Weak sentiment dampens risk appetite on Bursa Malaysia
KUALA LUMPUR,. Bursa Malaysia opened lower this morning, reversing from yesterday’s gains as the weaker Wall Street took a toll on risk appetites.
At 9.05am, the FTSE Bursa Malaysia KLCI (FBM KLCI) eased 2.16 points to 1,421.34 from 1,423.5 at yesterday’s close. The barometer index opened 1.49 points lower at 1,422.01.
On the broader market, losers led gainers 135 to 98, while 199 counters were unchanged, 1,824 untraded and 23 others suspended.
Turnover stood at 104.99 million units worth RM43.32 million.
Malacca Securities Sdn Bhd said the United States (US) stock markets were weaker as investors await news on the debt ceiling negotiations between congressional leaders and US President Joe Biden, with US Treasury Secretary Janet Yellen reiterating that if the debt ceiling is not raised, the country might risk defaulting by as early as June 1.
The brokerage said that given the uncertainties in the US, it believes that the selling pressure may spill over to the local front, capping the upside potential on the FBM KLCI.
“We opine that traders may focus on defensive stocks within the telco, utilities and consumer sectors.
“Meanwhile, we like the tourism and healthcare-related stocks following the reopening of China’s borders,” it said in a note today.
Rakuten Trade Sdn Bhd equity research vice-president Thong Pak Leng noted that the overall sentiment remains cautious over the uncertainties in the US.
“For today, we reckon the index would hover within the 1,415-1,425 range,” he said.
Among the heavyweights, Maybank and Petronas Chemicals trimmed two sen each to RM8.71 and RM7.05, respectively, and Tenaga fell eight sen to RM9.65, while Public Bank and CIMB were flat at RM3.95 and RM4.99, respectively.
As for the actives, Classita, Vinvest and ATA IMS inched up half-a-sen each to 15.5 sen, nine sen and 28.5 sen, respectively, and YTL Corporation added one sen to 67.5 sen, while Silver Ridge slipped half-a-sen to 43.5 sen.
On the index board, the FBM Emas Index shaved 10.03 points to 10,409.35, the FBMT 100 Index declined 14.17 points to 10,101.32, the FBM Emas Shariah Index went down 16.74 points to 10,762.64, and the FBM 70 Index lost 13.89 points to 13,479.45.
The FBM ACE Index, however, garnered 10.93 points to 5,011.5.
Sector-wise, the Industrial Products and Services Index inched up 0.24 of-a-point to 166.98 and the Financial Services Index gained 8.65 points to 15,539.79, while the Energy Index slipped 0.22 points to 833.72 and the Plantation Index fell 14.94 points to 6,918.78. — Bernama
