KUALA LUMPUR: Heavy churning of penny stocks saw trading volume and value surge at the midday break while the FBM KLCI fell nearly 1% due to selling of banks and oil and gas stocks despite gains in glove makers.
At 12.30pm, the KLCI was down 15.09 points or 0.94% to 1,588.66. Turnover was 6.97 billion shares valued at RM4.65bil. There were 481 gainers, 599 losers and 323 counters unchanged.
The market did not get much lift from the positive IHS Markit report for July as worries about the continuing selling by foreign funds did dent broader investor sentiment as there seems to be not let up.
Bernama reported IHS Markit as stating that after rising at a joint record pace in June, Malaysia’s factories output continued to expand in July, with trends in new orders much improved since the nadir of the Covid-19 downturn in April.
On a negative note, foreign funds selling of local equity extended to 24th straight week, but at a slower pace of RM226.1mil last week from RM910.2mil in the prior week. So far in 2020, foreign investors have sold RM19.0bil net on Bursa.
On the external front, Chinese shares rose as new data underscoring strong growth in factory activity bolstered hopes that China's economy has bounced back faster than expected from the shock of the coronavirus outbreak.
Reuters reported a private business survey released Monday showed China's factory activity expanded at the fastest pace in nearly a decade in July as domestic demand continued to improve after the pandemic, though export orders and employment remained weak.
At the midday break, the Shanghai Composite index was up 1.08% at 3,345.79. China's blue-chip CSI300 index was up 0.98%.
At Bursa, Hong Leong Bank fell 56 sen to RMRM14.40, HLFG 54 sen to RM12.90 and Public Bank 32 sen to RM16.68.
PPB Group and Petronas Dagangan lost 60 sen seach to RM19.10 and RM20.90.
As for Heineken, it fell 36 sen to RM22.16, F&N and Nestle lost 30 sen each to RM32.20 and RM141.70.
Careplus was the top gainer among the glovemakers, surging RM1.02 to RM4.67, Rubberex 86 sen to RM6.09, Comfort 85 sen to RM6.22, Supermax 84 sen to RM19.34, Adventa 84 sen to RM3.70, Top Glove 70 sen to RM26.58, Hartalga 60 sen to RM20.88 and Kossan 50 sen to RM18.10.
Notion V-Tech hit limit-up, surging 29.5 sen to RM1.11 with 240 million shares done.
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