Blue Chips Lead KL Mart Higher

Published: 2009/04/24
MALAYSIAN shares ended higher today in active trading, led by gains on most of the key blue chips as investors responded positively to the market liberalisation of 27 services sub-sectors recently, dealers said.

There were also some renewed interest in financial counters ahead of the upcoming financial services liberalisation announcement next week."KLCI saw bullish action today as the liberalisation move helped to spill over buying interests among investors," one of the dealers said, adding that the overnight gains on Wall Street also supported the local market sentiment.The Kuala Lumpur Composite Index rose for a third day, gaining 14.04 points, or 1.4 per cent, to close at 992.68, the highest level since October 7.

The measure advanced 2.9 per cent this week, the sixth week of gains, capping the longest winning streak since May 4, 2007.Four stocks advanced for each one that fell on the 100-member measure.In the market, 2.08 billion shares changed hands, more than triple the three-month daily average of 587 million shares.

That’s the busiest trading session since October 29, Palm oil futures in Malaysia rose as much as 2.6 per cent to RM2,648 (US$739) a metric ton, the highest level since August 22. Futures have gained 8.5 per cent so far this week, the ninth week of gains, set to cap the longest weekly winning streak since June 2007.IOI Corp, Malaysia’s second-biggest palm oil producer, rose 2.3 per cent to RM4.40, the highest level since September 26.

Sime Darby Bhd added 3.1 per cent to RM6.65, the highest since October 15. Kuala Lumpur Kepong Bhd climbed 1.8 per cent to RM11.50.British American Tobacco (Malaysia) Bhd, Malaysia’s biggest cigarette maker, dropped 0.6 per cent to RM44.75, the lowest level since March 19, after the company reported a decline in first-quarter profit and JPMorgan Chase & Co cut its stock rating to “neutral” from “overweight.”

Help International Corp, a provider of higher education in Malaysia, added 3.2 per cent to RM1.29, its highest close since October 13. The company aims to conclude talks to acquire three local and overseas institutions in six months, a financial daily reported, citing president Paul Chan.Yeo Hiap Seng (Malaysia) Bhd, a Malaysian beverage maker, dropped 3.9 per cent to RM1.25, the most since March 31.

The company reported a loss of RM8.7 million in the first quarter compared with a profit of RM1.2 million in the year-earlier period, the company said. Sales dropped to RM128.8 million from RM151.5 million, it said in a statement. - Bloomberg