KLCI edges up cautiously, select blue chips lift

opening_market_up_theedgemarkets

opening_market_up_theedgemarkets

-A +A

KUALA LUMPUR (April 20): The FBM KLCI edged up cautiously in early trade today lifted by select blue chips including Tenaga Nasional Bhd and Public Bank Bhd.

At 9.06am, the FBM KLCI added 0.51 points to 1,846.37.

The top gainers included Tenaga, United Plantatiosn Bhd, Syarikat Takaful Malaysia Bhd, Unisem (M) Bhd, Lafarge Malaysia Bhd, Malaysia Airport Holdings Bhd, Public Bank and IFCA MSC Bhd.

Asian shares dipped in early trading on Monday after a weak performance on Wall Street, though China's latest stimulus to shore up the world's second-largest economy was likely to underpin sentiment, according to Reuters.

China's central bank on Sunday cut the amount of cash that banks must hold as reserves, the second industry-wide cut in two months, adding more liquidity to bolster slowing growth, it said.

BIMB Securities in a market preview today said that in Asia, except for China there were hints of foreign selling as markets across the region closed mostly lower last Friday.

Locally, it said the FBM KLCI lost 2.08 points to close at 1,845.86 as the local bourse remained stuck in a tight trading band despite the presence of some foreign buying.

It said the net foreign inflow on Friday was a mere RM14 million pushing total net foreign inflow to RM307.3 million for the week.

“Today we can expect some spillover effects from China following People’s Bank Of China’s move to cut its RRR by 1% to 18.5% estimated to release RMB1 trillion into the market hence may see some fresh catalysts with the FBM KLCI to re-test the 1,850 levels,” it said.