Market steadier, DiGi stumbles

Written by Joseph Chin
Friday, 16 October 2009 10:25

KUALA LUMPUR: The local stock market was steadier in early trade on Friday, Oct 16 aided by the firmer regional markets and Wall Street but investors displayed some caution after the pullback in late trade the previous day.

At 10am, the FBM KLCI rose 1.61 points to 1,248.47. Turnover was 123.06 million shares valued at RM116.62. There were 58 gainers, 40 losers and 26 stocks unchanged.

Among key Asian markets, Japan's Nikkei 225 rose 0.19% to 10,257.62, Hong Kong's Hang Seng Index opened 0.39% higher at 22,081.16, Shanghai's Composite Index edged up 0.28% to 2,988.41 while Singapore's Straits Times Index was almost flat at 2,711.77.

Light crude oil rose 46 cents to US$78.04 while spot gold rose US$2.90 to US$1,053.1.

Hwang DBS Vickers Research said the manner in which the Malaysian bourse gyrated yesterday suggests that it would want to digest the recent gains.

After swinging from a new post-recovery high to the negative territory before closing little changed yesterday, the key FBM KLCI is expected to hit a short-term resistance barrier at 1,255 ahead.

"And the futures guys may also agree with this market-in-consolidation view, with the spot month contract slipping to a 1.4-point discount yesterday (from a 4.7-point premium on Wednesday)," it said.

Cushioning the profit-taking temptations could be the overnight rise on Wall Street, as the bellwether DJIA rose further (up 0.5%) lifted partly by commodity stocks. Meanwhile, crude oil prices climbed 3.2% to US$77.58 per barrel last night.

Back home, Bursa Malaysia is due to release its July-September quarter report card around noon time today.

IGB rose 15 sen to RM2.12 with 2.57 million shares done, making it the top gainer. IJM PLANTATION []s-OR added 12 sen to 89.5 sen and MPI added nine sen to RM5.70.

DiGi fell the most, down 96 sen to RM21.44, Uchitech five sen to RM1.39 while AMMB dipped two sen to RM4.53. Supermax fell two sen to RM3.26 as investors took profit.

KNM was the most active with 16 million shares done, unchanged at 84.5 sen.