Market Open KLCI rises 0.46%, in tandem with regional markets

Market Open KLCI rises 0.46%, in tandem with regional markets
Business & Markets 2013
Written by Surin Murugiah of theedgemalaysia.com
Friday, 02 August 2013 09:18

KUALA LUMPUR (Aug 2): The FBM KLCI rose 0.46% in early trade on Friday, in tandem with the uptrend at most regional markets after the overnight higher close at Wall Street.

At 9.10am, the FBM KLCI added 8.35 points to 1,786.17.

Gainers led losers by 204 to 33, while 106 counters traded unchanged. Volume was 96.38 million shares valued at RM61.21 million.

The top gainers included Tenaga, Petronas Dagangan, See Hup, Batu Kawan, Wing Tai Malaysia, AMMB, BIMB, Genting Malaysia and UMW.

Hwang DBS Vickers Research in a market preview Friday said Wall Street jumped last night, adding that major US equity barometers were up between 0.8% and 1.4% at the closing bell as investors anticipate that central bankers around the world would maintain their monetary stimulus policies.

”This could pave the way for our Malaysian bourse to rebound further today. The benchmark FBM KLCI – after recovering 5.2-point yesterday out of a cumulative loss of 37.4-point in the preceding five days – may climb towards the support-turned-resistance level of 1,785 ahead.

“Hoping to ride on a market bounce-up today are beaten-down index-linked counters such as Maybank, AmBank, CIMB, Tenaga and UEM Sunrise. Meanwhile, other stock names that may be of added interest today include: (a) Magnum, whose shares will be traded ex-entitlement today in relation to a capital repayment of RM0.4879 per share; (b) KKB Engineering, following the award of a fabrication contract for steel structures in Sarawak valued at RM17 million; and (c) GD Express Carrier, as the listing of its shares will be transferred to the Main Market next Monday,” it said.

Asian shares advanced on Friday morning after brisk U.S. factory activity data and a commitment to easy monetary policy by European central banks and the Federal Reserve buoyed Wall Street to record highs overnight, according to Reuters.

Optimism on the U.S. recovery also pushed the benchmark U.S. Treasuries near a two-year high and saw the dollar rebound sharply from a six-week low against a basket of currencies touched on Wednesday, it said.