Malaysia Stock Market Overdue For Support On Wednesday

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(RTTNews) – Ahead of Tuesday’s holiday for Nuzul Al’Quran, the Malaysia stock market had moved lower in five straight sessions, slumping almost 20 points or 1.3 percent along the way. The Kuala Lumpur Composite Index now rests just above the 1,580-point plateau although it’s expected to stop the bleeding on Wednesday.

The global forecast for the Asian markets is upbeat on continued optimism for earnings. The European markets were down and the U.S. bourses were up and now tech shares are expected to lead the Asian markets higher.

The KLCI finished modestly lower on Monday following losses from the financial shares, telecoms and glove makers.

For the day, the index shed 7.87 points or 0.50 percent to finish at the daily low of 1,581.14 after peaking at 1,591.64. Volume was 2.447 billion shares worth 1.573 billion ringgit. There were 558 decliners and 314 gainers.

Among the actives, Axiata was down 0.28 percent, while CIMB Group tumbled 1.18 percent, Dialog Group and Petronas Dagangan both slid 0.38 percent, dropped 0.78 percent, Genting declined 1.09 percent, Genting Malaysia shed 0.67 percent, Hartalega Holdings tanked 1.30 percent, INARI retreated 1.03 percent, IOI Corporation and Maybank both fell 0.46 percent, Kuala Lumpur Kepong surrendered 1.10 percent, Maxis and MISC both lost 0.52 percent, Petronas Chemicals advanced 0.78 percent, PPB Group plunged 1.40 percent, Press Metal added 0.31 percent, Public Bank skidded 0.86 percent, RHB Capital slumped 0.84 percent, Sime Darby Plantations jumped 1.58 percent, Telekom Malaysia sank 0.79 percent, Tenaga Nasional eased 0.22 percent, Top Glove plummeted 2.79 percent and IHH Healthcare, Sime Darby and MRDIY were unchanged.

The lead from Wall Street is broadly positive as the major averages opened higher on Tuesday and picked up steam as the day progressed, ending sharply higher.

The Dow surged 499.51 points or 1.45 percent to finish at 34,911.20, while the NASDAQ soared 287.30 points or 2.15 percent to end at 13,619.66 and the S&P 500 jumped 70.52 points or 1.61 percent to close at 4,462.21.

The rally on Wall Street reflected largely upbeat earnings news from companies like Hasbro (HAS) and Johnson & Johnson (JNJ), although insurance giant Travelers (TRV) moved sharply lower despite earnings that beat estimates.

In U.S. economic news, the Commerce Department said new residential construction saw modest growth in March, while building permits also unexpectedly bounced higher.

Crude oil prices fell sharply Tuesday on concerns about outlook for energy demand following a downward revision in global growth forecast by the International Monetary Fund. West Texas Intermediate Crude oil futures for May ended down by $5.65 or 5.2 percent at $102.56 a barrel.