Bursa Malaysia Closes Lower On Concerns Over Middle East Tension

By Zarul Effendi Razali

KUALA LUMPUR, Oct 2 (Bernama) -- Bursa Malaysia retreated from yesterday's gain to close lower today in line with regional bourses as emerging concerns over the Middle East prompted selling activities across the board, an analyst said.

Public Bank and CIMB Group led the retreat, falling 8.0 sen and 11 sen each to RM4.53 and RM7.95, respectively, erasing 4.62 points off the local benchmark index.

The FTSE Bursa Malaysia KLCI (FBM KLCI) decreased by 17.08 points, or 1.03 per cent, settling at 1,639.31, down from Tuesday’s close of 1,656.39.

The market bellwether opened 13.61 points lower at 1,642.78 -- its highest level today -- before falling as low as 1,633.08 during the mid-afternoon session

On the broader market, decliners thumped gainers by 874 to 270, with 467 counters unchanged, 799 untraded and eight suspended.

Turnover rose to 3.86 billion units valued at RM2.73 billion from Tuesday's 2.55 billion units worth RM2.41 billion.

SPI Asset Management managing director Stephen Innes said escalating tensions in the Middle East have doused the bullish fire that was fueling markets after a solid quarter.

“Beyond the tragic human toll, investors are jittery about the potential for a broader conflict between regional powers (Iran and Israel) that could have far-reaching effects on global economies.

“While there’s hope that cooler heads will prevail — with Iran’s neighbours and the U.S. pushing for de-escalation — the markets are in a holding pattern until there’s a significant development,” he told Bernama today.

Innes said the usual flight to safety is in full effect, as riskier Asian stocks are being sidelined in favour of US Treasuries.

“It's a classic move in times of global turmoil, and right now, that’s exactly what’s happening across the board. The bulls will remain on the sidelines until the storm clears,” he said.

Among other heavyweight stocks, Maybank and Hong Leong Bank slipped 8.0 sen each to RM10.46 and RM21.30, respectively, Tenaga Nasional and Petronas Chemicals declined 10 sen each to RM14.30 and RM5.70, respectively, while IHH Healthcare was flat at RM7.24.

Of the active stocks, Talam Transform and P.A. Resources earned half-a-sen each to 2.5 sen and 33 sen, respectively, while Capital A reduced 4.5 sen to 93.5 sen and Leong Hup eased half-a-sen to 74 sen.

On the index board, the FBM Emas Index lost 128.81 points to 12,266.15, the FBM Emas Shariah Index dipped 113.91 points to 12,204.13, the FBMT 100 Index dropped 125.94 points to 11,9610.02, the FBM 70 Index erased 187.56 points to 17,345.33 while the FBM ACE Index declined 87.48 points to 5,125.82.

By sector, the Plantation Index fell 17.24 points to 7,172.05, the Industrial Products and Services Index gave up 2.91 points to 176.18 while the Energy Index was 8.48 points better at 851.10.

The Financial Services Index dwindled 231.18 points to 19,164.84.

The Main Market volume declined to 1.68 billion units worth RM2.34 billion from Tuesday's 1.73 billion units worth RM2.26 billion.

Warrant turnover widened to 1.76 billion units valued at RM280.83 million from 416.52 million units valued at RM41.20 million previously.

The ACE Market volume rose to 413.31 million units worth RM102.63 million from 401.11 million units worth RM102.3 million.

Consumer products and services counters accounted for 341.86 million shares traded on the Main Market, industrial products and services (303.34 million), construction (151.12 million), technology (155.05 million), SPAC (nil), financial services (97.92 million), property (361.53 million), plantation (26.48 million), REITs (16.51 million), closed/fund (21,400), energy (89.55 million), healthcare (48.96 million), telecommunications and media (32.28 million), transportation and logistics (25.15 million), utilities (32.65 million), and business trusts (15,500 million).

On the index board, the FBM Emas Index lost 128.81 points to 12,266.15, the FBM Emas Shariah Index dipped 113.91 points to 12,204.13, the FBMT 100 Index dropped 125.94 points to 11,9610.02, the FBM 70 Index erased 187.56 points to 17,345.33 while the FBM ACE Index declined 87.48 points to 5,125.82.

By sector, the Plantation Index fell 17.24 points to 7,172.05, the Industrial Products and Services Index gave up 2.91 points to 176.18 while the Energy Index was 8.48 points better at 851.10.

The Financial Services Index dwindled 231.18 points to 19,164.84.

The Main Market volume declined to 1.68 billion units worth RM2.34 billion from Tuesday's 1.73 billion units worth RM2.26 billion.

Warrant turnover widened to 1.76 billion units valued at RM280.83 million from 416.52 million units valued at RM41.20 million previously.

The ACE Market volume rose to 413.31 million units worth RM102.63 million from 401.11 million units worth RM102.3 million.

Consumer products and services counters accounted for 341.86 million shares traded on the Main Market, industrial products and services (303.34 million), construction (151.12 million), technology (155.05 million), SPAC (nil), financial services (97.92 million), property (361.53 million), plantation (26.48 million), REITs (16.51 million), closed/fund (21,400), energy (89.55 million), healthcare (48.96 million), telecommunications and media (32.28 million), transportation and logistics (25.15 million), utilities (32.65 million), and business trusts (15,500 million).

-- BERNAMA