Monday, June 6, 2011

FBM KLCI dips amidst lacklustre trade

KUALA LUMPUR: The FBM KLCI opened in the red on Monday, June 6 following the weaker close at Wall Street last Friday, as well as lack of fresh leads from regional markets that were mostly closed.

At 10am, the FBM KLCI slipped 4.90 points to 1,554.95 weighed by losses including at Genting, Hong Leong Bank, KLK and DiGi.

Losers edged gainers by 210 to 118, while 178 counters traded unchanged. Volume was 128.19 million shares valued at RM78.37 million.

At the regional markets, Japan's Nikkei 225 fell 0.94% to 9,403.06, Singapore's Straits Times Index shed 0.40% to 3,133.19 and Australia's S&P/ASX 200 Index lost 0.48% to 4,561.30.

The stock markets in Hong Kong, China and South Korea are closed today for public holidays.

Maybank Investment Bank Bhd head of retail research and chief chartist Lee Cheng Hooi in a note to clients June 6 said the FBM KLCI was expected to remain volatile today.

He said investors should trade the local market with a short-to-medium term time frame.

'Despite the recent global volatility, the FBM KLCI has gone up in a small way. The question investors will ask is that how long can the index do this is in the face of global adversity.

'Also, the volume traded on the local exchange will be very low and investors will question the validity and wisdom of the local funds pushing the index up on miniscule volumes,' he said.

Pharmaniaga was the top loser at mid-morning and fell 30 sen to RM5.60; Hong Leong Bank and KLK fell 16 sen each to RM12.40 and RM21.92, Dutch Lady lost 14 sen to RM18.04, DiGi and Genting fell eight sen each to RM28.82 and RM11.12, KPJ seven sen to RM4.23, while Panasonic fell six sen to RM23.94.

Tejari was the most actively traded counter at mid-morning. The stock gained half a sen to 7.5 sen with 19.53 million shares done.

Other actives included Scomi, HWGB, SAAG, Asia Media, KNM and Century Software.

Among the gainers, Tradewinds added 33 sen to RM9.82, HLFG 24 sen to RM12.26, Hap Seng 18 sen to RM5.36, MMSV and Mudajaya 10 sen each to 21 sen and RM4.70, Esso nine sen to RM5.17, Glenealy, Paramount and Scomi Engineering seven sen each to RM5.35, RM5.72 and 90 sen respectively while KYM added six sen to RM2.38.

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