The Malaysia stock market has moved higher in four straight sessions, collecting almost 15 points or 0.9 percent along the way. The Kuala Lumpur Composite Index now rests just above the 1,625-point plateau although it figures to run out of steam on Friday.
The global forecast for the Asian markets is broadly negative thanks to a spike in bond yields and plummeting oil prices. The European markets were up and the U.S. bourses were down and the Asian markets are tipped to follow the latter lead.
The KLCI finished slightly higher on Thursday as gains from the financials and entertainment stocks were limited by weakness from the plantations and a mixed picture from the telecoms and glove makers.
For the day, the index rose 3.02 points or 0.19 percent to finish at 1,627.99 after trading between 1,626.18 and 1,635.15. Volume was 9.161 billion shares worth 4.893 billion ringgit. There were 634 gainers and 615 decliners.
Among the actives, Axiata tumbled 1.30 percent, CIMB Group advanced 0.89 percent, Dialog Group improved 0.31 percent, Digi.com sank 1.08 percent, Genting surged 3.58 percent, Genting Malaysia soared 3.46 percent, Hartalega Holdings gained 0.52 percent, IHH Healthcare accelerated 1.33 percent, IOI Corporation shed 0.47 percent, Kuala Lumpur Kepong dropped 0.61 percent, Maybank collected 0.24 percent, Maxis skidded 1.28 percent, MISC lost 0.43 percent, Petronas Chemicals rose 0.37 percent, PPB Group added 0.86 percent, Press Metal spiked 1.60 percent, Public Bank rallied 0.94 percent, Sime Darby tanked 1.65 percent, Sime Darby Plantations fell 0.20 percent, Supermax plummeted 2.99 percent, Telekom Malaysia was up 0.16 percent, Tenaga Nasional increased 0.18 percent, Top Glove plunged 2.23 percent and RHB Capital was unchanged.
The lead from Wall Street is soft as stocks opened mixed on Thursday but turned firmly negative as the day progressed – particularly among technology stocks.
The Dow tumbled 153.07 points or 0.46 percent to finish at 32,862.30, while the NASDAQ plummeted 409.03 points or 3.02 percent to end at 13,116.17 and the S&P 500 sank 58.66 points or 1.48 percent to close at 3,915.46.
The weakness on Wall Street came as another spike in treasury yields renewed concerns about the outlook for high-growth companies. The yield on the benchmark ten-year note jumped above 1.7 percent to reach its highest levels since January of 2020, while the thirty-year bond yield shot up to its highest levels since last summer.
Yields skyrocketed despite assurances by the Federal Reserve that interest rates will remain at near-zero levels through 2023. Analysts attributed the jump in yields to concerns that the Fed’s apparent willingness to let inflation accelerate more than normal will reduce the appeal of bonds.
In economic news, the Labor Department noted an unexpected increase in first-time claims for U.S. unemployment benefits last week thanks to the winter storm in Texas. Also, the Philadelphia Federal Reserve said its reading on regional manufacturing spiked to a 50-year high in March.
Crude oil prices declined sharply on Thursday on concerns about the outlook for energy demand due to uncertainty about the pace of the economic recovery. West Texas Intermediate Crude oil futures for April ended down $4.60 or 7.1 percent at $60.00 a barrel.
Market Analysis
Win Streak Expected To End For Malaysia Bourse
2021-03-18 23:30:17
