KUALA LUMPUR, June 18 (Bernama) -- Bursa Malaysia’s key index finished marginally higher, supported by strong buying interest in consumer-related counters, amid mixed performance across regional markets. At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) rose by 1.40 points, or 0.08 per cent, to 1,711.39 from Tuesday's close of 1,709.99. The key index opened 12.36 points firmer at 1,722.35 and moved between 1,711.31 and 1,722.63 throughout the session. Market breadth was negative, with losers leading gainers 678 to 493, while 549 counters were unchanged, 1,016 untraded and 34 suspended. Turnover increased to 4.50 billion units worth RM3.45 billion from 3.93 billion units worth RM3.45 billion on Tuesday.
KLSE has been going down since the day Malaysia Prime Minister Datuk Seri Abdullah Ahmad Badawi announced to dissolve the Parliament and to have a General Election on the 8th of March. If we look at our bourse compare to others in the region, KLSE never go to green zone, even when the DJIA closed in green. A lot of factors contribute to this heavy selldown of KLSE. One of it is the profit taking activities by the speculators. Another would be the selling of Gamuda, which is the country's 2nd largest construction player. Datuk Lin Yun Ling cut his stake to 1.7% from 5.2%. Discussion has been going on this counter whether this could turn out to be another Transmile as Datuk Lin is not just an ordinary shareholder, but he is the MD as well. A lot of investors fear the worse has yet to come decided to even cut loss and Gamuda continue to drop. And at one point yesterday, Gamuda reach 3.78, which is very tempting. Too bad I was not around to monitor as I went for my group's teambuilding. Finally, foreign-led selling of blue chip counters also contribute to the heavy selldown of KLSE. Most of the counters in KLSE are currently at discounted price. But most investors still fear. Have we reach the bottom yet? In my opinion, if KLSE reach 1350 and cannot sustain at that point, meaning we still have yet to see the bottom. I believe we can still go down more if there is still uncertainty in our politics, so we better pray for this GE to be over as soon as possible. Until then better not catch the dagger while it is falling. The best bet currently is not to panic and cause more heavy selldown, but to hold some of most reliable counters that we won't regret holding. Warren Buffett quoted this before "Only buy something that you'd be perfectly happy to hold if the market shut down for 10 years."
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