KUALA LUMPUR: The FBM KLCI pulled back on Monday after the previous week's rally as traders looked ahead towards corporate earnings and new developments in the escalating feud between the EU and the US over Greenland.
Rakuten Trade said apart from the ongoing geopolitical tensions, the criminal proceedings against Federal Reserve chair Jerome Powell also continued to weigh on sentiment, leading to a marginally lower close on Wall Street in the previous week.
However, the research firm in its latest report it still anticipated some bargain-hunting activities at current levels and expects the index to continue with its ascension.
In Malaysia, the benchmark FBM KLCI fell 2.17 points to 1,710.57 at 9am.
According to TA Securities, the technical momentum indicators are pointing to a near-term pullback or consolidation following the recent rally.
"Investor sentiment is expected to
remain guarded in the coming week as markets await a series of US
corporate earnings reports for clues on the health of the world's largest
economy.
"Nevertheless, medium-term signals for the index remain constructive, reinforcing expectations that the broader uptrend is still intact," it said in a note.
Blue chips retreating from the previous week's close include RHB down five sen to RM8.17, SD Guthrie sliding five sen to RM5.54 and IHH shedding five sen to RM8.33.
Most active stocks included AirAsia X
falling three sen ot RM1.64, SMRT slumping 19 sen ot 25.5 sen and Capital A gaining 0.5 sen to 55 sen.
