KUALA LUMPUR: The FBM KLCI fell 67.85 points to 1,429.14 at the opening on Tuesday, Aug 9 in line with the sharp fall at regional markets following panic selling at Wall Street overnight.
Major indexes across the region fell between 2% and 5%, following drop of more than 6% on Wall Street in the first trading session since the historic downgrade of the United States' AAA credit rating by Standard & Poor's.
Strategists at The Royal Bank of Scotland said that global confidence had gone on a holiday and recent events, especially the S&P downgrade of US credit ratings, were likely to keep markets squarely focused on the FOMC rate decision tomorrow.
It said in a note Aug 8 that its European economics team estimates that bond purchases to the tune of '850 billion would be required to stabilise the Italian and Spanish bond markets, an amount that is likely to strain confidence in the single currency.
'Although no change in policy is expected, the statement will take on increased importance.
'Given the importance of the Asian outlook for global growth, there is likely to be heightened scrutiny of Chinese date releases on inflation, retail sales and industrial production later today,' it said.
Among the major decliners this morning were KLK, Nestle, Petronas Gas, Dutch Lady, Batu Kawan, BAT, Genting PLANTATION []s, Petronas Dagangan, GAB and CIMB.
Major indexes across the region fell between 2% and 5%, following drop of more than 6% on Wall Street in the first trading session since the historic downgrade of the United States' AAA credit rating by Standard & Poor's.
Strategists at The Royal Bank of Scotland said that global confidence had gone on a holiday and recent events, especially the S&P downgrade of US credit ratings, were likely to keep markets squarely focused on the FOMC rate decision tomorrow.
It said in a note Aug 8 that its European economics team estimates that bond purchases to the tune of '850 billion would be required to stabilise the Italian and Spanish bond markets, an amount that is likely to strain confidence in the single currency.
'Although no change in policy is expected, the statement will take on increased importance.
'Given the importance of the Asian outlook for global growth, there is likely to be heightened scrutiny of Chinese date releases on inflation, retail sales and industrial production later today,' it said.
Among the major decliners this morning were KLK, Nestle, Petronas Gas, Dutch Lady, Batu Kawan, BAT, Genting PLANTATION []s, Petronas Dagangan, GAB and CIMB.
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