Market Close KLCI lifted by stronger crude oil price

by **Cals** Tue 08 Mar 2016, 07:43

Market Close

[size=28]KLCI lifted by stronger crude oil price

By Billy Toh / theedgemarkets.com | March 7, 2016 : 6:18 PM MYT

KUALA LUMPUR (March 7): The FBM KLCI rose 5.44 points or 0.3%, lifted by higher crude oil prices.

At 5pm, the KLCI closed at 1,697.93. The index pared gains, after reaching an intraday high of 1,710.2.

“Oil price will still be the determinant on the movement of the market,” JF Apex Securities Bhd research head Lee Chung Cheng told theedgemarkets.com.

At the time of writing, Brent crude oil was traded at US$39.13 per barrel.

Reuters reported oil prices rose on Monday, extending a rally that has lifted crude benchmarks by more than a third from this year's lows, as tightening supply and an improving global outlook strengthened the sentiment for a market recovery.

Across Bursa Malaysia, 2.44 billion shares, worth RM2.45 billion, were traded.

The most actively-traded stocks included AirAsia X Bhd and Bumi Armada Bhd. Top gainer was British American Tobacco (M) Bhd, while top decliner was Top Glove Corp Bhd.

“We are seeing some selling pressure on export counters, mainly due to the strengthening ringgit,” said Lee.

At 5pm, the ringgit strengthened to 4.0963 against the US dollar. The ringgit's strength tracks crude oil prices, as the commodity forms a crucial portion of the Malaysian economy and government revenue.

Asian share markets erased earlier gains to close lower. Japan’s Nikkei 225 dropped 0.61%, while Hong Kong’s Hang Seng was down 0.08%.

Reuters reported Asian shares hit two-month highs on Monday, extending sharp gains from last week, following upbeat U.S. jobs data, a rebound in oil and commodity prices, and a flurry of reassurances from Chinese leaders that the economy would remain on sound footing.
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