Malaysia Stock Market Expected To Be Rangebound
(RTTNews) - The Malaysia stock market headed south again on Wednesday, one session after snapping the three-day losing streak in which it had stumbled more than 20 points or 1.3 percent. The Kuala Lumpur Composite Index now rests just above the 1,490-point plateau and it figures to remain in that neighborhood again on Thursday.
The global forecast for the Asian markets is mixed to lower on economic growth concerns, coronavirus woes and tumbling oil prices. The European markets were up and the U.S. bourses were mostly lower and the Asian markets figure to follow the latter lead.
The KLCI finished modestly lower on Wednesday following losses from the financial shares and glove makers, while the plantations were mixed.
For the day, the index slipped 8.93 points or 0.60 percent to finish at 1,491.33 after trading between 1,483.73 and 1,497.88. Volume was 3.666 billion shares worth 2.535 billion ringgit. There were 685 decliners and 333 gainers.
Among the actives, Axiata slid 0.27 percent, while CIMB Group stumbled 0.66 percent, Dialog Group plummeted 4.07 percent, Digi.com lost 0.48 percent, Genting skidded 1.30 percent, Genting Malaysia added 0.37 percent, Hartalega Holdings sank 0.59 percent, IHH Healthcare declined 1.04 percent, Kuala Lumpur Kepong rose 0.21 percent, Maybank shed 0.50 percent, Maxis dipped 0.23 percent, MISC fell 0.45 percent, MRDIY tanked 2.92 percent, Petronas Chemicals and Press Metal both weakened 0.62 percent, Petronas Gas climbed 1.15 percent, PPB Group and Hong Leong Bank both eased 0.11 percent, Public Bank surrendered 1.00 percent, RHB Capital was down 0.19 percent, Sime Darby tumbled 1.39 percent, Sime Darby Plantations retreated 1.17 percent, Telekom Malaysia plunged 3.02 percent, Tenaga Nasional advanced 1.03 percent, Top Glove dropped 0.52 percent and IOI Corporation was unchanged.
The lead from Wall Street remains inconsistent as the Dow and S&P opened firmly lower on Wednesday and stayed that way - but the NASDAQ hugged the unchanged line and finished slightly higher.
The Dow tumbled 323.73 points or 0.92 percent to finish at 34,792, while the NASDAQ rose 19.24 points or 0.13 percent to close at 14,780.53 and the S&P 500 sank 20.49 points or 0.46 percent to end at 4,402.66.
The weakness on Wall Street reflected renewed concerns about the pace of U.S. economic growth after payroll processor ADP said private sector employment increased less than expected in July.
On Friday, the Labor Department will release its more closely watched monthly jobs report, which includes both public and private sector jobs.
A steep drop by shares of General Motors (GM) also weighed on Wall Street, with the auto giant plunging by 8.9 percent to a five-month closing low after the company reported second quarter earnings that missed estimates.
Crude oil prices plummeted again on Wednesday, extending the sharp pullback seen over the two previous sessions following an unexpected increase in crude oil inventories last week. West Texas Intermediate crude sank $2.41 or 3.4 percent to $68.15 a barrel.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.