Published: Monday November 26, 2012 MYT 6:05:00 PM
Malaysia's KLCI closes lower, may test 1,600 support level
By Joseph Chin
KUALA LUMPUR: Malaysia's blue chips continued to lose ground on Monday, with the FBM KLCI nearing the psychological important 1,600 level as foreign funds took profit.
At the close, the FBM KLCI was down 6.44 points or 0.4% to 1,607.88. Turnover was 964.23 million shares valued at RM1.27bil. Declining stocks beat advancers 447 to 224 while 313 counters were unchanged.
After the KLCI hit an all-time high of 1,675.69 on Nov 1, it has been on the downward trend since then.
MIDF Equities Research said on a net basis, foreign investors were net sellers at RM173.4mil in equities last week.
"However, cumulatively in the last four weeks, foreign portfolio investors were still net buyers, adding RM318mil of Malaysian equity from the open market," it said.
Reuters reported Eropean shares edged lower while the euro hovered near a one-month peak against the dollar on Monday as investors awaited the outcome of talks to provide emergency loans to Greece.
Euro zone finance ministers and the International Monetary Fund meet later to try to unfreeze the second bailout package for Greece, but first need to agree how to cut the country's massive debt pile to a more sustainable level.
Among the key regional markets, Japan's Nikkei 225 rose 0.24% to 9,388.94; Taiwan's Taiex added 1.11% to 7,407.37 and Singapore's Straits Times Index gained 0.51% to 3,004.50.
However, Hong Kong's Hang Seng Index fell 0.24% to 21,861.81; Shanghai's Composite Index dropped 0.49% to 2,017.46 and South Korea's Kospi 0.15% lower at 1,908.51.
US light crude oil dropped 33 cents to US$87.95 and Brent 35 cents lower at US$111.03. Spot gold dropped US$5.73 to US$1,747.27.
The ringgit was stronger against the US dollar at 3.0543 compared with the previous close of 3.0603.
At Bursa Malaysia, CIMB fell 11 sen to RM7.85 and erased 1.90 points of the KLCI, Petronas Gas fell 76 sen to RM18.14, wiping out 1.87 points. Among the telcos, Axiata lost eight sen to RM5.75 and DiGi six sen lower at RM4.58, which saw 2.66 points erased from the index.
SapuraKencana Petroleum lost 10 sen to RM2.75 in active trade.
BAT was the top loser, down RM2.38 to RM55.58, Dutch Lady fell RM1.60 to RM43.70 but Carlsberg rose 12 sen to RM12.74.
Aeon Credit fell 44 sen to RM11.82 and Aeon 40 sen to RM11.50 while Allianz lsot 34 sen to RM7.35 and Allianz-PA 28 sen to RM7.41. Crude palm oil for third-month futures rose RM35 to RM2,430. Exports of Malaysian palm oil products for Nov 1-25 fell 1.9% to 1,256,492 tonnes compared with 1,280,652 tonnes shipped during Oct 1-25, Reuters quoted cargo surveyor Societe Generale de Surveillance saying.
Used oil recycler Hiap Huat Holdings was the most active on its trading debut with 195.63 million shares done. It ended the day five sen higher at 25 sen.
Among the KLCI gainers were Petronas Dagangan, up 38 sen to RM22.32 while UMW gained 16 sen to RM10.10 andf Tenaga five sen higher at RM6.94.