Wall Street's poor performance weighs on Bursa Malaysia


KUALA LUMPUR: Bursa Malaysia retreated on Wednesday as it took its cue from the losses on Wall Street overnight.

At 9.13am, the benchmark index fell 6.34 points, or 0.44% to 1,439.13. The index opened 4.69 points lower at 1,440.86.

There were 122 gainers and 256 losers on the broader market, while 266 counters were unchanged.

Overnight, the U.S. stock market plunged after August new home sales came in below expectations and the Conference Board’s consumer confidence was also below economists’ estimates.

The Dow Jones Industrial Average fell 388 points, or 1.14%, to 33,618.88, the S&P 500 lost 63.91 points, or 1.47%, to 4,273.53 and the Nasdaq Composite dropped 207.71 points, or 1.57%, to 13,063.61.

Inter-Pacific said near-term market conditions are likely to remain insipid due to the lack of leads as well as the weak market sentiments that are affecting global equities.

The research house said the cautious market undertone could also leave hopes of a meaningful window dressing to end 3Q2023 in jeopardy as the buying interest wanes and market players avoid equities for the time being.

“Not only would the weaker sentiments leave the key index to drift further, but it could miss the window dressing altogether as the downside risk looks to dominate trades over the near term, particularly after the Dow tumbled overnight on renewed concerns over its slowing economy.

“Under the prevailing environment, the supports at 1,440 and 1,433 are still in play and could be retested again. The resistances, meanwhile, are at the 1,448-1,450 levels, followed by the 1,455 level,” it said.

Meanwhile, Malacca Securities said as the trading environment becomes more cautious, selling pressure is expected to mount within the technology stocks, driven by the previous night's negative performance on the Nasdaq.

“However, we like defensive sectors such as utilities that have stable cash flow and dividends. Meanwhile, traders may continue to position around the mega infrastructure theme within the construction, building material and property sectors ahead of the Budget 2024,” it said.

Among the losers on Bursa Malaysia, PETRONAS Dagangan slid 12 sen to RM22.76, UMW fell 12 sen to RM4.78, PETRONAS Chemicals dropped 11 sen to RM7.22 and PPB declined 10 sen to RM15.48.

Aeon Credit jumped 42 sen to RM11.86, MBM Resources gained four sen to RM3.74, Kuala Lumpur Kepong added six sen to RM21.48 and Carlsberg rose four sen to RM19.96.

Subscribe now to our Premium Plan for an ad-free and unlimited reading experience!

KLCI , Bursa Malaysia , FBM KLCI

   

Next In Business News

Serba Dinamik's 1Q net loss narrows to RM80.67mil
YTL, NVIDIA to build AI infrastructure, bring fastest supercomputers to Malaysia by mid-2024
Ringgit closes higher vs greenback ahead of US jobs data
Axis-REIT acquires hypermarket in Temerloh for RM25.75mil
Jati Tinggi's IPO shares oversubscribed
Govt committed to increasing public acceptance of EV- Tengku Zafrul
Westports signs third supplementary privatisation deal with government
FBM KLCI loses ground for fifth straight session
Bank of England to hold its line against rate cut talk
Oil heads for 7th weekly loss as supply surplus, weak China demand weigh on market

Others Also Read