corporate

Bursa Malaysia kicks off week higher riding on optimism in the economy

KUALA LUMPUR:  Bursa Malaysia started the week on a positive note, bolstered by a better-than-expected 5.9 per cent gross domestic product growth at home amid hopes for a US rate cut soon.

At 9.10am, the FTSE Bursa Malaysia KLCI (FBM KLCI) rose 3.09 points to 1,626.99 from last Friday's close of 1,623.90.

The index began the day 1.24 points higher at 1,625.14.

On the broader market, gainers outnumbered decliners 234 to 181, with 280 counters unchanged.

Turnover was at 235.02 million units worth RM124.73 million.

Rakuten Trade Sdn Bhd equity research vice-president Thong Pak Leng said last week the FBM KLCI closed on a weekly high supported by persistent buying from foreign funds.

He believes that the strengthening ringgit may also play a crucial role in attracting inflow of foreign funds.

"Thus, we expect the index to trend within the 1,620-1,635 range today."

"It is pivotal that the index breaks the 1,630 mark decisively to resume its uptrend going forward," he told Business Times.

As for crude palm oil, Thong said prices have declined to almost the year's low circa to RM3,700 per tonne amidst the stronger ringgit.

Wall Street ended higher last week on the back of a much stronger US retail sales and decline in weekly jobless claims.

Thong said all major indices ended positively with the Dow Jones Industrial Average (DJIA) adding 97 points while the Nasdaq rose by 37 points.

Most Popular
Related Article
Says Stories