FBM KLCI slightly higher in early trade

KUALA LUMPUR: The FBM KLCI opened higher in early trade Monday as investors took to bargain-hunting following the decline in the past two trading sessions.

At 9.09 am, the benchmark index rose 3.19 points, or 0.22% to 1,449.28. The index opened 0.6 of a point higher at 1,446.69.

Allianz gained 14 sen to RM16.14, Time dotCom added 14 sen to RM5.57, PETRONAS Gas rose 14 sen to RM17.14 and Maxis climbed 12 sen to RM4.05.

Among the decliners, Heineken slid 18 sen to RM26.20, Carlsberg fell 16 sen to RM20.50, United Plantations eased eight sen to RM15.70 and Boustead Plantations declined four sen to RM1.25.

“Market conditions are likely to stay listless as the fresh impetuses have

largely dissipated after the FBM KLCI mounted a decent recovery from

the start of 2Q23.

“As a result, the FBM KLCI is likely to continue drifting at the start of the week with most market players set to stay on the sidelines, awaiting for more impetuses to emerge,” Inter-Pacific Research said.

The research house said concerns over the country’s economic undertone for the rest of the year have re-emerged following the release of the below-expectation 2Q2023 GDP performance.

This could keep market players cautious for the time being as they digest the weaker economic performance, it said.

“Leads from overseas sources could also be far and in between as many of the global indices are also dithering.

“For now, the key index could linger within the 1,440-1,443 levels, with the 1,437 level the next key support. The resistances meanwhile, remain at the psychological 1,450 level and at 1,455 points respectively,” Inter-Pacific said.

Meanwhile, Malacca Securities expects the weakness of external demand (slowing exports) may continue to weigh on growth.

“The lower liners may undergo a consolidation spell with the key focus shifting towards a barrage of corporate earnings releases. Still, any further pullback may also attract quick bargain hunting, in our view,” it said.