Bursa opens higher on positive Wall Street showing

Bursa opens higher on positive Wall Street showing

KUALA LUMPUR,. Bursa Malaysia opened higher today, tracking the rebound on Wall Street overnight.

However, the market tone remained cautious ahead of the US Federal Reserve’s (Fed) interest rate decision in the middle of the week, a dealer said.

At 9.10am, the benchmark FTSE Bursa Malaysia KLCI (FBM KLCI) rose by 4.17 points to 1,455.69 from Monday’s close of 1,451.52.

The benchmark index opened 2.90 points better at 1,454.42.

On the broader market, gainers outpaced decliners 214 to 84, while 194 counters were unchanged, 1,874 untraded, and 9 others suspended.

Turnover stood at 130.26 million units worth RM66.25 million.

Malacca Securities Sdn Bhd noted that the FBM KLCI tumbled along with regional peers yesterday over global recession fears amid rising interest rates.

“We believe the local bourse will remain volatile at least until the Fed’s meeting in the middle of the week amid heightened expectation for hawkish monetary policy decisions,” it said in a research note. “Meanwhile, fears over a global recession may continue to weigh on commodity prices.”

Commodities-wise, it noted that the crude oil price has hovered around the US$92 per barrel mark, while the crude palm oil (CPO) price retraced from RM3,700.

The brokerage firm said with the slight rebound on Wall Street overnight, bargain hunting activities are expected to emerge in technology stocks, at least for today’s session.

“We also like selected stocks under the energy sector as Brent oil price is still hovering around US$92. Besides, investors may focus on the banking sector under the interest rate upcycle environment,” it added.

Among the heavyweights, Public Bank added three sen to RM4.48, CIMB Bank gained six sen to RM5.48 and IHH Healthcare improved one sen to RM6.17

Petronas Chemicals slid one sen to RM8.58 while Maybank was flat at RM8.63.

Of the actives, Main Market debutant AME REIT gained five sen to RM1.18, Orgabio Holdings edged up half-a-sen to 37.5 sen, Top Glove trimmed half-a-sen to 70 sen. Metronic and UMedic were flat at two sen and 75.5 sen, respectively.

On the index board, the FBM Emas Index went up 36.97 points to 10,398.21, the FBMT 100 Index bagged 33.47 points to 10,136.92, the FBM Emas Shariah Index increased 30.54 points to 10,482.01, the FBM 70 advanced 59.22 points to 12,643.11 and the FBM ACE added 1.91 points at 4,761.31.

Sector-wise, the Energy Index was 7.4 points better at 730.88, the Plantation Index climbed 21.22 points to 6,895.15, the Financial Services Index rose 52.35 points to 16,421.97 and the Industrial Products and Services Index edged up 0.58 of-a-point to 178.62. — Bernama

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