KUALA LUMPUR, June 11 ― Bursa Malaysia turns negative at mid-morning taking the cue from the overnight performance of Wall Street as the gloomy economic projections from the US Federal Reserve yesterday sent the US shares lower.

Bursa's slide was in tandem with regional peers, dealers said.

At 11.05am, the benchmark FTSE Bursa Malaysia KLCI (FBM KLCI) slipped 3.85 points to 1,571.42   from yesterday’s close of 1,575.27.

The index opened 2.38 points better at 1,577.65.

On the broader market, losers led gainers 493 to 395, while 416 counters were unchanged, 605 untraded and 20 others suspended.

Turnover stood at 4.13 billion units worth RM1.90 billion.

Hong Leong Bank Bhd in a note today said US stocks ended on a mixed note overnight after the Federal Reserve held rates steady and signalled no plan to adjust rates anytime soon, projecting rates to stay put at current level till 2022.

It said recent optimism surrounding the reopening of the global economy had waned, coupled with a warning by the Organisation for Economic Co-operation and Development (OECD) that a second Covid-19 wave would deal a severe blow to the expected economic recovery in 2021.

Sentiment turned more downbeat in general as investors flocked to the safe-haven asset, added Hong Leong Bank.

Among heavyweights, Maybank fell six sen to RM8.14, Public Bank declined 12 sen to RM17.22,  Petronas Chemicals gained two sen at RM6.92, while Tenaga and IHH Healthcare were flat at RM11.96 and RM5.57 respectively.

Of the most actives, AT Systematization improved four sen to 16.5 sen, Luster Industries added two sen to 12 sen, Pegasus edged up half-a-sen to 1.5 sen, Minetech resources gained 3.5 sen to 27 sen and  AT Systematization warrant added 1.5 sen each to eight sen.

On the index board, the FBM Emas Index was 27.17 points lower at 11,076.35, the FBM Emas Shariah Index down 18.40 points at 12,494.16 and the FBM 70 fell 22.09 points to 13,680.64.

 The FBM ACE declined 54.0 points to 5,941.55 and the FBMT 100 Index shed 24.60 points to 10,926.65.

Sector-wise, the Industrial Products and Services Index improved 0.07 of a point to 141.96, the Plantation Index increased 27.74 points to 6,864.40 while the Financial Services Index dropped 75.57 points to 13,771.79. ― Bernama