KUALA LUMPUR: Bursa Malaysia gave up earlier gains and closed the morning session slightly lower due to a lack of new catalysts.
At 12.30 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) shaved 0.64 of a point, or 0.04 per cent, to 1,600.58 compared to Thursday's close of 1,601.22.
The barometer index, which opened 2.24 points better at 1,603.46, moved between 1,600.39 and 1,604.07 during the session.
On the broader market, decliners led gainers 509 to 500 while 461 counters were unchanged, 870 untraded and 26 others suspended.
Mirroring the mixed Asian market, Hong Leong Investment Bank Bhd (HLIB) said KLCI lost 3.5 pts at 1,601.2 on healthy profit-taking pullback, with average daily trading volume (ADTV) shed 12.3 per cent to RM3.13 billion.
Despite the headline loss, market breadth returned to positive territory at 1.3 from 0.99 previously, boosted by Bank Negara's optimism that the Malaysian economy is expected to improve further while inflation will be moderate.
"We reiterate that the current rally could face formidable resistance at 1,620-1,642 territory, potentially triggering profit-taking activities towards major supports near 1,588 (10D MA) and 1,565 (resistance-turned- support or 20D MA) levels amid overbought signals," it said in a note.