Profit-taking weighs on KLCI

BURSA Malaysia’s key index staged a pullback today for the second day running after having breached the 1,450-level on Wednesday, as profit-taking set in across the broader market.

The local bourse’s lacklustre trading also mirrored the weak regional markets’ performance as investors digested the European Central Bank (ECB) and Bank of Japan’s (BoJ) interest rates announcements for clues for next week’s US Federal Open Market Committee and Bank Negara Malaysia meetings.

At 5pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) slipped 6.78 points to 1,447.31 compared to yesterday’s close of 1,454.09.

The key index opened 0.45 of-a-point higher at 1,454.54 and moved between 1,442.04 and 1,456.47 throughout the day.

The broader market was bearish with losers outpacing gainers 450 to 393, while 409 counters were unchanged, 1,117 untraded, and 83 others suspended.

Turnover decreased to 2.38 billion units valued at RM1.65 billion versus 2.53 billion units valued at RM1.87 billion yesterday.

BoJ governor Haruhiko Kuroda today kept the country’s policy rates unchanged, citing weaker growth prospects after the ECB raised its rates by 75 basis points (bps) yesterday.

An analyst told Bernama that BNM is widely expected to increase the cost of borrowing by another 25 bps.

”The market is closely tracking the US Federal Reserve’s next move, with a 75 bps (hike) likely,” he said, adding that the Bank of England is also set to announce its stance on interest rate next week.

Back home, heavyweights Malayan Banking Bhd, Dialog Group Bhd and PPB Group Bhd dipped 10 sen each to RM8.58, RM1.91 and RM16.56 respectively.

KL Kepong Bhd lost 38 sen to RM21.82, Public Bank Bhd fell five sen to RM4.38, and Sime Darby Plantation Bhd was nine sen lower at RM4.35.

Among the actives, Borneo Oil Bhd and Bintai Kinden Corp Bhd were flat at two sen and 9.5 sen, respectively, Top Glove Corp Bhd added 1.5 sen to 79 sen, MyEG Services Bhd rose by two sen to 88.5 sen, and Tanco Holdings Bhd was half-a-sen higher at 19 sen.

On the index board, the FBM Emas Index declined 38.17 points to 10,275.40, the FBM 70 decreased 14.59 points to 12,236.57, and the FBM T100 Index dropped 38.74 points to 10,014.85. 

The FBM Emas Shariah Index shed 24.22 points to 10,322.51, while the FBM ACE recovered 18.11 points to 4,881.30. 

Sector-wise, the Financial Services Index gave up 93.87 points to 16,386.04, the Energy Index was 4.1 points weaker at 697.57, the Plantation Index lost 76 points to 6,843.05, while the Industrial Products and Services Index improved 0.08 of-a-point to 175.45.

The Main Market volume rose to 1.6 billion shares worth RM1.42 billion from 1.57 billion shares worth RM1.51 billion on Thursday. 

Warrants turnover expanded to 320.41 million units worth RM58.28 million from 252.22 million units worth RM47.07 million yesterday. 

The ACE Market volume declined to 458.25 million shares worth RM172.45 million from 722.08 million shares worth RM317.14 million previously. 

Consumer products and services counters accounted for 179.62 million shares traded on the Main Market, industrial products and services (607.49 million), construction (51.57 million), technology (141.08 million), SPAC (nil), financial services (68.08 million), property (154.15 million), plantation (17.93 million), REITs (6.9 million), closed/fund (5,100), energy (132.35 million), healthcare (175.54 million), telecommunications and media (21.4 million), transportation and logistics (34.1 million), and utilities (10.59 million). — Bernama