Optimism returns to markets, KLCI up nearly 20 pts

by **hlk** Mon 24 Oct 2011, 14:06

KUALA LUMPUR: Key regional markets notched up gains of between 0.35% and 3.92% at the midday break on Monday, Oct 24 as optimism returned to the market on hopes of a solid resolution to the euro zone debt crisis on Wednesday.

At 12.30pm, the FBM KLCI rose 1.32% or 19.32 points to 1,458.15. Turnover was 754.23 million shares valued at RM648.31 million. Advancing counters beat decliners 506 to 143 while 226 stocks were unchanged.

US light crude oil rose 77 sen to US$88.17 while Brent crude rose above US$110, crude palm oil futures rose RM10 to RM2,893 and the ringgit was firmer at 3.1300 to the US dollar.

Reuters reported investors are riding high on hopes that Wednesday's meeting of euro zone leaders to discuss their final decisions on the debt issue would yield even more positive results. However, sharp differences remain over the size of losses private holders of Greek government bonds will have to accept.

Hong Kong’s Hang Seng Index rose 3.92% to 18,731.74, South Korea’s Kospi 2.82% to 1,890.15, Taiwan’s Taiex 2.67% to 7,448.05 and Singapore’s STI 1.99% to 2,766.37 while Japan’s Nikkei 225 gained 1.7% to 8,226.13. Shanghai's Composite Index inched up 0.35% to 2,325.30.

At Bursa Malaysia, local funds were seen nibbling on selected blue chips, including Petronas related stocks and Genting.

Genting rose 27 sen to RM10.02, pushing the index up by 2.31 points while Sime Darby added 16 sen to RM8.71, nudging the index by 2.22 points while IOI Corp’s gains of 12 sen to RM5.12 (1.78 points to the index).

MISC rose 31 sen to RM6.95, PetGas and PetDag 18 sen each to RM13.28 and RM16.38.

Among consumer stocks BAT was the top gainer, rising 42 sen to RM44.86, Dutch Lady 30 sen to RM19.30 and Nestle 18 sen to RM49.48. Other major gainers were HLFG, which added 32 sen to RM11.60 and DiGi 22 sen to RM31.80.

The most active was MBF Holdings-WA, up 3.5 sen to 14 sen with 69.92 million units done. Time dotCom rose four sen to 61 sen and the call warrants TimeCom-CA 0.5 sen to two sen.