KUALA LUMPUR: Bursa Malaysia opened higher, following positive momentum from Wall Street after US Federal Reserve Chair Jerome Powell hinted at a possible change in the future interest rate policy.
At 9.05am, the FTSE Bursa Malaysia KLCI (FBM KLCI) rose 6.12 points to 1,641.86 from the previous close of 1,635.74.
The index opened 4.08 points higher at 1,639.82.
On the broader market, gainers led decliners by 250 to 104, with 232 counters remaining unchanged. Turnover was at 102.94 million units valued at RM69.42 million.
Rakuten Trade Sdn Bhd equity research vice-president Thong Pak Leng said last week, the FBM KLCI declined to below the 1,640 level due to the absence of buyers ahead of the weekend.He added that daily volume traded remains low at three billion shares as many traders were sidelined.
"Nonetheless, we believe buying should resume taking the positive cue from Wall Street coupled with the dovish statement from the Fed. "Therefore, we expect the index to hover within the 1,635-1,645 range today," he told Business Times.
Thong also said that the recent news that Amazon Web Services (AWS) will invest US$6.2 billion in Malaysia should add further impetus to the already burgeoning tech sector, with the floodgates to remain open.