The Malaysia stock market bounced higher again on Monday, one session after it had ended the three-day winning streak in which it had advanced more than 8 points or 0.5 percent. The Kuala Lumpur Composite Index now rests just above the 1,670-point plateau, although the market figures to head south again on Tuesday.
The global forecast for the Asian markets is soft amid renewed concerns about protectionist policies under U.S. President Donald Trump. The European and U.S. markets were down and the Asian markets figure to follow suit.
The KLCI finished modestly higher on Monday as gains from the financials and telecoms were tempered by weakness from the industrials and a mixed performance from the plantation stocks.
For the day, the index picked up 6.42 points or 0.39 percent to finish at 1,671.31 after trading between 1,664.35 and 1,674.62. Volume was 1.53 billion shares worth 1.81 billion ringgit. There were 467 decliners and 322 gainers, with 358 stocks finishing unchanged.
Among the actives, Public Bank, CIMB Group, Hong Leong Bank, Maybank, Sime Darby, MISC, Telekom Malaysia, Axiata, Tenaga Nasional, Genting and PPB Group all finished higher, while Kuala Lumpur Kepong, Maxis and Digi.com were unchanged and AirAsia, Petronas Chemicals, Petronas Gas, Petronas Dagangan, United Plantations and IOI Corporation ended lower.
The lead from Wall Street is weak as stocks ticked slightly lower on Monday following a decline in the price of crude oil and concerns over Trump policy.
The Dow shed 27.40 points or 0.14 percent to 19,7990.85, while the NASDAQ eased 2.39 points or 0.04 percent to 5,552.94 and the S&P fell 6.11 points or 0.27 percent to 2,265.20.
Trump told a meeting of corporate executives he plans to impose a major border tax, although he also promised a massive tax cut for the middle class and companies.
The new president also signed an executive order to renegotiate NAFTA and is expected to sign an order indicating his intention to withdraw from the Trans-Pacific Partnership.
Energy stocks were soft as the price of crude oil for March delivery slid $0.39 or 0.73 percent to $52.83 a barrel.
For comments and feedback contact: editorial@rttnews.com
Market Analysis