Glove counters see heavy profit-taking

Downtrend: Rubber glove stocks tumble after cap on collateral value.

PETALING JAYA: Rubber glove counters saw big falls following the decision by brokers to put a cap on how much traders can borrow from the bank if they wish to use glove counters as collateral.

StarBiz reported yesterday that major brokerage houses became uneasy after the stratospheric rise in the share prices of glove companies and limited its collateral value to be based on a discounted value rather than the current market value of the shares.