Tuesday, May 24, 2011

FBM KLCI falls in early trade. Maybank weighs

KUALA LUMPUR: The FBM KLCI fell in early trade on Tuesday, May 24, weighed down by the weak Wall Street as growing worries about the Europe debt woes, with Maybank and telcos DiGi and Axiata among the decliners.

While the KLCI managed to climb at the start of trade, selling pressure pushed it into the red soon after, with Maybank leading the heavyweights lower.

At 9.13am, the FBM KLCI was down 2.8 points to 1,526.18. Turnover was 50.81 million shares valued at RM42.06 million. There were 80 gainers, 121 losers and 116 stocks unchanged.

Takaful was the top loser, down 14 sen tp RM1.45 with 1,000 shares done. Maybank fell eight sen to RM8.72 while SP Setia shed seven sen to RM4.02.

Among telcos, DiGi and Axiata each fell four sen to RM28.44 and RM4.91.

Hwang DBS Vickers Research, in its technical outlook for the FBM KLCI, said the index was looking technically weak after plunging by 12.1 points or 0.8% on Monday.

'On the chart, it will probably back off from the support-turned-resistance level of 1,530 ahead.

'Possibly dampening further investors' sentiment is the overnight fall on Wall Street. Major US equity indices were down between 1.0% and 1.6% at the closing bell dragged by a slump in commodity prices and renewed concerns on the Europe debt woes, which might derail the global economic recovery momentum,' it said.

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