BURSA Malaysia was subdued in early trade on Thursday following Wall Street’s mixed overnight performance after the US Federal Reserve (Fed) skips its rate hikes.

At 9.10 am, the FTSE Bursa Malaysia KLCI (FBM KLCI) fell 4.19 points to 1,381.23 from 1,385.42 at yesterday’s close.

The key index opened 2.46 points lower at 1,382.96.

The broader market was also negative with decliners leading advancers 192 to 117, while 251 counters were unchanged, 1,724 untraded and 13 others suspended.

Turnover was 273.80 million units worth RM96.41 million.

Rakuten Trade Sdn Bhd equity research vice-president Thong Pak Leng said although the Fed paused its rate hikes, the central bank also signaled that additional increases were possible going forward if necessary to bring prices under control.

He said sentiment was also affected by the delisting of mainland Chinese developers amid a weak housing market.

“Nonetheless, recent attempts from the United States to ease tension with China may raise hopes to inject confidence back into the financial system,” he told Bernama. 

Thong said the FBM KLCI closed higher yesterday due to late buying activities on selected heavyweights. 

“Today, we expect market sentiment to remain nervy amid heightening regional volatility taking cue from Wall Street.

“Thus we reckon the index will remain stuck within the 1,380-1,390 range today and the absence of rate hikes may continue to spur buying interests in technology counters over the short term,” he added. 

Among the heavyweights, Maybank added two sen to RM8.62, Tenaga Nasional decreased 10 sen to RM9.10, and Petronas Chemicals eased eight sen to RM6.32, while Public Bank and CIMB were flat at RM3.82 and RM4.99, respectively. 

Of the actives, Sarawak Consolidated and Classita ticked up half-a-sen each to 39 sen and 11 sen, respectively, Ewein declined four sen to 66.5 sen, and Tanco and KNM were unchanged at 49.5 sen and 7.5 sen, respectively. 

On the index board, the FBM Emas Index was 29.90 points lower at 10,214.35, the FBMT 100 Index slid 30.31 points to 9,908.85, the FBM Emas Shariah Index trimmed 45.45 points to 10,571.82, the FBM 70 Index shed 42.81 points to 13,607.49, and the FBM ACE Index dropped 25.06 points to 5,173.94.

Sector-wise, the Energy Index fell 3.78 points to 783.65, and the Industrial Products and Services Index gave up 0.95 of a point to 159.12.

However, the Plantation Index perked 8.60 points to 6,715.71 and the Financial Services Index improved 3.43 points to 15,187.57. — Bernama