KUALA LUMPUR — As the last day of the week resumed trading, the local market saw a strong uptake in early trade, despite a slip on the main index, the FTSE Bursa Malaysia KLCI (FBM KLCI).
As at 9.06am, the market benchmark lost ground in early trade as it slipped 5.95 points to 1,513.48, with 12 counters in the red, 15 counters untraded and three counters recorded marginal gains.
On the broader market, gainers powered above losers 240 to 109, while 243 counters were unchanged, 1,555 untraded and 40 others suspended.
Total volume stood at 418.65 million units worth RM127.25 million.
An analyst said the strong uptake in the early session was driven by industrial stocks on the main market, healthcare warrants and technology on the ACE market.
However, the heavyweights seemed to be moving against the market momentum, taking a cue on the latest local political play, as well as uncertainty surrounding the US stimulus package.
"Despite the current positive talks between the White House and the Senate, investors are still concerned to put their bets on a volatile situation as the US President has history of backtracking his words in a short period of time," she said.
Bloomberg reported that the White House shifted tack on Thursday, signalling that the administration is again leaning toward a large-scale stimulus bill after House Speaker Nancy Pelosi pushed back on the idea of individual measures for parts of the economy hit by the Covid-19 crisis.
The prospects for an agreement have proved volatile since Trump pulled his negotiators out of talks on a comprehensive package on Tuesday.
Stocks, too, have proved volatile, with airline shares rising and falling on shifting indications of the potential for a separate aid package for the industry.
The heavyweight counters declined in the early session as Maybank slipped eight sen to RM7.22, Top Glove shed seven sen to RM8.75, Public Bank erased 18 sen to RM15.82, and Petronas Gas dropped 12 sen to RM16.82, also being the top losers in early trade.
On the actives, oil and gas emerged as the top gainers, with Borneo Oil and Sapura Energy both inched half-a-sen to 4.5 sen and 11 sen, respectively.
On the index board, the FBM Emas Index decreased 28.89 points to 10,929.28 and the FBM Emas Shariah Index was 49.67 points lower at 13,051.
The FBM 70 erased 0.87 of-a-point to 14,362.32, the FBMT 100 Index weakened 31.63 points to 10,751.17 points and the FBM ACE leapt 19.81 points to 10,505.49.
Sector-wise, the Financial Services Index was 81.52 points lower at 12,498.64, the Plantation Index added 6.81 points to 7,038.13, and the Industrial Products and Services Index was 0.18 of-a-point stronger at 141.52. — Bernama, October 9, 2020
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