Market weakens as investors eye monetary policy decisions

KUALA LUMPUR: The domestic market was softer as investors remained focused on economic data and interest rate decisions to be announced later this week.

At 9.05am, the FBM KLCI was down 3.51 points to 1,495.87. There was a negative market breadth with 163 decliners compared with 97 gainers.

Trading volume was 131.95 million valued at RM76.43mil.

In the week ahead, Bank Negara will be announcing its monetary policy decision, with analysts in agreement that the central bank will raise the overnight policy rate by 0.25%.

Meanwhile, investors will also be paying attention to inflation data from the Eurozone as well as Bank of Japan's own monetary policy decision.

According to Malacca Securities Research, sectors in focus include manufacturing, construction, plantation and agriculture.

It said production activities are expected to normalise going forward after the demand for migrant workers will be met under the relaxation of employment of foreign workers plan.

Meanwhile, there was a pullback in Bursa Malaysia equities including Hextar Technologies down 30 sen to RM24.22, Carlsberg sliding 14 sne to RM23.52 and Chin Hin shedding seven sen to RM3.43.

Among blue chips, PETRONAS Chemicals dropped 11 sne to RM8.51, Digi fell six sen to RM4.22 and PPB dipped four sen to RM17.48.

Banks also dragged with Public Bank down two sen to RM4.30, CIMB falling one sen to RM5.76 and Hong Leong Bank sliding two sen to RM20.60.

Market debutant TT Vision surged in stellar fashion, rising RM1.01 to RM1.35 on heavy trading volume of 49.37 million shares.

Other actives included BSL down 2.5 to 16 sen and DNeX gaining 0.5 sen to 59 sen.