Market Open KLCI falls 0.07% as regional investors get nervy

by **Cals** Thu 13 Jun 2013, 09:37

Market Open KLCI falls 0.07% as regional investors get nervy

Business & Markets 2013

Written by Surin Murugiah of theedgemalaysia.com

Thursday, 13 June 2013 09:13

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KUALA LUMPUR (June 13): The FBM KLCI fell sharply in early trade on Thursday, in line with the retreat at most key regional markets.
At 9.05am, the KLCI fell 0.07% to 13.39 points to 1,761.73.
Losers led gainers by 190 to 46, while 115 counters traded unchanged. Volume was 123.35 million shares valued at RM66.43 million.
BIMB Securities Research in a market preview Thursday said investors are becoming nervier by the day as fear is overwhelming greed following consecutive profit taking activities globally.
It said that overnight, the Dow Jones Industrial Average lost another 127 points to close below the 15,000 level.
Whilst the speculation on pump priming continues, the solid performance posted by equities this year may prompt investors to lock in profits, it said.
The research house said that in Europe, stocks were mostly lower no thanks to the recent developments in Greece that saw the shutdown of its state broadcasting station yesterday.
Meanwhile, Asian bourses were broadly lower as foreign led selling persisted. Locally, the FBM KLCI lost 4.45 points to 1,775.12 boosted by some late buying on the local bourse, it said.
“Today, we expect to see more selling as the domino effect may have started even though the FBM KLCI seems to be rather well supported. Nonetheless, the index may re-test the immediate support at 1,770,” it said.
Meanwhile, Asian shares hovered near 2013 lows and Japanese stocks took another dive as the prospect of less stimulus from central banks depressed sentiment, while the U.S. dollar fell further against the yen amid uncertainty over the Federal Reserve's policy outlook, according to Reuters.
Global stocks, commodities, bonds and currencies have been roiled in recent weeks on concerns the Fed could scale back its massive stimulus measures in coming months, it said.