KUALA LUMPUR (June 29): The FBM KLCI rose firmly at mid-morning on Friday, looking set to end the final trading day of the first half of the year on a positive note.
At 10am, the benchmark index rose 5.84 points to 1,600.08.
There were 230 gainers and 151 losers, while 214 counters traded unchanged. Volume was 245.18 million shares valued at RM154.14 million.
However, Asian shares and the euro were pressured on Friday as European leaders argued over how to ease borrowing strains in Italy and Spain and stop the euro zone debt crisis spreading, with investors fearful of U.S. reaction to the deadlock, according to Reuters.
At the regional markets, Japan’s Nikkei 225 fell 0.31% to 8,846.77 and the Shanghai Composite Index lost 0.19% to 2,191.76.
Elsewhere, Hong Kong’s Hang Seng Index gained 0.16% to 19,055.80, Taiwan’s Taiex rose 0.51% to 7,206.39, South Korea’s Kospi added 0.29% to 1,813.93 and Singapore’s straits Times Index was up 0.68% to 2,866.19.
Afiin Investment Bank Bhd vice president and head of retail research Dr Nzri Khan in a note Friday said that with a bounce on Thursday near 1,590 level, the FBM KLCI had established important bullish short-term support levels to watch going forward.
He said it was important to realise that major trend reversals occur in stages.
Nazri said a short-term breakdown was normally followed by a medium-term breakdown and then a long-term breakdown, which are yet to be foreseen in the case of FBM KLCI.
“Currently, the stock market remains in a long-term uptrend, medium-term uptrend and short-term sideways trend.
“Of course, on the fundamental font, we note that stocks are slowly attracting cautious buyers but other asset classes are still fluid as worries about the eurozone debt crisis, and a reluctance to make direct bets dominate session ahead of the EU summit,” he said.
Among the gainers at mid-morning, Bat was up RM1.24 to RM56.34, LKLCC Property jumed 53 sen to a fresh record high of RM4.84, Petronas Dagangan up 24 sen to RM21.48, while United Plantations, KLK, Can One and MNRB added eight each to RM25.78, RM23.08, RM2.53 and RM2.96 respectively.
Ingenuity Solutions was the most actively trade counter with 33.29 million shares done. The stock added one sen to 11 sen.
Other actives included Flonic, Luster, GPRO and MBF Holdings warrants.
Decliners at mid-morning included Delloyd, Tradewinds, GAB, Star, Ewein, Aeon, Tong Herr and KKB.