KUALA LUMPUR, Jan 7 (Bernama) -- Bursa Malaysia’s benchmark index rebounded from earlier losses to close at its intraday high on Wednesday, gaining 0.27 per cent in late trading as buying interest returned to selected heavyweights. At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) advanced 4.48 points to 1,676.83 from Tuesday’s close of 1,672.35. The benchmark index opened 0.88 of-a-point lower at 1,671.47 and subsequently hit a low of 1,665.94 during the mid-morning session before gaining momentum toward closing. On the broader market, losers led gainers by 565 to 512, while some 526 counters were unchanged, 1,046 untraded, and 10 suspended. Turnover improved to 2.73 billion units worth RM2.76 billion versus Tuesday’s 2.66 billion units worth RM2.76 billion. Dealers said that investors were cautious following geopolitical developments in Asia.
Market Daily Report: KLCI dragged down by selloff in Axiata and Digi after merger talks fall through
KUALA LUMPUR (Sept 10): The FBM KLCI closed lower today, dragged down by heavy selling of shares of Axiata Group Bhd and Digi.Com Bhd, following the termination of merger talks between Axiata and Telenor ASA.
The benchmark index ended the day 8.62 points or 0.54% lower at 1,595.85.
“The index today was dragged down by the termination of the Axiata-Telenor merger, with selling present for Axiata and Digi shares,” Nomura head of equity research Tushar Mohata told the theedgemarkets.com.
Telenor ASA (which is the biggest shareholder of Digi) and Axiata, called off their proposed merger last week, citing complexity of the transaction involved.
Axiata was the biggest loser on Bursa Malaysia, while Digi was the fifth largest loser.
A total of 2.19 billion shares, worth RM1.93 billion, were traded across the bourse.
In a note today, JF Apex Securities Research said the KLCI could move sideways above the 1,600-level.
“Following the mixed performance in the US and Europe, the FBM KLCI could hover sideways above the support of 1,600 points,” the research house said.
Among other Asian benchmark indexes, South Korea’s KOSPI rose 12.53 points or 0.62% to 2,032.08, while Japan’s Nikkei closed 73.68 points or 0.35% higher to 21,392.10 points.
In China, the Shanghai Composite closed 3.54 points or 0.12% lower to 3,021.20 points, while Hong Kong’s Hang Seng closed 2.28 points or 0.01% higher at 26,683.68.
Most Asian stocks swung lower today, as they are weighed down by the Chinese markets, after mainland factory-gate prices shrank at their fastest pace in three years, Reuters reported.
Official data showed China’s producer price index fell 0.8% in August year-on-year. This constitutes the sharpest decline since August 2016, signalling waning international and domestic demand, Reuters said.
Source: The Edge
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