FBM KLCI stays in the red at the midday break

KUALA LUMPUR: The FBM KLCI ended the morning session in negative territory, weighed by profit-taking in selected heavyweight stocks.

At the lunch break, the market bellwether declined by 2.87 points to 1,417.48. It opened 2.54 points lower at 1,417.81 this morning.

There were 384 gainers, 343 losers and 357 counters traded unchanged on the Bursa Malaysia. Turnover stood at 1.84 billion shares valued at RM724.8mil.

Among the gainers, Hextar Technologies rose 38 sen to RM23.72, Malaysia Pacific Industries gained 30 sen to RM29, Nestle added 30 sen to RM137.50 and Chin Hin advanced 25 sen to RM4.49.

PPB fell 34 sen to RM16.94, PETRONAS Dagangan eased 30 sen to RM20.78, PETRONAS Dagangan lost 14 sen to RM16.46 and F&N declined 12 sen to RM25.78.

Bintai Kinden 33.33%, or two sen to four sen with 72.18 million shares traded following news the company had slipped into Practice Note 17 (PN17) status.

Inter-Pacific Research said the near-term upsides look to sustain amid the improved market sentiments that can help lift the FBM KLCI past the 1,420 level.

“There continues to be optimism over the Prime Minister’s visit to China where new investments could be announced and keep market players interested,” it said, adding that the foreign selling seems to have abated and this may also provide some more near-term confidence in the market.

“The key global equity indices’ continuing climb could also help to shore up bargain hunting on some of the beaten down stocks and help to extend the key index’s near-term upsides.

“Above the 1,420 level, the FBM KLCI could be targeting the 1,423 level with the ensuing hurdle set at 1,432 points, where the gap-down technical formation could be covered. The support, on the other hand, are at the 1,412 level, followed by the 1,408 level,” Inter-Pacific said.

Rakuten Trade reckoned the ongoing uptrend to remain intact and expected the index to hover within the 1,420-1,435 range today.

It added that buying interests were returning to plantation counters as the crude palm oil closed at a week’s high at above RM3,700 per tonne.