Last Thursday on April 19, the FBM KLCI closed at a record high of 1,895 but this seems like a fading memory for investors. As fast as the KLCI went up, it has surrended 30 points over the past three days on Tuesday.
The KLCI stumbled to close at Tuesday’s low of 1,865, down 15.02 points or 0.8%, ahead of the General Election on May 9. Turnover was 1.93 billion shares valued at RM2.32bil. Declining stocks beat advancers three to two or 574 losers to 291 gainers with 386 counters unchanged. The KLCI was the second worst performer after Taiwan’s 1.1% fall, despite the rally in crude oil prices.
China stocks posted their strongest gains in two months on Tuesday as the Communist Party declared its determination to achieve this year’s economic targets in the face of rising global trade tensions. The Shanghai Composite Index closed up 1.99%, Hong Kong’s Hang Seng Index added 1.26% while Japan’s Nikkei 225 closed 0.86% higher. Nearer home, Sinhgapore’s STI was up 0.14%. The ringgit slipped against the US dollar and the Singapore unit. It fell 0.19% against the greenback to 3.9053 and was down 0.17% to the Singapore dollar at 2.9523. However, it eked out a 0.01% gain against the pound sterling to 5.4495 and gained 0.05% to the euro at 4.7663.
Oil rose on Tuesday above US$75 a barrel to its highest since November 2014, supported by OPEC-led production cuts, strong demand and the prospect of renewed US sanctions on Iran, Reuters reported. US light crude oil rose 27 cents to US$68.91 and Brent added 14 cent s to US$74.85. Crude palm oil for third month delivery fell RM6 to RM2,402 per tonne. KL Kepong shed two sen to RM25.50, IOI Corp and PPB Group unchanged at RM4.78 and RM19.10.
Despite the rally, Petronas Dagangan fell 50 sen to RM27 and Petronas Gas was down 26 sen to RM17.96 while Petronas Chemicals gained three sen to RM8.49. BAT was the top loser, sliding RM1 to RM24 while Nestle gave up 50 sen to RMRM147.50 and Heineken lost 22 sen to RM20.60. Under pressure again was Press Metal, falling 31 sen to RM4.79 with 18.3 million shares done. It erased 2.15 points from the KLCI. Its warrants, WC fell more, sliding 53 sen to RM4.28 as aluminium prices slid. Aluminium prices had falled more than 7% to US$2,295 on the London Metal Exchange. Axiata erased 1.95 points from the KLCI when it fell 12 sen to RM5.33. Telekom lost 13 sen to RM5.24, Maxis seven sen lower at RM5.82 while Digi lost four sen to RM4.45. Among the heavyweights, Tenaga was flat at RM15.88 was down 11 sen to RM8.75 and Genting Malaysia six sen lower at RM5.02.
Join Our Whatsapp for news updates related to the market - https://goo.gl/XudT4X
Join our network of successful traders for FREE TRIal of 3 Days - https://chat.whatsapp.com/Bg7KVUAxHEwImiQmnftjTD