KUALA LUMPUR: The FBM KLCI were lower at early trade today, brought down by weak heavyweights – Tenaga, PetChem, Nestle and Dialog, despite the lower liners continued strength.
At 9.15 am, the benchmark FBM KLCI index declined 3.12 points to 1,633.34.
The index opened 0.13 points lower at 1,639.33.
On the broader market, gainers outnumbered decliners 186 to 114, while 234 counters remained unchanged, 1,335 untraded and 31 others suspended.
Turnover stood at 476 million shares worth RM143.9 million.
Malacca Securities Sdn Bhd said under the prevailing environment, the FBM KLCI is set for an extended indifferent trend, lingering within the 1,630 and 1,650 levels.
“There are also few market events to look forward to as several large initial public offerings are said to have been held back due to the uncertain market environment.
“Corporate exercises are also fewer due to the weak market sentiments, while valuations are already fair,” it said today.
As for the lower liners, Malacca Securities said current low valuations will continue to draw in substantive trading actions, possibly allowing the broader market to recover further.
“However, we think that the recent gains are already overdone and consolidation is due to set in soon,” it added.
At the same time, regional leads were also bearish with Asian benchmark indices closed mostly lower on fresh concerns over the global economic growth after the International Monetary Fund slashed global growth outlook to 3.3% from 3.5%.
Meanwhile, US stock markets rebounded after the US Federal Reserve stood pat on its dovish stance regarding future rate hike in the latest monetary policy meeting.
Of the heavyweights, Maxis went down 10 sen to RM5.60 while Digi dropped five sen to RM4.65 sen.
Meanwhile, Tenaga down 18 sen to RM12.40, PetChem was eight sen lower at RM8.92, Nestle dropped RM1.50 to RM145.30 and Dialog went down two sen to RM3.22.
Meanwhile, gainer heavyweights – Public Bank was four sen higher at RM22.68, Malaysia Airports added eight sen to RM6.83 and Maybank rose one sen to RM9.29.
Of the actives, Daya Materials, Dynaciate and Bio Osmo were half-a-sen higher each at 1.5 sen, 9.5 sen and 7.5 sen, respectively, while Ekovest inched up three sen to 66.5 sen.
The FBM Emas Index declined 8.85 points to 11,626.19, the FBMT 100 Index dropped 13.46 points to 11,443.68 and the FBM Ace Index inched down 13.27 points to 4,788.75.
The FBM Emas Shariah Index shed 20.61 points to 11,840.60, but the FBM 70 appreciated 16.43 points to 14,610.64.
Sector-wise, the Financial Services Index up 11.93 points to 16,872.02, while the Industrial Products and Services Index decreased 0.54 of-a-point to 169.42 and the Plantation Index was 2.27 points lower at 7,294.73.