Business

Bursa lower, weigh by overbought evaluation

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Syndicated News
Written by Syndicated News

KUALA LUMPUR, July 4 2019 : Bursa Malaysia opened lower today, as investors begin to evaluate their position on the overbought key index and that of most global indices.

At 9.06am,  the FTSE Bursa Malaysia KLCI (FBM KLCI) fell 2.38 points to 1,687.67 from yesterday’s close of 1,690.05.

At the opening, the index went down 1.40 points to 1,688.65.

However, market breadth was positive with 145 gainers outpacing 74 losers, while 162 counters unchanged, 1,459 untraded and 21 others suspended.

Turnover stood at 153.37 million units worth RM36.64 million.  

Malacca Securities Sdn Bhd in a research note believed the recent upsides on the FBM KLCI and that of most global indices were already overdone, particularly amid expectations of further loosening of monetary policies by some central banks to cushion the slowing economy, as well as the resumption of the US-China trade negotiations. 

“Hence, we think that the way up will see increasing cautiousness and choppiness, as equities are already due for a pullback,” it said, adding that on the upside, the FBM KLCI’s resistances are at 1,700 and 1,710, while the support levels are at 1,686 and 1,680 respectively.

Among heavyweights, Maybank shed two sen to RM8.95, Public Bank and Tenaga lost four sen each at RM22.96 and RM14.20, Petronas Chemicals eased three sen to RM8.57 and CIMB was one sen weaker at RM5.35.

Of the actives, Sumatec, KNM and Bumi Armada perked half-a-sen each at four sen, 30 sen and 22 sen respectively, Handal advanced three sen to 47 sen, while XOX was flat at five sen.

Hong Leong Bank topped the losers list, erasing 14 sen to RM18.96 and the top gainer is Heineken Malaysia, bagging 40 sen to RM23.32.

The FBM Emas Index slid 6.48 points to 11,928.59 and the FBMT 100 Index trimmed 9.06 points to 11,768.16. 

The FBM Emas Shariah Index was 1.54 points firmer at 12,327.55, the FBM 70 improved 19.21 points to 14,886.73 and the FBM Ace increased 23.99 points to 4,607.63.

Sector-wise, the Financial Services Index contracted 25.19 points to 16,785.77 and the Industrial Products & Services Index slipped 0.16 of-a-point to 162.12.

But, the Plantation Index advanced 5.72 points to 6,958.25. – Bernama

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News sourced from Bernama, Reuters, AFP and other accredited news agencies, including credible blogsites and news portals.