KUALA LUMPUR: The FBM KLCI pared losses as traders opted to move cautiously ahead of potential developments that could see the resumption of oil supply coming through the Strait of Hormuz.
Malaysia's benchmark stock index was down 1.78 points to 1,697.07 as traders stayed within range of the 1,700 psychological level.
On the broader market, stocks were mostly lower with 548 declining stocks compared to 306 gainers. The sharpest declines were seen in financial services and property. Plantations rose alongside telcos and utilities.
Trading volume was 1.25 billion shares valued at RM1.14bil.
Blue chips dragging on the market included PPB dalling 42 sen to RM10.98, Nestle falling 50 sen to RM101.90 and Gamuda sliding six sen to RM4.14.
IHH Healthcare jumped 13 sen to RM8.96, SD Guthrie gained nine sen to MR5.79 and Sime Darby rose right sen to RM2.40.
Meanwhile, Asian markets remained wobbly but kept a lid on losses ahead of hopes US President Donald Trump is able to convince Nato countries to aid in escorting oil transport vessels through the narrow waterway between Iran and Oman.
Japan's Nikkei dropped 0.32% to 53,641. South Korea's Kospi bounced 0.82% higher to 5,531.
China's Shanghai Composite index slipped 0.71% to 4,066 and the CSI 300 dropped 0.55% to 4,643. Hong Kong's Hang Seng gained 1.14% to 25,755.
In Singapore, the Straits Times index was slightly higher at 4,846. Taiwan's Taiex climbed 0.33% to 33,516.
The mixed result reflect investor hopes for a speedy resolution to the energy crisis, to ward off any further damage to the global economy.
The escalating price of crude has dashed hopes of more interest US interest rate cuts this year, with the market pricing in just one cut in December.
At the time of writing, CME FedWatch Tool predicts a 40.8% chance of a 25 basis point cut by the last US policy meeting of this year, and a 34.3% chance of no change.
