FBM KLCI extends uptrend on relief over 90-day US-China tariff truce

KUALA LUMPUR: Bursa Malaysia opened lower but quickly reversed course to trade higher on Tuesday, lifted by relief over a 90-day tariff truce between the United States and China.
The truce halts planned US tariffs of up to 145% on Chinese goods and Chinese tariffs of up to 125% on US goods, Reuters reported.
The FBM KLCI rose 9.73 points, or 0.62%, to 1,572.97 at 9.28 am, buoyed by gains in PETRONAS-linked counters. The index had earlier opened 1.41 points lower at 1,561.83.
Berjaya Research Sdn Bhd said short-term profit-taking may emerge, given the negative developments on Wall Street overnight and the recent market gains.
"A pullback could prove to be healthy, which often helps markets to digest recent advances and lay the groundwork for renewed momentum.
"Looking ahead, investors will be tuning towards U.S. inflation data slated to be released later tonight which could provide further signals on the timing of potential interest rate cuts," the research house said.
"With the local bourse solidifying its position above SMA200, we keep our view that the immediate resistance is located at 1,566 points, followed by 1,570 points. Meanwhile, the immediate support is envisaged at 1,540 points, and thereafter at 1,532 points," it added.
PETRONAS Dagangan rose 38 sen to RM23.28, Kuala Lumpur Kepong added 26 sen to RM19.68, PETRONAS Gas climbed 24 sen to RM19 and F&N gained 20 sen to RM28.20.
Country View slid 15 sen to RM2.16, Keck Seng fell 10 sen to RM5.35, Malaysian Pacific Industries eight sen to RM21.48 and KESM lost seven sen to RM2.51.
Classita, the most actively traded counter on Bursa Malaysia, rose 11.11% to 10 sen with 169.02 million shares changing hands, while NexG gained 2.5 sen to 40 sen with 48.97 million shares traded.
Overnight, the Dow Jones Industrial Average closed 0.45% lower to 43,975.09, the S&P 500 lost 0.25% to 6,373.45, and the Nasdaq Composite lost 0.3% to 21,385.40.

Sumber : thestar.com.my