sen to RM5.58 but Axiata shed four sen to RM4.50.

Crude palm oil for third month delivery rose RM45 to RM2,111 per tonne on stronger soyabean oil and weaker ringgit versus the US$.

As for plantations, Sime Plantation lost nine sen to RM4.62, KL Kepong shed two sen to RM24.20 but PPB Group rose two sen to RM18.62 and IOI Corp eked out a one sen gainb to RM4.22.

MAA Group fell 20 sen to 79.5 sen after major shareholder, the Melewar group's proposed plan to take it private through a selective capital reduction (SCR) failed.

Tasek jumped 46 sen to RM5.51 after the Hong Leong Group, controlled by Tan Sri  Quek Leng Chan, offered to buyout minority shareholders in Tasek for RM5.50 a share. 

The ringgit fell 0.19% to the US dollar to 4.1960 and shed 0.01% to the pound sterling to 5.3064but edged up 0.11% against the euro to 4.6819 and added 0.16% versus the Singapore dollar to 3.0348.

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