Bursa Malaysia rebounds slightly on stronger Wall Street

KUALA LUMPUR – Bursa Malaysia rebounded to open slightly higher on Friday, taking its cue from Wall Street’s strong overnight performance as traders are betting that the United States (US) Federal Reserve (Fed) may retain the current interest rate for longer despite hinting at more rate hikes ahead.

At 9.10 am, the FTSE Bursa Malaysia KLCI (FBM KLCI) inched up 0.23 of-a-point to 1,381.96 from 1,381.73 at yesterday’s close.

The key index opened 0.69 points firmer at 1,382.42.

The broader market was also positive with advancers leading decliners 201 to 111, while 239 counters were unchanged, 1,733 untraded and 25 others suspended.

Turnover was 304.24 million units worth RM97.33 million.

Rakuten Trade Sdn Bhd equity research vice-president Thong Pak Leng said the Dow Jones Industrial Average gained 429 points and the Nasdaq jumped by 156 points as the US Treasury 10-year yield dipped marginally to 3.72 per cent.

“The pause on the rate hike in the US also saw Hong Kong stocks surging 420 points, boosted by the cut in borrowing costs to rejuvenate the ailing economy,” he told Bernama.

However, he noted that the FBM KLCI ended in negative territory yesterday as profit-taking activities emerged across the board.

“For today, we reckon the index to strengthen and hover within the 1,380-1,390 range, with buying interests expected to return to the technology sector today following the sell-down yesterday.

“Crude oil prices were also firmer as Brent crude closed almost to US$76 per barrel,” he added.

Among the heavyweights, Maybank and Tenaga Nasional added two sen each to RM8.62 and RM9.13,  respectively, while CIMB fell one sen to RM4.99, and Public Bank and IHH Healthcare were flat at RM3.85 and RM5.80, respectively.

Of the actives, TWL Holdings, Classita and Tanco were flat at three sen, 10 sen and 50 sen, respectively, while Sarawak Consolidated and Priceworth International ticked up half-a-sen each to 42.5 sen and 14.5 sen, respectively.

On the index board, the FBM Emas Index was 13.30 points firmer at 10,226.02, the FBMT 100 Index perked 12.70 points to 9,919.12, the FBM Emas Shariah Index advanced 15.78 points to 10,580.31, the FBM 70 Index gained 63.04 points to 13,642.51, and the FBM ACE Index widened 29.01 points to 5,133.82.

Sector-wise, the Energy Index increased 2.34 points to 789.56, the Industrial Products and Services Index edged up 0.33 points to 159.22, and the Financial Services Index improved 4.57 points to 15,208.58, while the Plantation Index slid 7.27 points to 6,693.40. – Bernama / pic Muhd Amin Naharul