(RTTNews) – The Malaysia stock market has alternated between positive and negative finishes through the last four trading days since the end of the four-day losing streak in which it had dropped more than 30 points or 2 percent. The Kuala Lumpur Composite Index now sits just above the 1,680-point plateau and it’s likely to remain rangebound again on Tuesday.
The global forecast for the Asian markets is cautiously optimistic, with energy and technology stocks expected to provide support. The European markets were down and the U.S. bourses were up and the Asian markets figure to follow the latter lead.
The KLCI finished modestly lower on Monday following losses from the financial shares and telecoms, while the plantations and industrials were mixed.
For the day, the index shed 10.79 points or 0.64 percent to finish at 1,680.52 after trading between 1,675.64 and 1,685.52.
Among the actives, 99 Speed Mart Retail plummeted 3.23 percent, while AMMB Holdings plunged 2.12 percent, Axiata dipped 0.45 percent, Celcomdigi shed 0.66 percent, CIMB Group stumbled 1.73 percent, Gamuda lost 0.50 percent, IHH Healthcare dropped 1.14 percent, IOI Corporation rose 0.47 percent, Kuala Lumpur Kepong and Sime Darby both fell 0.46 percent, Maybank retreated 1.61 percent, MISC jumped 1.20 percent, MRDIY tanked 1.90 percent, Nestle Malaysia perked 0.09 percent, Petronas Chemicals surged 3.44 percent, Petronas Dagangan rallied 2.40 percent, Petronas Gas climbed 1.10 percent, Press Metal added 0.63 percent, Public Bank sank 1.08 percent, QL Resources tumbled 1.81 percent, RHB Bank and Hong Leong Bank both tumbled 1.72 percent, SD Guthrie gained 0.50 percent, Sunway skidded 1.15 percent, Telekom Malaysia slumped 1.27 percent, Tenaga Nasional improved 0.71 percent, YTL Corporation declined 1.51 percent, YTL Power contracted 1.35 percent and Maxis and PPB Group were unchanged.
The lead from Wall Street is positive as the major averages opened under water on Monday but quickly trended to the upside and into the green, finishing at daily highs.
The Dow climbed 301.68 points or 063 percent to finish at 48,218.25, while the NASDAQ jumped 280.84 points or 1.23 percent to close at 23,183.74 and the S&P 500 rallied 69.35 points or 1.02 percent to end at 6,886.24.
The strength that emerged on Wall Street came as traders kept an eye on developments in the Middle East after weekend talks between the U.S. and Iran failed to produce an agreement.
Crude oil prices surged on Monday after U.S. President Donald Trump imposed a blockade on ships transiting to and from Iran via the Strait of Hormuz. West Texas Intermediate crude for May delivery was up $2.67 or 2.76 percent at $99.24 per barrel.
While the news contributed to a significant increase by the price of crude oil, traders seem optimistic Trump will back down once again and avoid a return to war.
Traders were also looking ahead to the start of earnings season, with companies largely expected to report strong financial results despite the Middle East conflict.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
