Malacca Securities Sdn Bhd said with the negative tone on Wall Street following concerns over a potential interest rate hike this year, coupled with the slowdown in manufacturing activities in Germany, profit-taking activities may spill over to and limit the upside potential on the local front.

“Despite the weaker performance on the overnight Wall Street, the news on the ‘breakthrough’ of 5G processor used in Huawei’s latest smartphone could provide some catalysts towards the technology sector on the local front, especially those (stocks) that are linked with China,” the brokerage said in a note today.

At 9.15am, the FTSE Bursa Malaysia KLCI (FBM KLCI) eased 0.93 of-a-point to 1,459.69 from 1,460.62 at yesterday’s close.

The key index opened 0.64 of-a-point easier at 1,459.98.

The broader market was slightly negative with decliners leading advancers 202 to 148, while 305 counters were unchanged, 1,656 untraded and seven others suspended.

Turnover amounted to 393.26 million units worth RM131.31 million.

Among the heavyweights, Maybank and Tenaga Nasional were flat at RM9.18 and RM9.96, respectively, Public Bank rose 1 sen to RM4.26, CIMB improved 2 sen to RM5.74, and Petronas Chemicals slipped 2 sen to RM7.10.

Of the actives, Classita, KNM Group, Saudee Group and AHB Holdings were flat at 8.5 sen, 12 sen, 3 sen and 15 sen, respectively.

On the index board, the FBM Emas Index fell 3.41 points to 10,791.27, the FBMT 100 Index declined 6.14 points to 10,456.94, the FBM Emas Shariah Index lost 13.71 points to 10,952.89, the FBM 70 Index trimmed 6.30 points to 14,299.63, and the FBM ACE Index gave up 4.80 points to 5,225.12.

Sector-wise, the energy index eased 0.22 of-a-point to 864.81, the plantation index shed 1.03 points to 6,857.93, the industrial products and services index eased 0.77 of-a-point to 172.69, and the financial services index added 28.99 points to 16,521.52.