Malaysia Bourse May Hand Back Monday’s Gains

The Malaysia stock market ticked higher again on Monday, one day after ending the five-day winning streak in which it had collected more than 35 points or 2 percent, The Kuala Lumpur Composite Index now sits just above the 1,680-point plateau although it’s likely to head south again on Tuesday.

The global forecast for the Asian markets is soft, with profit taking expected ahead of the end of the year. The European markets were mixed and flat and the U.S. bourses were down and the Asian markets figure to follow the latter lead.

The KLCI finished slightly higher on Monday following mixed performances from the financial shares and plantation stocks.

For the day, the index rose 3.89 points or 0.23 percent to finish at the daily high of 1,680.99 after trading as low as 1,668.48.

Among the actives, 99 Speed Mart Retail increased 0.26 percent, while Axiata lost 0.39 percent, Celcomdigi slipped 0.31 percent, CIMB Group expanded 0.98 percent, Gamuda and Kuala Lumpur Kepong both rose 0.40 percent, IHH Healthcare fell 0.35 percent, IOI Corporation vaulted 1.00 percent, Maybank collected 0.38 percent, MISC added 0.52 percent, MRDIY climbed 0.65 percent, Nestle Malaysia advanced 0.61 percent, Petronas Chemicals declined 1.10 percent, Petronas Dagangan gained 0.41 percent, Press Metal improved 0.28 percent, Public Bank eased 0.22 percent, QL Resources was down 0.26 percent, RHB Bank dropped 0.77 percent, Sime Darby shed 0.49 percent, SD Guthrie sank 0.53 percent, Sunway perked 0.18 percent, Telekom Malaysia retreated 1.36 percent, Tenaga Nasional jumped 1.61 percent, YTL Corporation slumped 0.97 percent and YTL Power, Petronas Gas, PPB Group, AMMB Holdings and Maxis were unchanged.

The lead from Wall Street is weak as the major averages opened under water on Monday and stayed that way throughout the trading day.

The Dow dropped 249.04 points or 0.49 percent to finish at 48,461.93, while the NASDAQ sank 118.75 points or 0.50 percent to and at 23,474.35 and the S&P 500 shed 24.20 points or 0.35 percent to close at 6,905.74.

The pullback on Wall Street reflected profit taking, as some traders looked to cash in on recent gains going into the end of the year.

A pullback by big-name tech companies also weighed on the markets, with Nvidia (NVDA) and Oracle (ORCL) showing notable moves to the downside.

In U.S. economic news, the National Association of Realtors said pending home sales in the U.S. shot up much more than expected in November.

Crude oil prices surged on Monday, with Russia-Ukraine attacks continuing, the U.S.-Venezuela conflict escalating, and fresh conflicts brewing in the Middle East – all increasing supply concerns. West Texas Intermediate crude for February delivery was up $1.25 or 2.20 percent at $57.99 per barrel.