Market Close KLCI slips 0.3%, with election in mind

by **Cals** Thu 14 Mar 2013, 18:25

Market Close KLCI slips 0.3%, with election in mind
Business & Markets 2013
Written by Ho Wah Foon of theedgemalaysia.com
Thursday, 14 March 2013 17:36

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KUALA LUMPUR (March 14): The local stock market was in the red for the whole day amid renewed speculations that the Parliament might be dissolved within days after the Prime Minister was seen leaving the Palace yesterday.

“The market today is still under the cloud of the election. One of my big clients sold a lot today as he said it is better to keep cash now before the market falls further,” said a senior dealer.

“But there are bright sparks. Iskandar-themed stocks such as Tebrau and UEM Land are doing well. But these rises were not sufficient to counter the concern on uncertainty ahead of the election,” the dealer added.

At 5.00 pm market close, the benchmark FBM KLCI fell 5.48 points or 0.33% to end at 1640.74. Yesterday, the index fell 10.32 points, after registering substantial gains in previous days amid inflow of foreign funds.

According to JF Apex Securities Bhd, the key index had again succumbed to continued profit taking activity amid the mixed performance of regional markets.

Trading volume today increased to 788.28 million shares worth RM1600.83 mil as compared to Wednesday’s 766.76 million shares worth RM1651.45 million.

Market tone was negative with 322 gainers as compared to 343 losers, JF Apex said.

Decliners were led by British American Tobacco, Hong Leong Financial Group, Petronas Gas, PPB Group and UMW, while gainers were led by RHB Cap, KLK, UEM Land, Axiata and Maybank.

Actively traded stocks included Sanichi, GPRO, Patimas, Maybank, Tebrau and Axiata.

According to Reuters, Asian shares extended losses on Thursday afternoon as regional factors outweighed the positive tone from another record Wall Street close, after strong retail sales bolstered the U.S. economic outlook.

The MSCI's broadest index of Asia-Pacific shares outside Japan fell for a third straight session as a 1.3% slide in its materials sector dragged the whole index down 0.7 percent.

“Asia is seeing some breakdown in correlation with overseas markets, with regional bourses being driven more by local factors,” said Frances Cheung, senior strategist at Credit Agricole CIB in Hong Kong.