Bursa Malaysia opens in red, tracking weaker Wall Street

KUALA LUMPUR: BURSA Malaysia opened the morning session in the red today, following Wall Street’s weaker performance overnight.

As of 9:08 a.m., the index was down negligible 0.38 points at 1,438.78. It opened slightly lower at 1,439.11 from Thursday’s close of 1,439.160.

Market-wide, decliners outnumbered advanced by 235 to 197, while 261 counters were unchanged.

Overnight, the Dow Jones Industrial Average closed down 107.10 points, or 0.3%, at 30,076.68.

The S&P 500 slipped 0.8% to 3,757.99, while the Nasdaq Composite lost 1.4% to 11,066.81.

TA Securities said stocks were likely to continue falling ahead of the weekend, led by concerns that the US central bank’s hawkish stance to maintain substantial rate hikes to hopefully lower inflation would trigger a slowdown or recession.

“The best support for the index is at 1430, with the July low of 1408 acting as stronger support preventing further selling towards the next crucial support at 1394.

“Immediate resistance for the Overhead Index will be 1480, then 1500, followed by 1512, with significant resistance from the August high near 1528, then 1540,” said the research house.

Rakuten Trade estimated the index to trade in a tight range of 1435-1450 today.

“With the sharp rise in rates in the United States, we expect the technology sector to experience some headwinds today as growth may be affected.

“Nevertheless, some bargain-hunting activity could emerge for banks and telecom operators after back-to-back declines,” he added.

On Bursa Malaysia, Nestlé lost RM1.20 to RM127.20, Kuala Lumpur Kepong reduced 32 sen to RM21.66, Malaysian Pacific Industries lost 30 sen to 28.84 RM and IHH Healthcare decreased 19 sen to 5.81 RM.

Among the gainers, Hextar Technologies rose 15 sen to RM4.20, Computer Forms added seven sen to RM1.36, RHB Bank climbed six sen to RM5.70 and Hong Leong Financial Group advanced six sen at RM18.96.

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