KUALA LUMPUR: Bursa Malaysia experienced a downturn this morning, influenced by Wall Street’s mixed performance overnight as investors navigated high expectations and market valuations.
According to BERNAMA News Agency, the FTSE Bursa Malaysia KLCI (FBM KLCI) dropped 4.39 points to 1,598.81 at 9.19 a.m., compared to the previous day’s close of 1,603.20. The index began the day 1.37 points lower at 1,601.83. Market sentiment was negative, with 225 losers surpassing 219 gainers. Additionally, 345 counters remained unchanged, 1,689 were untraded, and 39 were suspended. The turnover reached 458.76 million units, valued at RM207.88 million.
Rakuten Trade Sdn Bhd’s equity research vice-president, Thong Pak Leng, remarked on the contrasting outcomes in the U.S. markets, where the Dow Jones Industrial Average ended lower, while the Nasdaq achieved a new record high. This divergence comes amidst expectations that the U.S. Federal Reserve might reduce interest rates, supported by November’s consumer price index (CPI)
figures aligning with predictions. The November U.S. CPI increased to 2.7 percent from 2.6 percent the previous month, while the core CPI held steady at 3.3 percent for three months, reflecting persistent inflation.
Thong noted that the U.S. 10-year yield slightly rose to 4.275 percent. Meanwhile, in Hong Kong, the Hang Seng Index (HSI) fell as traders anticipated further details from China’s ongoing economic conference. Consequently, the HSI dropped from an intra-day high of nearly 21,000 on Tuesday to around 20,100.
Domestically, Thong expressed puzzlement over the continuous foreign fund sell-off that began in October, which has reduced liquidity in the local market. Despite this, he suggested that the 1,600 level could serve as a critical psychological support, predicting the index might fluctuate between 1,600 and 1,610 today.
Among major stocks, Maybank decreased by 2.0 sen to RM10.10, Public Bank fell by 1.0 sen to RM4.60, CIMB dropped 2.0 sen to RM8.09, and both Tenaga Nasional and IHH Healthcare d
ecreased by 10 sen to RM13.66 and RM7.06, respectively.
In terms of active stocks, Zen Tech and Matang reduced by half-a-sen each to half-a-sen and 8.0 sen, respectively, while TMK Chemical rose 25 sen to RM2.00. Datasonic gained 1.0 sen to 44 sen, and AIMFLEX remained stable at 15 sen.
On the index board, the FBM Emas Index fell by 23.74 points to 12,273.74, the FBMT 100 Index decreased by 27.25 points to 11,952.06, and the FBM 70 Index contracted by 21.78 points to 18,401.23. The FBM Emas Shariah Index dropped 12.99 points to 12,256.25, and the FBM ACE Index declined by 1.17 points to 5,292.08. Sector-wise, the Financial Services Index slipped 74.24 points to 19,078.42, the Plantation Index decreased by 13.48 points to 7,627.71, and the Industrial Products and Services Index lost 0.16 point to 173.84. However, the Energy Index rose 3.15 points to 825.44.