Friday, July 8, 2011

FBM KLCI edges up as Asian markets trend higher

KUALA LUMPUR: The FBM KLCI rose marginally higher at mid-morning on Friday, July in line with the slightly firmer overnight close at Wall Street.

Asian stocks rose to a one-month high on Friday as investors hoped for a strong US jobs report that may signal the economy is pulling out of a soft patch, while the euro held on to much of its overnight gains after the European Central Bank raised interest rates, according to Reuters.

Risky assets have been on a tear since last week as fears of an imminent Greek debt default ebbed and as encouraging US data strengthened views that the world's largest economy was turning around after a patchy first half, it said.

The FBM KLCI rose 1.84 points to 1,592.08 at 10am, with gains including at KLK, MISC, Petronas Dagangan and Genting.

Gainers led losers by 210 to 170, while 196 counters traded unchanged. Volume was 175.73 million shares valued at RM214.47 million.

At the regional markets, Hong Kong's Hang Seng Index rose 1.30% 22,823.48, Japan's Nikkei 225 added 0.98% to 10,170.34, Singapore's Straits Times Index gained 0.72% to 3,148.24, Taiwan's Taiex up 0.45% to 8,812.53, the Shanghai Composite Index added 0.29% to 2,802.35 while South Korea's edged up 0.11% to 2,183.07.

Maybank Investment Bank Bhd head of retail research and chief chartist Lee Cheng Hooi in a note to clients July 8 said that due to the US markets' firm tone last night, there could be some buying activities on the local bourse.

He said the market could rise marginally, with some pre-weekend profit taking.

'There is a good possibility that it will test its all-time high and resistance of 1,595.87. If the index surges and sustains above 1,595, then we see upside to 1,601 and 1,618 in the short term.

'However, we could have a steady rise to the 1,601 and 1,618 levels, as some pre-weekend liquidation takes place,' he said.

Among the gainers at mid-morning, LPI Capital rose 32 sen to RM14.12 after it declared a first single tier interim dividend of 25 sen per share to be paid on July 28.

Other gainers included KLK that added 22 sen to RM22.80, MISC 15 sen to RM7.65, MSM 13 sen to RM5.68 and Petronas Dagangan 12 sen to RM17.24.

Meanwhile, Genting added eight sen to RM11.18 on reports of speculation that the Genting Group was among those eyeing a US$2.1 billion (RM6.3 billion) mega theme park project in Gujarat, India.

Losers included Dutch Lady that fell 54 sen to RM19, Batu Kawan 10 sen to RM17.20, AFG six sen to RM3.56, while Atis and Parkson fell five sen each to RM1.10 and RM5.94.

The actives included MSM shares and warrants, Timecom, Malton, Perisai and Hubline.

No comments:

Post a Comment