Bursa starts trade on buying recovery

KUALA LUMPUR, May 15 — Bursa Malaysia stages further recovery in early trade today on value buying, in line with a global rebound after assurance from the US President Donald Trump of successful trade talk with China.

At 9.14am, the benchmark FTSE Bursa Malaysia KLCI (FBM KLCI) rose 4.14 points to 1,603.33.

The index opened at 1,601.43, 2.24 points higher from yesterday 1,599.19.

Gainers beat losers 253 to 90, with 176 counters unchanged, 1,392 untraded and 24 others suspended.

Turnover stood at 384.02 million shares worth RM109.76 million.

Malacca Securities Sdn Bhd said overnight recovery in most key indices is set to further buoy a recovery on Bursa Malaysia over the near term.

At yesterday's close, both the Dow and S&P 500 rose 0.8 per cent each to 25,532.05 and 2,834.41, respectively.

It said market sentiment was lifted of a potential trade deal between the world’s two top economies with Chinese President Xi Jinping and Donald Trump scheduled to meet during G20 summit in Japan next month.

“While the concerns have eased and a firmer rebound is expected, we still think that the volatility will remain a feature over the foreseeable future as there is no resolution to the trade dispute yet.

“Hence, the FBM KLCI’s ebbs and gains will be largely dictated by developments on the issue for longer,” the research house added.

In the interim, the key index may recover past the 1,600 level to the 1,610 level with supports are seen at 1,580 and 1,572, respectively.

Overall, the improved market undertone could provide the impetus for the lower liners and broader market shares to mount a recovery.

Among heavyweights, Maybank increased one sen to RM8.97, Public Bank added six sen to RM22.52, while Petronas Chemicals was three sen lower at RM8.78 and Tenaga dropped 10 sen to RM11.70.

Of the actively-traded stocks, Dayang Enterprise expanded by two sen to RM1.19, Iris inched up one sen to 16 sen and Ho Hup Construction was 7.5 sen higher at 66 sen.

Lambo inched down half-a-sen to 7.5 sen.

The FBM Emas Index up 31.70 points to 11,290.43, the FBMT 100 Index advanced 35.10 points to 11,131.81 and the FBM Emas Shariah Index went up 41.54 points to 11,418.44.

The FBM 70 appreciated 69.71 points to 13,886.16 and the FBM Ace rose 35.27 points to 4,430.42.

Sectorwise, the Financial Services Index gained 26.58 points to 16,564.78, but the Plantation Index weaker by 60.88 points to 6,852.41 and the Industrial Products & Services Index was 0.65 of-a-point lower at 163.26. — Bernama