The Malaysia stock market had finished lower in five straight sessions, sinking more than 40 points or 2.6 percent along the way. The Kuala Lumpur Composite Index now rests just beneath the 1,530-point plateau and it’s tipped to open under pressure again on Monday.
The global forecast for the Asian markets is weak on continuing fears over the outlook for interest rates, with oil and technology stocks expected to lead the way lower. The European and U.S. markets were down and the Asian bourses are tipped to open in similar fashion.
The KLCI finished barely lower on Friday following mixed performances from the financials, telecoms, plantations and glove makers.
For the day, the index eased 0.69 points or 0.05 percent to finish at 1,527.06 after trading between 1,520.80 and 1,531.25. Volume was 2.637 billion shares worth 1.983 billion ringgit. There were 575 decliners and 334 gainers.
Among the actives, Axiata shed 0.27 percent, while CIMB Group collected 0.95 percent, Dialog Group plummeted 4.07 percent, Digi.com climbed 1.03 percent, Genting improved 0.66 percent, Genting Malaysia added 0.35 percent, Hartalega Holdings jumped 1.05 percent, IHH Healthcare rose 0.31 percent, INARI tanked 1.52 percent, IOI Corporation advanced 0.78 percent, Kuala Lumpur Kepong eased 0.09 percent, Maxis sank 0.46 percent, MISC fell 0.14 percent, MRDIY tumbled 1.37 percent, Petronas Chemicals skidded 0.67 percent, PPB Group was up 0.12 percent, Press Metal perked 0.65 percent, Public Bank increased 0.24 percent, RHB Capital retreated 1.04 percent, Sime Darby dropped 0.45 percent, Sime Darby Plantations lost 0.25 percent, Telekom Malaysia declined 1.36 percent, Tenaga Nasional gained 0.33 percent, Top Glove plunged 1.81 percent and Maybank and Nestle were unchanged.
The lead from Wall Street is negative as the major U.S. markets were down again on Friday, hugging both sides of the unchanged line in the morning before going into freefall in the afternoon to end in the red for the fourth straight session.
For the day, the Dow plummeted 450.02 points or 1.30 percent to finish at 34,265.37, while the NASDAQ plunged 385.10 points or 2.72 percent to close at 13.768.92 and the S&P 500 tumbled 84.79 points or 1.89 percent to end at 4,397.94.
The particularly harsh drop on the NASDAQ was fueled by a weak earnings report from Netflix, which set off a cascade of selling pressure among the other markets.
Surging bond prices also drove the markets lower, exacerbating interest rate concerns; most analysts believe a rate hike of at least 25 basis points from the FOMC is imminent in March.
Oil prices fell finished lower on Friday for the second straight session, although they came up from session lows. Crude’s correction continued after touching a seven-year high earlier in the week on demand optimism and short-term supply disruptions. West Texas Intermediate crude futures were down 0.86 percent at $84.81 per barrel after falling as much as 3.2 percent earlier.
Market Analysis
Malaysia Stock Market Predicted To Open In The Red
2022-01-23 23:30:13
