Bursa Malaysia succumbs to heavy selling pressure to end broadly lower
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KUALA LUMPUR, March 7 — Heavy selling across-the-board dragged Bursa Malaysia down by 1.95 per cent in tandem with the decline in regional bourses as the Russian-Ukraine tensions continued to hurt investor sentiment, a dealer said.
The FBM KLCI fell 37.53 points to its intraday low of 1,565.57 at 4.28 pm, before gathering steam following nibbling on selected heavyweights led by Nestle, Sime Darby Plantation and MISC to end off its low.
At 5pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) slid 31.38 points to 1,572.56 from 1,603.94 at Friday’s close.
The barometer index opened 2.33 points firmer at 1,606.27 and hit an intraday high of 1,606.56 before succumbing to persistent selling pressure for most part of the day.
Overall market breadth was negative with losers thumping gainers 1,085 to 152, while 234 counters were unchanged, 792 untraded, and 10 others suspended
Total turnover rose to 4.35 billion units worth RM3.75 billion against 3.44 billion units valued at RM3.29 billion last Friday.
Rakuten Trade Sdn Bhd vice-president of equity research Thong Pak Leng said worries about Ukraine crisis seemed to have overshadowed the Labour Department report that showed the United States employment once again jumped by more than expected in February.
“Regionally, key indices closed mostly lower with Hong Kong’s Hang Seng and Japan’s Nikkei slumping 3.87 per cent and 2.94 per cent, respectively due to fears on the impact n the global economy caused by Russia’s invasion of Ukraine,” he told Bernama.
Meanwhile, he said Brent crude oil breached US$130 per barrel at one point today before hovering around the level in the last few days.
“Hence, we reckon inflationary pressure to play a pivotal role in the coming weeks.
“As for the local bourse, the FBM KLCI is testing its immediate support level of 1,570, however, if this level is broken, the next support level will be seen at 1,550, followed by 1,520,” he said.
At the moment, he added, the market will remain cautious given the increasing volatility and market risk, although bargain hunting may emerge as well.
“After taking these factors into consideration, we see the index moving within the 1,560-1,580 range for the week,” he said.
Heavyweights Maybank fell 21 sen to RM8.79, CIMB lost 20 sen to RM4.87, Public Bank eased 11 sen to RM4.31, IHH Healthcare dipped 15 sen to RM6.45, and MR D.I.Y declined 13 sen to RM3.46.
As for the actives, DNeX erased nine sen to 93 sen, SMTrack decreased 2.5 sen to 17 sen, Hibiscus Petroleum rose 10 sen to RM1.34, and Armada was flat at 45 sen.
On the index board, the FBM ACE slumped 359.44 points to 5,148.62, FBM 70 dipped 428.66 points to 12,758.53, FBM Emas Index fell 267.68 points to 11,073.83, FBMT 100 Index slipped 246.10 points to 10,785.03, and FBM Emas Shariah Index contracted 252.94 points to 11,826.43.
Sector-wise, the Financial Services Index gave up 451.51 points to 15,941.72, the Industrial Products and Services Index weakened 3.65 points at 209.57, and the Plantation Index reduced 185.52 points to 8,361.98.
The Main Market volume shrank to 3.10 billion shares worth RM3.49 billion from 3.44 billion shares worth RM3.29 billion on Friday.
Warrants turnover widened to 441.50 million units worth RM54.56 million compared with 374.88 million units worth RM41.36 million previously.
The ACE Market volume increased to 795.77 million shares valued at RM204.82 million versus 689.71 million shares valued at RM213.64 million on Friday.
Consumer products and services counters accounted for 409.13 million shares traded on the Main Market, industrial products and services (854.51 million), construction (145.14 million), technology (422.80 million), SPAC (nil), financial services (137.52 million), property (245.16 million), plantation (212.20 million), REITs (11.66 million), closed/fund (63,500), energy (478.67 million), healthcare (76.02 million), telecommunications and media (35.14 million), transportation and logistics (35.65 million), and utilities (43.73 million). — Bernama