KUALA LUMPUR: Bursa Malaysia closed higher above the psychological level of 1,600, supported by persistent buying in utilities and industrial stocks.
At 5pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) rose 6.79 points or 0.43 per cent to 1,602.99 compared with Monday's close of 1,596.20.
The benchmark index opened 0.44 of-a-point firmer at 1,596.64 and reached its intraday high of 1,603.89 in the late afternoon session.
On the broader market, gaines led losers 500 to 428, while 533 counters were unchanged, 962 untraded, and nine suspended.
Turnover declined to 2.01 billion units valued at RM1.54 billion from 2.37 billion units valued at RM2.04 billion yesterday.
UOB Kay Hian Wealth Advisors Malaysia head of investment research Mohd Sedek Jantan said the FBM KLCI advanced for the second consecutive session, closing decisively above the key psychological threshold of 1,600.
"Gains were predominantly led by utilities and industrial stocks, with 24 of the index's constituents recording increases, while only two posted declines.
"The rally appears to be largely fueled by year-end window-dressing activities, as institutional investors reposition portfolios to enhance performance metrics ahead of the year's close," he added.
On the sector front, Sedek said Bursa Malaysia Energy Index stood out as the top- performing sector, rebounding strongly from the previous session's losses.
The recovery was bolstered by Brent crude oil prices, which rose above US$73 per barrel, providing a lift to oil and gas-related counters.
However, Sedek said overall market activity was subdued, with trading volume only at two billion shares as many investors took an early break ahead of the Christmas holiday tomorrow.