Market Close KLCI rises 0.5% on technical rebound, easing Ukraine tension

by **Cals** Mon 11 Aug 2014, 23:06

Market Close KLCI rises 0.5% on technical rebound, easing Ukraine tension

Business & Markets 2014

Written by Ahmad Naqib Idris Adzman Shah of theedgemalaysia.com

Monday, 11 August 2014 17:17

KUALA LUMPUR (August 11): The FBM KLCI staged a technical rebound today, rising in line with other Asian markets as tensions in Ukraine eased.

At 5pm, the KLCI rose 9.45 points or 0.51% to close at 1,849.32 points.

Benny Lee, chief market strategist at Jupiter Securities Sdn Bhd, said the index rebounded after its 27-point drop last Friday. The KLCI fell after the US authorised air strikes to combat militants in Iraq.

“The rise today is a technical rebound from the previous selldown, as the KLCI was approaching its 200-day moving average,” Lee told theedgemalaysia.com over telephone.

Despite today’s gains, he does not expect a rally in the KLCI anytime soon, as there is a lack of catalysts for the market.

Bursa Malaysia saw a total of 3.16 billion shares worth RM2.11 billion traded today. Gainers beat decliners at 607 against 293, while 262 counters were unchanged.

Hong Leong Financial Group Bhd led gainers with a 40 sen or 2.4% rise in its share price while United Plantations Bhd led decliners, closing 40 sen or 1.4% lower.

The most-actively traded counter was Globaltec Formation Bhd, with a total of some 333.2 million shares exchanged.

Markets in the region were on the rise today with Japan’s Nikkei increasing 2.38%, South Korea’s Kospi gaining 0.41%, while Hong Kong’s Hang Seng rose 1.29%.

Reuters reported that Asian stocks rose on Monday as tensions eased slightly in Ukraine, while the dollar held steady against the safe-haven yen after rebounding sharply late last week.

Wall Street surged on Friday after Russia said it had finished military exercises in southern Russia, which the United States had criticised as a provocative step amid the Ukraine crisis.