KUALA LUMPUR: Malaysia's main stock index started higher on Friday, raising hopes that the losing streak could finally be at an end.
At 9am, the FBM KLCI rose 4.91 points to 1,531.93 as investors halted the selling after six straight days of losses.
Analysts, however, are not overly optimistic over a reversal.
According to Rakuten Trade, the FBM KLCI slumped below the crucial 1,530 level yesterday amid a regional bloodbath.
"We believe foreign funds are unwinding their position within the regional markets amid heightening uncertainties over the US budget deficit and interest rates," said the broker.
"Though we hope for an immediate rebound, we believe it is inevitable that the index to hover within the 1,520-1,530 range today."
TA Securities said it expects buying momentum on index heavyweights to dwindle, with investors awaiting more earnings from local corporates in the coming days, as well as greater clarity on US trade deals with key trading partners in the region.
"Immediate resistance is revised lower to the recent high of 1,586, with
next major resistance seen at 1,610 followed by 1,644. Immediate support remains at 1,526, with 1,490 and 1,444 acting as stronger supports," it added in a note.
On the FBM KLCI, Maybank rose six sen to RM9.88 after the previous day's sell-off, while CIMB gained five sen to RM6.90 and PETRONAS Chemicals climbed nine sen to RM3.41.
Among movers on the broader market, Tomei rose three sen to RM1.75, Kossan gained two sen to RM1.67 and AmBank added five sen to RM5.39.
Eco-Shop made its debut on the main market with a 12 sen jump to an intra-morning high of RM1.25. At the time of writing, there was heavy trading volume of 28.34 million shares done.
