KLCI just above 1,600 at midday, lowest since July

KUALA LUMPUR: Selling pressure on blue chips picked up pace on
Tuesday, sending the FBM KLCI down to near the crucial 1,600 level, the
lowest since July 2, in line with the cautious regional markets.
At
12.30pm, the FBM KLCI was down 17.67 points or 1.10% to 1,603.37, which
was the worst performer among the key regional markets.
Turnover
on Bursa Malaysia was 474.33 million shares valued at RM777.36mil.
Declining stocks beat advancers 616 to 94 while 235 stocks were
unchanged.
Technical analysts said the KLCI was below the
100-day simple moving average of 1,604 while the strong support was at
the 200-day SMA of 1,570.
Bloomberg reported Asian stocks fell,
with the regional benchmark index poised for the first drop in four
days, as concern grew Europe will fail to contain its debt crisis and
as investors wait to see if the Federal Reserve will boost economic
stimulus.
Also worrying investors were the German constitutional
court ruling on the European Stabilisation Mechanism that is designed
to rescue indebted nations in the euro zone.
Among the key
regional markets, Japan's Nikkei 225 fell 0.81% to 8,797.52; Hong
Kong's Hang Seng Index lost 0.62% to 19,703.45; Shanghai's Composite
Index declined 0.91% to 2,115.39 while South Korea's Kospi fell 0.27%
to 1,919.50.
Singapore's Straits Times Index edged up 0.04% to 3,009.98 and Taiwan's Taiex was flat at 7,483.81
US light crude oil fell 22 cents to US$96.32 and Brent seven cents to US$114.74. Spot gold rose US$3.71 to US$1,729.78.
The ringgit strengthened to 3.0990 to the US dollar.
Crude palm oil for third-month futures fell RM54 to RM2,882, the lowest since Aug 15. PPB Group fell 38 sen to RM12.62 and KLK 28 sen to RM22. United Plantations rose 66 sen to RM26.56 with 100 shares done.
BAT was the top loser, down RM1 to RM62 with 26,700 shares done while Nestle fell 80 sen to RM62, Tasek 40 sen to RM10.60 and Pharmaniaga 21 sen to RM7.30.
CIMB fell 22 sen to RM7.18, dragging the KLCI down 3.81 points while Hong Leong Bank gave up 36 sen to RM13 while Tenaga;s 19 sen decxlined to RM6.56 pushed the index down 2.42points.
Petronas Gas fell 40 sen to RM18.32 and Petronas Dagangan 18 sen to RM21.28.
Among the gainers were Ipmuda, up 16 sen to 78 sen, Litrak 10 sen to RM4,39 while ECS added five sen to RM1.59.