KUALA LUMPUR, July 1 — Bursa Malaysia welcomed the second half of the year (2H19) on a higher note, as investors heaved a sigh of relief following the announcement of US-China trade truce.
At 9.05am, the FTSE Bursa Malaysia KLCI (FBM KLCI) rose 7.25 points to 1,679.38 compared to Friday’s close of 1,672.13.
At the opening, the index advanced 2.78 points to 1,674.91.
Market breadth was positive as advancers outnumbered decliners 261 to 36, with 151 counters unchanged, 1,380 untraded and 18 suspended.
Turnover stood at 203.92 million worth RM90.39 million.
In a research note today, Malacca Securities Sdn Bhd said with the ceasefire announced on U.S-China trade spat, stocks on Bursa Malaysia are expected to head higher on what is deemed as a relief rally on hopes that the two economic powerhouses could come to an eventual agreement.
“As it is, the trade angst has been the major impediment to the global stock market’s performance over the past year.
“While there is still no trade agreement, the move is still as positive as it potentially breaks the impasse that could translate to firmer global trade and the corresponding improvements in the global economy,” it said.
While the research house anticipated Malaysian equities to be firmer over the near term, the upsides might still be measured due to the FBM KLCI’s already fair valuations.
“Therefore, the key index may still find the 1,680 level a formidable level to clear over the near term. Further above, the resistance is at the 1,690 level,” it said, adding that the supports, on the other hand, are at 1,660 and 1,650 respectively.
Among heavyweights, Maybank and Public Bank improved six sen each to RM8.94 and RM23.06, respectively, Tenaga was 16 sen higher at RM14.00, Petronas Chemicals bagged eight sen to RM8.48 and CIMB was two sen higher at RM5.40.
Of the actives, Armada and Ekovest perked 1.5 sen each to 23 sen and 86.5 sen, respectively, KNM gained two sen to 27.5 sen, IWCITY firmed three sen to RM1.09 and Hibiscus went up four sen to RM1.11.
Among top-20 gainers, Heineken jumped 54 sen to RM24.00, MPI advanced 21 sen to RM9.43, Pentamaster went up 14 sen to RM3.02, while Inari and its warrant added 13 sen seach at RM1.73 and RM1.18, respectively.
The FBM Emas Index leapt 63.29 points to 11,844.87, the FBMT 100 Index increased 60.43 points to 11,692.09 and the FBM Emas Shariah Index was 68.44 better at 12,201.39.
The FBM 70 surged 116.40 points to 14,716.11 and the FBM Ace accumulated 24.06 points to 4,469.51.
Sector-wise, the Financial Services Index accumulated 63.58 points to 16,750.19, the Industrial Products & Services Index inched up 0.79 of-a-point to 161.51 but the Plantation Index eased 6.82 points to 6,962.08. — Bernama
