Monday, May 16, 2011

FBM KLCI extends gains at mid-morning amidst cautious trade

KUALA LUMPUR: The FBM KLCI advanced at mid-morning on Monday, May 16 amidst cautious trade following the weaker close at Wall Street last Friday and the overall tepid sentiment at most key regional markets.

At 10am, the FBM KLCI was up 2.26 points to 1,543.00.

Market breadth however was cautious with losers edging gainers by 236 to 170, while 226 counters traded unchanged. Volume was 175.55 million shares valued at RM163.59 million.

At the regional markets, Hong Kong's Hang Seng Index and South Korea's Kopsi were down 0.70% each to 23,113.18 and 2,105.16, Japan's Nikkei 225 fell 0.63% to 9,587.85, Singapore's Straits Times Index lost 0.77% to 3,139.39 and Taiwan's Taiex fell 0.60% to 8,952.59.

Meanwhile, the Shanghai Composite Index edged up 0.11% to 2,874.29.

BIMB Securities Research in a note May 16 said that regional volatility especially that of Wall Street should hamper any progress of the local bourse.

'Nonetheless, we expect the benchmark index to remain resilient over recent positive announcements of the US$20 billion Petronas Rapid project in Johor.

'Amid further details of the project, interests on O&G and CONSTRUCTION [] related counters to be of main interests of buying. We expect the FBMKLCI to remain range bound of between 1,520 to 1,550,' it said.

On Bursa Malaysia, Nestle was the top gainer at mid-morning and was up 38 sen to RM47.98; Tradewinds added 21 se to RM9.02, PacificMas 16 sen to RM4.44, Tasek 15 sen to RM8.95, Batu Kawan and KLK 12 sen each to RM16.32 and RM21.14, Tradewinds PLANTATION []s and S P Setia 11 sen each to RM3.37 and 4.19, while MHC and Maxis added nine sen each to RM2.55 and RM5.56.

Latex was the top loser and fell 16 sen to RM2.50 following the RM852.03 million buyout plan by Navis Asia VI Management Company Ltd (Navis) being aborted after the exclusivity period granted to Navis expired on May 15.

Hong Leong Bank fell 14 sen to RM12.30, Lafarge Malayan Cement down 10 sen to RM7.20, MTD ACPI and SCC down 8.5 sen each to 50 sen and 57.7 sen, Supermax seven sen to RM3.89, while Hap Seng, MMHE and Genting lost six sen each to RM5.39, RM6.86 and RM11.34 respectively.

CME was the most actively traded counter with 9.84 million shares done. The stock added half a sen to 11.5 sen.

Other actives included Digistar, Malton, Tebrau, ConnectCounty, PJI, ECM Libra and Baswell.

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