a day ago
FBM KLCI climbs to four-month high on optimism
KUALA LUMPUR: Bursa Malaysia extended its winning streak to seven consecutive sessions, with the FBM KLCI closing at a four-month high, driven by US July inflation data that came in slightly below expectations at 2.7%, boosting hopes of a Federal Reserve (Fed) rate cut in September.
At 5pm, the FBM KLCI jumped 18.70 points, or 1.19%, to close at 1,586.60 from yesterday's close of 1,567.90.
The benchmark index opened 1.17 points firmer at 1,569.07, marking its day's low, and hit a high of 1,590.61 during the mid-morning session.
The broader market was positive, with advancers trouncing decliners 686 to 390, while 491 counters were unchanged, 955 untraded and 18 suspended.
Turnover improved to 2.71 billion units worth RM3.07bil from 2.53 billion units worth RM2.15bil on Tuesday.
UOB Kay Hian Wealth Advisors Sdn Bhd's head of investment research Mohd Sedek Jantan said the prospect of US monetary easing has directly influenced sectoral performance on Bursa Malaysia.
'The FBM Technology Index and the FBM Financial Services Index led the broader market, each advancing more than 1%.
'Among the FBM KLCI constituents, telecommunications stocks were the top gainers, benefitting from investor rotation into defensive, high-dividend plays amid a stronger ringgit and a softer US dollar,' he told Bernama.
He said that rising commodity prices lent additional support to palm oil and energy counters, underpinning the breadth of market gains.
Meanwhile, market sentiment was also supported by upbeat regional market performance as well as easing trade tensions following the extension of a 90-day suspension on higher tariffs for Chinese goods.
'Investors are now turning their attention to the upcoming US producer price index and retail sales data due later this week,' he added.
Among the heavyweights, Malayan Banking Bhd added 15 sen to RM9.86, Public Bank Bhd gained four sen to RM4.44, Tenaga Nasional Bhd perked up 22 sen to RM13.80, CIMB Group Holdings Bhd rose 18 sen to RM7.19, and IHH Healthcare Bhd put on nine sen to RM6.91.
Of the most active counters, Sersol Bhd bagged one sen to 2.5 sen and Telekom Malaysia Bhd surged 23 sen to RM7.23.
Meanwhile, Classita Holdings Bhd inched down half-a-sen to nine sen, Tanco Holdings Bhd fell two sen to RM70.5 sen, while Pharmaniaga Bhd was flat at 18.5 sen.
