Bursa Malaysia Ends 6-day Slide, CI Up 8.86 Pts

By Harizah Hanim Mohamed

KUALA LUMPUR, Sept 10 (Bernama) -- Bursa Malaysia ended its six-day losing streak on Tuesday, driven by bargain hunters and boosted by positive sentiment across major Asian markets following strong Chinese economic data and gains on Wall Street.

At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) rose 8.86 points, or 0.54 per cent, to 1,660.35, up from Monday's close of 1,651.49.

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The index opened 2.31 points lower at 1,653.80 and fluctuated between 1,649.53 and 1,661.09 throughout the day.

Market breadth was mixed, with 501 losers outpacing 479 gainers, while 520 counters were unchanged, 955 untraded and six suspended.

Turnover eased to 3.05 billion units worth RM3.78 billion, compared to Monday’s 3.38 billion units valued at RM3.85 billion.

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Rakuten Trade Sdn Bhd’s equity research vice-president, Thong Pak Leng, said the positive economic data from China and gains from Wall Street were significant, with China's exports rising 8.7 per cent and imports increasing by 0.5 per cent in August, surpassing forecasts of 6.5 per cent and 2.0 per cent, respectively.

“Despite the improved market conditions, we remain cautiously optimistic about the local market due to reduced trading volumes and shifting investor expectations.

“We expect the FBM KLCI to continue trading sideways within the 1,650-1,670 range until more clarity on the US rate cut is available,” he told Bernama.

Meanwhile, UOB Kay Hian Wealth Advisors’ head of investment research, Mohd Sedek Jantan said that Bursa Malaysia's performance mirrored Wall Street’s notable rebound, driven by bargain hunting ahead of key inflation data.

“However, the Bursa Small-Cap Index continued to decline for another session. With the recovery in US technology stocks, we anticipate that investors will seek opportunities in oversold local technology stocks,” he said.

The FBM KLCI's gainers today were led by telecommunications, healthcare, and banking stocks.

Mohd Sedek added that both local and foreign investors preferred fundamentally strong stocks, particularly in the financial sector, amid current market volatility.

He further noted that the Bursa Malaysia Financial Services Index has shown robust growth since the August 5 sell-off, rising over 12 per cent since then.

“In the short term, the FBM KLCI is expected to remain cautious as risk appetite wanes ahead of the US Consumer Price Index release on Wednesday. Domestically, sustained foreign fund inflows into key banking stocks are expected to cushion the downside for the blue-chip index.

“Given the strength of the ringgit, we maintain a positive outlook on the consumer sector. Additionally, upward momentum has been observed in the construction, utilities, oil and gas, and renewable energy sectors,” he added.

Among the heavyweights, CIMB emerged as the top gainer, surging 21 sen to RM8.49. IHH Healthcare gained 14 sen to RM6.86, Axiata was up 10 sen at RM2.52, Hong Leong Bank added 36 sen to RM21.30, and Maybank rose four sen to RM10.94.

Globetronics was the most active stock, falling 26 sen to 54 sen. TWL Holdings' warrant was flat at half-a-sen, while 99 Speed Mart and Alpha IVF both advanced one sen to RM1.89 and 34 sen, respectively.

-- BERNAMA