KUALA LUMPUR: The FBM KLCI stayed in the red at midday, weighed down by banking and plantation stocks amid broad-based market losses.
At midday, the benchmark index fell 6.72 points, or 0.42%, to 1,609.80, weighed down by banking and plantation stocks, after rebounding from an intramorning low of 1,601.50.
Market breadth turned negative as 665 counters fell against 262 gainers. The sharp imbalance kept sentiment bearish, with continued selling weighing on the broader market.
Turnover stood at 2.2 billion shares valued at RM931.8 mil.
Consumer stocks were among the top decliners on Bursa Malaysia, with Ajinomoto and F&N slipping 30 sen each to RM13.60 and RM34.80, respectively.
Chin Tek dropped 20 sen to RM10.78, Kuala Lumpur Kepong fell 20 sen to RM18.98, while PPB eased 18 sen to RM9.98.
Among the gainers, Nestle jumped RM2 to RM114, Allianz-PA added 28 sen to RM20, Hong Leong Industries gained 14 sen to RM16.36 and Sunway rose 14 sen to RM5.57.
Meanwhile, BMS Holdings extended its weak debut performance, falling four sen or 18.18% to 18 sen at midday, with 130.45 million shares traded.
Apex Securities said investors may stay cautious ahead of the US interest rate announcement, as markets await clearer signals on the Fed’s rate trajectory heading into 2026 — a factor that could add to near-term volatility.
Nonetheless, it said expectations of a Fed easing cycle should help sustain positive sentiment and continue to support the domestic market.
It added that year-end window-dressing activity is also likely to provide additional support for the FBM KLCI throughout December.
“We favour domestic-oriented sectors such as consumer staples and REITs, which typically benefit from a firmer ringgit amid a US easing cycle. Financial heavyweights may also see renewed interest as investors rotate into defensive sectors toward year-end.
“We remain constructive on construction, power-ancillary and renewable-energy plays, supported by a firm macro outlook, sustained data-centre demand and the ongoing transition toward cleaner energy,” Apex said.
Meanwhile, TA Securities said that for the index, immediate support remains at the 61.8% Fibonacci Retracement (FR) level of 1,564, with stronger supports at the 50% FR level of 1,527 and the 38.2% FR level of 1,490.
It added that immediate resistance is kept at the December 2024 high of 1,644, with the highs of 1,684 and 1,695 as tougher upside hurdles.
“On stock picks for this week, key index heavyweights and lower liners such as Hartalega
, Maxis, Binastra, Duopharma, Hibiscus, and VSI should attract investors searching for bargain-hunting opportunities at cheaper price levels.
“Meanwhile, overbought conditions on RHB Bank and Wasco suggest potential for profit-taking in the near term,” TA Securities said.
