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.
KUALA LUMPUR (Sept 13): The FBM KLCI closed up 0.25 point or 0.02% at 1,601.25 after Asian shares ended higher as investors took cue from the European Central Bank's (ECB) interest rate cut and as the US-China trade war appeared to ebb.
Reuters reported that Asian stocks advanced on Friday as hints of progress in US-China trade talks and aggressive stimulus from the ECB helped counter worries about a global economic slowdown. It was reported that the ECB delivered bigger-than-expected stimulus, cutting interest rates by 0.1 percentage point to minus 0.5%, promising that rates would stay low for longer and restarting bond purchases of 20 billion euros a month from November.
According to Reuters, the US on Thursday welcomed China's renewed purchases of US farm goods while maintaining the threat of US tariff hikes as the world's two largest economies prepared for talks aimed at breaking their trade war impasse. US President Donald Trump was quoted as saying he preferred a comprehensive trade deal with China but did not rule out the possibility of an interim pact, even as he said an "easy" agreement would not be possible.
In Malaysia today, Areca Capital Sdn Bhd chief executive officer Danny Wong Teck Meng told theedgemarkets.com that investors are still taking cue from "external factors, mainly from the development of the trade talks between the US and China, as well as the progress of Brexit."
At Bursa Malaysia today, the KLCI closed higher after falling to its intraday low at 1,596.33. Across Bursa, volume settled at 2.1 billion shares worth RM1.5 billion.
Top gainers included British American Tobacco (M) Bhd and Petronas Dagangan Bhd.
FXTM market analyst Han Tan wrote in a note today that major central banks potential monetary easing will be closely watched.
"With the Federal Reserve and the ECB having lowered their respective benchmark interest rates this year, global investors will also be eyeing whether the Bank of Japan and Bank of England will join the monetary easing party. China’s new Loan Prime Rate will also be closely watched, as more policy stimulus feeding through China could prop up economic conditions across the region, while offering some measure of support for Asian currencies," Tan said.
Next week, Malaysian markets will be closed on Monday (Sept 16) in conjunction with the Malaysia Day holiday, Bursa said on its website.
Trading resumes on Tuesday.
Source: The Edge
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