Bursa turns slightly lower in consolidation mode
KUALA LUMPUR: Bursa Malaysia turned slightly negative as it trailed Wall Street lower in early trading amid developments in the Russian-Ukrainian war.
At 9:05 a.m., the FBM KLCI was down 0.37 points at 1,582.85. There were 122 declines for 119 winners, giving the market negative momentum.
The Dow ended a four-day winning streak overnight due to uncertain crude oil supply.
Germany had warned of increased supply disruptions in Europe as Moscow could cut natural gas deliveries following Europe’s rejection of a request to pay for deliveries in roubles.
Meanwhile, negotiations between Ukraine and Russia remained deadlocked, adding to the likelihood of continued volatility in the global economy and stock markets.
“As the prospects for ending the Russian-Ukrainian war remained uncertain following little progress made earlier in the peace talks, we believe the market will remain in a consolidation phase, at least in the short term.
“However, investors can focus on the reopening of borders in April and the decline in Covid-19 cases on the local front; these could offer potential trading opportunities within recovery-themed stocks,” Malacca Securities Research said in a note.
Bank stocks were mostly lower, with Public Bank Bank losing one sen to RM4.64, IMB losing two sen to RM5.31 and Hong Leong Bank losing six sen to RM20.10.
IHH lost two sen at RM6.14, Axiata lost three sen at RM3.75 and Kuala Lumpur Kepong lost 10 sen at RM25.08.
MPI fell 24 sen to RM35.98, PPB lost 14 sen to RM16.92 and MAHB slipped 11 sen to RM6.84.
Top assets were CapitaLand up 0.5 sen to 75.5 sen, Saura Energy down 0.5 sen to 3.5 sen and Tanco up two sen to 36.5 sen.