Bursa Malaysia ends lower for second consecutive day

KUALA LUMPUR: Bursa Malaysia ended lower for the second consecutive day yesterday, as global uncertainties such as the challenging US-China trade relations, faster US Federal Reserve’s (Fed) interest rate increases and volatility in crude oil prices continued to cloud investor sentiment.

At 5pm, the benchmark FTSE Bursa Malaysia KLCI (FBM KLCI) was 8.57 points, or 0.50 per cent, weaker at 1,687.57 from Monday’s close of 1,696.14.

The index opened 9.48 points lower at 1,686.66 and moved between 1,680.09 and 1,691.91 throughout the day.

Market breadth was negative, with losers outpacing gainers 484 to 323, while 353 counters were unchanged, 722 untraded and 20 others suspended.

Volume however improved to 2.03 billion units worth RM1.93 billion versus 1.63 billion units worth RM1.32 billion on Monday.

A dealer said although China’s stock markets had rebounded from the earlier losses after news that China’s top trade negotiator might visit the US ahead of a meeting between the two countries’ leaders, the news did not cast a positive impact on other regional equity markets, including Bursa Malaysia.

“The news did ignite hopes for a de-escalation in the US-China trade war tensions, but anticipations for faster Fed rate hikes for this year and 2019 had further dampened the risk appetite among investors,” he said.

He added that the volatility in crude oil prices, with benchmark Brent crude oil falling below US$70 per barrel at 5 pm today, also shooed investors away from the risk asset market.

However, the dealer believed major announcements, such as Malaysia’s third quarter gross domestic product (GDP) data, scheduled to be released on Nov 16, the US Initial Jobless Claims data on Nov 15 and China’s October Industrial Production data on Nov 14, would be able to provide further investment directions for investors.

At the closing bell, heavyweights IOI Corp suffered the biggest loss, declining 14 sen to RM4.35, while IHH Healthcare fell 13 sen to RM4.54, Axiata reduced seven sen to RM3.45, Digi shed eight sen to RM4.34 and Dialog was five sen easier at RM3.27.

Of actives, Ace Market debutant Securemetric rose 28.5 sen to 53.5 sen, Prestariang ticked up halfa-sen to 70.5 sen while Sapura Engergy eased one sen to 37 sen, Hibiscus lost two sen to RM1.10 and MRCB inched down three sen to 74.5 sen.

Panasonic Manufacturing led the losers list by giving up 48 sen to RM37.78, while Heineken and Dutch Lady dropped 36 sen each to RM19.40 and RM63.60 respectively, Nestle erased 30 sen to RM143.60 and MPI shed 26 sen to RM12.14.

The FBM Emas Index skidded 56.95 points to 11,702.08, the FBMT 100 Index fell 57.37 points to 11,540.38 and the FBM Emas Shariah Index was 80.60 points weaker at 11,840.19.

The FBM 70 slipped 63.09 points to 13,642.64 and the FBM Ace Index was 41.43 points easier at 4,917.50.

Sector- wise, the Industrial Products and Services Index edged down 0.09 point to 172.89, the Plantation Index declined 60.59 points to 7,257.65 and the Finance Index went down 20.63 points to 17,050.33.

Main Market volume widened to 1.15 billion shares worth RM1.69 billion from 1.08 billion shares worth RM1.20 billion on Monday.

Warrants turnover increased to 411.38 million units valued at RM102.88 million versus 282.53 million units valued at RM65.22 million previously.

For further information on stocks and prices, please visit w w w. bursamalaysia.com.