Market Open KLCI stages mild technical rebound in early trade

Market Open KLCI stages mild technical rebound in early trade
Business & Markets 2013
Written by Surin Murugiah of theedgemalaysia.com
Friday, 23 August 2013 09:13

KUALA LUMPUR (Aug 23): The FBM KLCI staged a mild technical rebound in early trade on Friday and rose 0.3% after having been battered for seven days running.

At 9.10am, the FBM KLCI added 5.46 points to 1,725.83.

Gainers led losers by 214 to 58, while 115 counters traded unchanged. Volume was 131.63 million shares valued at RM85.02 million.

The top gainers included Petronas Gas, Nestle, Petronas Dagangan, Deleum, Wing Tai Malaysia, Timecom, Aeon Credit, Ibraco, Pestech and Takaful.

Hwang DBS Vickers Research in a market preview Friday said a technical rebound could be forthcoming for Malaysian equities today.

It said that after plunging 74.7-point or 4.2% since 13 Aug, the benchmark FBM KLCI may attempt to recover parts of its losses by pulling a bit further away from the resistance-turned-support level of 1,720 ahead.

“Meanwhile, Wall Street’s major indices were up between 0.4% and 1.1% at the closing bell as investors cheered on better economic data.

“Back home, the focus will be on the stream of corporate results that came in yesterday evening. Within the stack of result announcements, MSM surprised on the upside but Wah Seong and Guan Chong disappointed,” it said.

Asian shares rose in early trading on Thursday after economic data suggested the global economy is expanding, which took the edge off persistent fears of the U.S. Federal Reserve's likely withdrawal of stimulus, according to Reuters.

MSCI's broadest index of Asia-Pacific shares outside Japan added 0.2 percent, moving away from a six-week low touched on Thursday, it said.