Bursa on the rebound

Bursa on the rebound
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KUALA LUMPUR (Nov 11): Bursa Malaysia opened slightly lower on Thursday (Nov 11), but rebounded thereafter as renewed buying activities of selected heavyweights offset earlier losses, dealers said.

At 9.10am, the benchmark FBM KLCI had added 1.20 points to 1,521.94 from Wednesday's close at 1,520.74 after opening 0.26 of a point lower at 1,520.48.

However, on the broader market, losers surpassed gainers 218 to 129, while 267 counters were unchanged, 1,678 untraded and 18 others suspended.

Turnover amounted to 232.21 million units worth RM110.29 million.

In a research note on Thursday, Malacca Securities Sdn Bhd said the KLCI may continue to perform in a weaker tone due to rising concerns over inflationary pressures, following the release of China’s higher-than-expected Producer Price Index.

“Also, with Wall Street’s negative performance, especially within the technology sector, selling interest may spill over towards the local front,” it said.

The research firm said that market players will be adopting a wait-and-see strategy ahead of Malaysia’s third-quarter gross domestic production data to be released on Friday.

“Although the sentiment might turn weaker on the broader market, we see brighter prospects in the mid to long term for the aviation and tourism sectors in view of the gradual border reopening for international tourists.

“Meanwhile, we do expect furniture-related stocks to gain attention in the upcoming reporting season amid higher demand for furniture during the work-from-home period,” it added.

Among the heavyweights, Malayan Banking Bhd (Maybank) and Tenaga Nasional Bhd (TNB) rose three sen each to RM8.02 and RM9.61 respectively, and IHH Healthcare Bhd gained 10 sen to RM6.55, while Public Bank Bhd slipped 1.0 sen to RM4.01 and Petronas Chemicals Group Bhd (PetChem) was flat at RM8.30.

Of the actives, XOX Bhd and Tanco Holdings Bhd were flat at 3.5 sen and 27 sen respectively, while Iconic Worldwide Bhd improved 1.5 sen to 47.5 sen and Ecomate Holdings Bhd earned half a sen to 52.5 sen.

On the index board, the FBM Emas Index decreased 0.83 of a point to 11,265.75, the FBMT 100 Index advanced 0.59 of a point to 10,901.13, the FBM Emas Shariah Index dipped 2.51 points to 12,276.08, the FBM ACE rose 26.58 points to 6,965.16 and the FBM 70 weakened by 30.04 points to 14,913.10.

Sector-wise, the Industrial Products and Services Index edged up 0.06 of a point to 201.47, the Plantation Index perked 1.37 points to 6,631.26 and the Financial Services Index was 0.57 of a point higher at 15,094.82.