KUALA LUMPUR: The record closing on Wall Street galvanised investors’ confidence early Friday as they continued to accumulate chip makers, tech stocks while the strong oil prices saw firm interest in Petronas-linked stocks.
However, Top Glove and bank stocks held back the FBM KLCI’s advance.
At 9.40am, the KLCI dipped by 1.05 points or 0.06% to 1,628.36. Turnover was 1.78 billion shares valued at RM850.81mil. The broader market was firmer with 584 gainers, 244 losers and 395 counters unchanged.
Asian stocks climbed after stronger risk appetite swept their US peers to an all-time high on the passage of Washington’s US$1.9 trillion stimulus package, Bloomberg reported.
At Bursa on Thursday, foreign funds continued to be net buyers at RM72.5mil and local retail investors RM64.6mil but the buying was offset by continual net selling by local institutions at RM137mil.
TA Research said the KLCI closed down 10.42 points to 1,629.41, off an opening high of 1,636.73 and low of 1,626.23, but gainers led losers 759 to 435 on lower turnover of 9.53 billion shares worth RM5.44bil.
“Stocks should rebound from profit-taking mode, lifted by the overnight US rally to record highs on the USD1.9 trillion stimulus rollout and strong tech rebound, with oil & gas and technology stocks likely to lead on recovery optimism.
“Subsequent profit-taking hurdles on the index are at 1,660 and 1,680, with significant resistance seen from last December peak of 1,695. Key chart supports will be at 1,600, followed by the 100-day and 200-day moving averages at 1,588 and 1,561, respectively, ” it said.
MPI was the top gainer, up RM1.04 to RM37.44, Unisem and KESM 26 sen each to RM7.86 and RM13.60 while Greatec added 25 sen to RM5.72 and Vitrox 22 sen to RM15.08. UWC rose 19 sen to RM5.54 and Pentamaster 14 sen to RM5.70.
Petronas Gas advanced 12 sen to RM15.82 and Petronas Chemicals 11 sen to RM8.31.
Among the decliners were CIMB and Hong Leong Capital, down five sen each to RM4.55 and RM5.91 while Top Glove lost five sen to RM5.27.