Market Close KLCI sheds 0.16% in line with regional losses

Market Close KLCI sheds 0.16% in line with regional losses
Business & Markets 2013
Written by Kamarul Anwar of theedgemalaysia.com
Monday, 03 June 2013 17:48


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KUALA LUMPUR (June 3): The FBM KLCI fell 2.89 points or 0.16% lower to end at 1,766.33 points in volatile trade. This was in line with losses across regional indices.

The KLCI declined on losses in blue-chip stocks like HONG LEONG BANK BHD [], PPB GROUP BHD [], Astro Malaysia Holdings Bhd, UEM LAND HOLDINGS BHD [] and DIGI.COM BHD [].

The benchmark had vacillated between red and green territories before faring better at midday. The index had hit its intraday high of 1,772.41 points at 11:11 am.

Interpacific Securities head of research Pong Teng Siew told theedgemalaysia.com that the index had managed to hold well compared to its regional peers.

However, Bursa Malaysia's smaller and mid-cap stocks were badly hit today by global market uncertainty.

“With losers outnumbering gainers on a 2:1 ratio, this indicates today’s performance having a bearish view and a negative breadth,” Pong said over telephone.

Across Bursa Malaysia, a total of 2.31 billion shares worth RM2.36 billion were traded. Decliners thumped gainers at 621 and 268 respectively.

LUSTER INDUSTRIES BHD [] shares and warrants were the two most-actively-traded entities. The list included Ingenuity Consolidated Bhd and PATIMAS COMPUTERS BHD [].

Top gainers included NESTLE (M) BHD [], YINSON HOLDINGS BHD [] and
BRITISH AMERICAN TOBACCO (M) [] Bhd.

Top decliners were CARLSBERG BREWERY MALAYSIA BHD [], DUTCH LADY MILK INDUSTRIES BHD [] and Aeon Co (M) Bhd.

The market’s negative view came on the heels of US and European markets closing lower. The decline came amid uncertainty on the US Federal Reserve’s stance towards its monetary stimulus programme.

Analysts said should the Federal Reserve begin to taper or end its bond buying, this could spell bad news for Southeast Asian markets as there could be outflow of investments from the region.

Several Asia Pacific indices closed lower today.

Japan’s Nikkei led the pack of decliners as it shed 512.72 points or 3.72%, Australia’s ASX 200 fell 38.26 points or 0.78%, South Korea’s Kospi closed 11.48 points or 0.57% lower while Singapore’s Straits Times declined 18.95 points or 0.57%.

China’s Shanghai Composite was a notable exception, as it gained 0.57 points or 0.02%.

According to Reuters, investors took profits today from recent Asian share rallies in the face of uncertainty over how much longer the current US stimulus would continue, while data underscoring the fragility of China's economy weighed on oil.