Midday Market KLCI falls 0.2%, central bank meetings in focus

Midday Market KLCI falls 0.2%, central bank meetings in focus
Business & Markets 2013
Written by Chong Jin Hun of theedgemalaysia.com
Tuesday, 30 July 2013 12:44

KUALA LUMPUR (July 30): The FBM KLCI fell 0.2% on cautious sentiment ahead global central banks’ meetings, the outcome of which, may influence stock markets, remisiers said.

At 12.30pm, the KLCI fell 3.82 points to settle at 1,794.96 on losses in shares of financial services entities like MALAYAN BANKING BHD [] and CIMB Group Holdings Bhd.

"The US central bank meeting is a major factor," a remisier told theedgemalaysia.com over telephone today.

Reuters reported that stocks wobbled and the dollar index edged up from a five-week low on Tuesday as investors positioned for the Federal Reserve's monetary policy meeting at which it might offer clues to the timing of its stimulus reduction.

Central banks take centre stage this week as investors wait to see whether Fed officials would lay the groundwork for paring the Fed's $85 billion-a-month bond purchase programme as early as September. The Bank of England and the European Central Bank also hold policy meetings this week.

Across Bursa Malaysia, 1.2 billion shares worth some RM872 million changed hands. There were 198 gainers versus 418 decliners.

The top gainer was BRITISH AMERICAN TOBACCO (M) [] Bhd, while NESTLE (M) BHD [] led decliners.

The most-active entities were newly-listed Sona Petroleum Bhd warrants and shares.

Across Asia, Japan's Nikkei 225 rose 1.44%, Hong Kong's Hang Seng climbed 0.67% while Singapore's Straits Times was up 0.32%