The Malaysia stock market has finished higher in three straight sessions, collecting more than 15 points or 1 percent along the way. The Kuala Lumpur Composite Index now rests just beneath the 1,555-point plateau although it’s likely to run out of steam on Thursday.
The global forecast for the Asian markets suggests consolidation on profit taking, with oil and retail stocks leading the way lower. The European and U.S. markets were down and the Asian markets are tipped to follow that lead.
The KLCI finished slightly higher on Wednesday following gains from the financials, weakness from the glove makers and a mixed performance from the telecoms and plantations.
For the day, the index gained 6.31 points or 0.41 percent to finish at 1,554.91 after trading between 1,547.47 and 1,558.89. Volume was 3.740 billion shares worth 2.255 billion ringgit. There were 464 decliners and 460 gainers.
Among the actives, Axiata plummeted 3.29 percent, while CIMB Group perked 0.20 percent, Dialog Group surged 3.07 percent, Digi.com retreated 1.15 percent, Genting soared 2.43 percent, Genting Malaysia rallied 1.35 percent, Hartalega Holdings slumped 0.70 percent, IHH Healthcare gained 0.47 percent, INARI declined 1.53 percent, IOI Corporation stumbled 0.91 percent, Maybank collected 0.45 percent, Maxis lost 0.55 percent, MISC added 0.65 percent, MRDIY accelerated 2.06 percent, Petronas Chemicals fell 0.38 percent, PPB Group spiked 2.30 percent, Press Metal tumbled 1.86 percent, Public Bank jumped 1.77 percent, RHB Capital was up 0.34 percent, Sime Darby rose 0.44 percent, Sime Darby Plantations slipped 0.38 percent, Telekom Malaysia climbed 0.83 percent, Tenaga Nasional advanced 0.66 percent, Top Glove shed 0.65 percent and Kuala Lumpur Kepong and Petronas Dagangan were unchanged.
The lead from Wall Street is brutally negative as the major averages opened lower on Wednesday and saw the losses accelerate as the day progressed, ending deep in the red.
The Dow plummeted 1,164.52 points or 3.57 percent to finish at 31,490.07, while the NASDAQ plunged 566.37 points or 4.73 percent to close at 11,418.15 and the S&P 500 tumbled 165.17 points or 4.04 percent to end at 3,923.68.
Retail stocks led the markets lower, with the Dow Jones U.S. Retail Index plunging 7.7 percent to its lowest closing level in almost two years. Target (TGT) posted a particularly steep loss after the discount retailer reported quarterly earnings that missed expectations.
Substantial weakness was also visible among transportation stocks, as reflected by the 7.4 percent drop by the Dow Jones Transportation Average. Housing stocks also saw significant weakness on the day, dragging the Philadelphia Housing Sector Index down by 4.6 percent.
In economic news, the Commerce Department noted a modest decrease in new residential construction and building permits in April.
Crude oil futures settled lower on Wednesday despite data showing a drop in crude inventories last week. A stronger dollar amid rising prospects of sharper interest rate hikes by the Federal Reserve also contributed to the decline. West Texas Intermediate Crude oil futures for ended lower by $2.81 or about 2.5% at $109.59 a barrel.
Market Analysis
Malaysia Stock Market Tipped To Open Under Pressure
2022-05-18 23:30:16
