Kuala Lumpur shares close firmer in technically-driven trade-
UPDATE 3 / 7 /006
- Share prices closed slightly higher in
technically driven trade led by blue chips, with the market lacking fresh
fundamental leads following last week's rally, dealers said.
Many investors kept to the sidelines to see which countries would follow
the US lead in raising key interest rates, they said.
They said the market could still see some follow-through buying of blue
chips tomorrow, with heavyweight counters like Genting and British American
Tobacco particularly attracting further interest.
The Kuala Lumpur Composite Index (KLCI) closed up 4.45 pts or 0.49 pct at
919.14.
The FTSE Bursa Malaysia Emas index was up 14.28 points at 5987.95.The
Second Board Index gained 0.54 pts to 94.21.Trading volume was 601.39 mln
shares valued at 736.46 mln rgt.
Gainers outnumbered losers 377 to 330, with 283 stocks unchanged and 329 counters untraded.
The ringgit was quoted at 3.6620/6670 to the dollar, against Friday's
close of 3.6615/3.6665.
"Follow-through buying is likely to happen again tomorrow, with
(speculative play in) heavyweights like Genting, IOI Corp and British
American Tobacco" pushing their prices higher, a local brokerage dealer said.
"However, further gains are also likely to encounter selling pressure
tomorow on profit-taking activity," the dealer added.
He said the market is expected to test resistance at 920 points before
yielding to profit-taking.
Dealers said the market is also likely to trade rangebound tomorrow as
investors refrain from taking strong positions ahead of clear leads.
Among blue chips, British American Tobacco closed up 0.50 rgt at 40.00,
IOI Corp advanced 0.30 rgt to 14.60, Genting gained 0.50 rgt to 24.00, while
Tenaga Nasional slipped 0.05 rgt to 9.15 rgt.
Tanjung Offshore was flat at 13.50 on profit-taking after announcing its
unit had won a new charter contract.
Rexit was sharply higher by 0.13 rgt at 1.79 as investors positioned
themselves for the stock's one-for-three bonus issue, with the stock's
ex-date today.
Megan Media edged up 0.025 rgt to 0.76 on improved results for the fourth
quarter to April.
BIMB Holdings jumped 0.20 rgt or 16.95 pct to 1.38 on news that it has
entered into an deal involving the sale of stakes in subsidiary Bank Islam
Malaysia Bhd for more than 1 bln rgt.
At the close, the three-month interbank rates were quoted at 3.90/92,
while the overnight rate was quoted at 3.40/50.

For KLOFF we expected it to trade up in the morning before 9.30am...
Target 910 point...Beware of profit taking at 915 to 916 level...

For CPO we expecting market to set in profit taking after few days to rally...
Target 1465...

Regard

Anthony Wong