KUALA LUMPUR (Aug 16): Bursa Malaysia rebounded from Monday’s loss to open higher on Tuesday (Aug 16), driven by renewed buying interest in selected consumer products and services counters as well as utility stocks, dealers said.
At 9.25am, the benchmark FBM KLCI had risen 7.66 points to 1,511.67, from 1,504.01 at Monday’s close.
The benchmark index opened 0.08 of a point higher at 1,504.09.
On the broader market, gainers led decliners 238 to 163, while 279 counters were unchanged, 1,585 untraded, and six others suspended.
Turnover stood at 343.07 million units worth RM185.71 million.
Malacca Securities Sdn Bhd said the KLCI retreated on Monday, amid worries over China’s economic slowdown, which led to an unexpected lending rate cut.
“While the market may trade in positive-bias mode, and looking forward to a brighter outlook in the ongoing earnings [reporting] season, China’s economic slowdown may indicate risk and a spike in recession fears,” it said in a note on Tuesday.
The research firm noted that crude oil prices had declined, amid expectations of China’s lower demand outlook, trading around the US$95 (RM424.22) per barrel mark, while crude palm oil traded above RM4,200 per tonne.
“Traders may reduce exposure to energy stocks, along with the softer oil prices triggered by potential slowing demand from China. On the other hand, investors may accumulate solid consumer, plastics, and real estate investment trust stocks as the earnings season kicks off, in view of Malaysia’s improving gross domestic product growth earlier (for the second quarter of 2022).
“We expect technology stocks to be traded actively on the back of positive Wall Street performance,” it said.
Among the heavyweights, four counters had gained one sen at the time of writing, including Malayan Banking Bhd (Maybank) at RM8.92, Public Bank Bhd at RM4.67, Petronas Chemicals Group Bhd at RM8.79 and CIMB Group Holdings Bhd at RM5.44, while IHH Healthcare Bhd gained five sen to RM6.54.
Of the actives, Green Packet Bhd earned half a sen to 5.5 sen, Top Glove Corp Bhd advanced 3.5 sen to 83 sen, while Cnergenz Bhd slipped 1.5 sen to 75 sen, and Borneo Oil Bhd was flat at 2.5 sen.
On the index board, the FBM Emas Index improved 42.72 points to 10,703.26, the FBMT 100 Index perked up 44.51 points to 10,450.28, the FBM Emas Shariah Index went up 59.35 points to 10,828.89, and the FBM 70 secured 20.15 points to 12,727.55, while the FBM ACE decreased 26.67 points to 4,932.79.
The Financial Services Index rose 20.79 points to 16,789.62, the Plantation Index bagged 26.92 points to 7,188.48, the Energy Index slipped 1.86 points to 655.56, and the Industrial Products and Services Index earned 0.55 of a point to 183.65.-BERNAMA