Bursa tracks Wall Street higher as oil prices slip below US$100/barrel

KUALA LUMPUR: The domestic market tracked Wall Street's overnight surge although the benchmark composite index remained flattish as a decline in oil prices capped gains.

At 9.05am, the FBM KLCI was up 1.37 points to 1,558.78 following a strong advance in US markets as Brent crude futures dipped below the US$100 a barrel mark.

The market breadth however was positive with 253 gainers compared to 74 decliners.

Lockdowns in China to curb a surge in Covid-19 cases in the country have triggered fears that demand for energy may be dampened, leading to a sharp sell-off in oil.

Meanwhile, the pullback in oil prices could influence the US Federal Reserve's interest rate hike decision, which will be announced later today.

Investors are betting that the decrease in oil prices could lend further support for a less aggressive 25bps hike, as opposed to 50bps.

On the domestic market, Maybank rallied 10 sen to RM8.77, CIMB gained seven sen to RM5.16 and Press Metal rose seven sen to RM6.19.

Petronas Chemicals remained positive despite the pullback in oil prices, gaining three sne to RM9.23, while Petronas Gas rose eight sen to RM17.

Plantations stocks remained firm with Sime Darby Plantation climbing six sen to RM5.01.

Technology counters rallied after the Nasdaq's strong showing overnight. MPI gained 84 sen to RM30.62 and Vitrox rose 19 sen to RM6.37.

Top actives were DNeX up 3.5 sen to 95.5 sen, Hibiscus rising five sen to RM1.07 and Widad gaining 0.5 sen to 34.5 sen.