Home English News Business Cautious market sentiment drags Bursa lower

Cautious market sentiment drags Bursa lower

Cautious market sentiment drags Bursa lower

KUALA LUMPUR: Bursa Malaysia finished marginally lower at midday as cautious sentiment weighed on buying patterns amid the absence of market-moving factors.

At 12.30pm, the benchmark FBM KLCI finished at 1,527.76, down 0.13 of-a-point, after fluctuating between 1,533.11 and 1,521.44.

In the broader market, decliners outnumbered gainers 602 to 283 while 444 counters were unchanged. Turnover stood at 2.41 billion shares worth RM1.47bil.

Overnight, the Dow Jones Industrial Average fell 1.78%, to 33,970.47, the S&P 500 lost 1.70%, to 4,357.73 and the Nasdaq Composite dropped 2.19%, to 14,713.90.

TA Securities said the local market correction should extend on spillover losses from the US and regional markets, and pending more clarity on the earnings impact from potential interest-free loan moratoriums for banks and profit windfall tax hit on beneficiaries from the pandemic.

“On the index, immediate chart support is now at 1,500, with 1,470 and 1,452, the 50% Fibonacci Retracement (FR) matching the Nov 2020 low, as key supports to watch.

“Immediate resistance will be at 1,550, with significant resistance from the recent high of 1,605, while 1,620 and 1,640 will be tougher upside hurdles,” it said.

Meanwhile, AmInvestment Research believes the sharp fall in China’s Evergrande Group share price will have a limited impact on Malaysia’s stock market.

In the morning session, 16 of the 30 KLCI-component stocks rose, while 10 rose.

Nestle rose 80 sen to RM134.60, Kuala Lumpur Kepong added 20 sen to RM20.08, Sime Darby Plantation gained 12 sen to RM3.57 and PPB climbed eight sen to RM18.38.

Hartalega fell 19 sen to RM5.91, Hong Leong Financial Group lost 14 sen to RM18.22 and Top Glove shed 13 sen to RM2.68.

On the broader market, PMB Technology surged RM2.52 to RM11.82, MPI added 64 sen to RM44.84, Paragon rose 25 sen to RM1.92 and D&O climbed 23 sen to RM6.

Genetec fell RM1.20 to RM33, F&N gave up 18 sen to RM26.82 and Sungei Bagan Rubber Company dropped 15 sen to RM3.25.

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