KUALA LUMPUR: It is set to be another negative day on Bursa Malaysia with few positives to alleviate investor anxiety over the Iran war.
However, the FBM KLCI continues to stubbornly hold on to the 1,700 support, suggesting the domestic market remains resilient in the face of the geopolitical turmoil. At 9.12 am, the blue-chip index was down 8.18 points to 1,702.94.
The energy crisis continued overnight as Iran refused to release its chokehold on the Strait of Hormuz, returning crude futures above the US$100 a barrel level and reigniting fears of soaring inflation.
Major US indices plunged from 1.52% to 1.78% each as traders accelerated selling pressure in equities amid growing expectation the Federal Reserve's rate cut cycle will be put on hold this year.
"Investors are closely monitoring geopolitical developments and their implications for global growth, energy security and inflation dynamics," said Apex Research in its latest report.
"Maintain a bias towards export-oriented sectors amid geopolitical risks and currency volatility, while energy and plantation sectors may benefit from higher oil prices. Meanwhile, in a volatile environment, defensive yield plays such as REITs and utilities remain attractive."
The profit-taking in local bank stocks continued with Maybank dropping six sen to RM11.38, Hong Leong Bank falling 36 sen to RM22.56 and Public Bank falling four sen to RM4.77.
Amid expectations of higher spot rates, shipping and logistics group MISC rose two sen to RM8.42.
Meanwhile, PETRONAS Gas gained 14 sen to RM17.54 and Press Metal
rose 18 sen to RM7.70.
Most actively traded shares included Pharmaniaga, flat at 25 sen, Jiankiun falling 0.5 sen to six sen and VS Industry dropping one sen to 29.5 sen.
