Friday, July 15, 2011

FBM KLCI extends losses in sluggish trade

KUALA LUMPUR:'' The FBM KLCI extended its losses at mid-morning on Friday, July 15 in sluggish trade in line with the tepid sentiment at most key regional markets following the weaker overnight close at Wall Street.

Global markets have been on a jittery edge over the past week, with less than encouraging economic data from the US, including a warning from S&P that there as a one-in-two chance it could cut the United States' triple-A credit rating.

The FBM KLCI fell 2.01 points to 1,577.83 at 10am.

Losers edged gainers by 187 to 115, while 212 counters traded unchanged. Volume was subdued with 105.25 million shares valued at RM111.98 million.At the regional markets, Hong Kong's Hang Seng Index fell 0.43% to 21,845.62, the Shanghai Composite Index down 0.41% to 2,798.87 and Singapore's Straits Times Index shed 0.05% to 3,087.22.

Meanwhile, Japan's Nikkei 225 rose 0.20% to 9,955.57 on bargain hunting activities; South Korea's Kospi added 0.32% to 2,136.94 and Taiwan's Taiex gained 0.26% to 8,502.99.

BIMB Securities Research in a note July 15 said Wall Street succumbed to a u-turn by Bernanke that the Feds may not be as willing to impose another stimulus plan as yet.

Adding to this, rating giants Moody's and S&P have reiterated of a possible downgrade in US debt rating, it said.

'On the local front, the FBM KLCI seems to be fairly well supported at the 1,580 level after having moved at a narrow range.

'Today's news on DBS to takeover Alliance Bank may spark another round of speculation on the banking M&A story which should bode well for the market. Expect another dull trading session with some upside bias today,' it said.

On Bursa Malaysia, KLK led the losers and fell 22 sen to RM21.68; Nestle and Magni fell 10 sen each to RM47.80 and RM1.29, Huat Lai six sen to RM2.30, Sinaria 5.5 sen to 23.5 sen while KLCCP, MSM and Sapura Industrial fell five sen each to RM3.45, RM5.43 and RM1.16 respectively.

Meanwhile, Tan Chong and Proton fell six sen each to RM4.83 and RM3.15 respectively after Frost & Sullivan cut is 2011 vehicles sales forecast to 615,900 units from the earlier projected 623,000.

Among the gainers, MSC added 24 sen to RM4.75, TSM 18 sen to RM1.65, Batu Kawan, DiGi, Tradewinds and CI Holdings added 10 sen each to RM16.80, RM29.98, RM10.28 and RM3.79 respectively, Lafarge Malayan Cement and Cypark up six sen each to RM7.48 and RM1.88, while Kuchai rose five sen to RM1.17.

Actives included Daya, Kencana, Swee Joo, Talam and Hubline.

No comments:

Post a Comment