Bursa Opens Nearly Flat Amid Caution, Rebounds Later

KUALA LUMPUR, July 14 (Bernama) --  Bursa Malaysia opened nearly flat on Monday, taking a cue from Wall Street’s subdued close last week, as renewed protectionist trade rhetoric from Washington kept investors cautious.

The FTSE Bursa Malaysia KLCI (FBM KLCI) had opened 0.10 of-a-point lower at 1,535.97, however, rebounded shortly after.

At 10.18 am, the benchmark index inched up 0.95 of-a-point to 1,537.02 from Friday’s close of 1,536.07.

Market breadth was negative, with decliners outnumbering advancers 335 to 303, while 419 counters were unchanged, 1,352 untraded, and two suspended.

Turnover stood at 1.11 billion shares worth RM391.41 million.

Malacca Securities Sdn Bhd said the local bourse may start the week on a softer note following Wall Street’s decline, as concerns over a prolonged trade war continued to dampen risk appetite.

“However, last week’s 25 basis points overnight policy rate (OPR) cut by Bank Negara Malaysia and the potential for further monetary easing should help cushion downside risks, particularly in property stocks amid lower mortgage rates.

“We also see this as a buying opportunity in REITs, which continue to offer attractive dividend yields compared to Malaysian bonds,” the brokerage said in a note.

It added that traders would be monitoring US data this week, including inflation, retail sales, and unemployment claims.

Among the heavyweights, Maybank rose 4.0 sen to RM9.73, CIMB added 2.0 sen to RM6.70, while Public Bank eased 1.0 sen to RM4.31. Tenaga Nasional and IHH Healthcare were unchanged at RM13.96 and RM6.58, respectively.

In active trade, Jiankun, UEM Sunrise, and Pharmaniaga edged up half-a-sen each to 3.0 sen, 76.5 sen, and 17 sen, respectively. Land and General slipped half-a-sen to 11 sen, and NationGate shed 2.0 sen to RM1.61.

On the broader index board, the FBM Emas Index rose 17.18 points to 11,560.76, the FBMT 100 Index gained 14.80 points to 11,323.54, and the FBM Emas Shariah Index climbed 22.91 points to 11,575.38.

The FBM 70 Index advanced 33.96 points to 16,795.31, while the FBM ACE Index dipped 2.30 points to 4,535.87.

By sector, the Financial Services Index gained 33.57 points to 17,641.70, the Plantation Index rose 35.15 points to 7,485.60, and the Energy Index edged up 5.35 points to 742.97. The Industrial Products and Services Index slipped 0.16 of-a-point to 153.93.

-- BERNAMA