Kuala Lumpur shares close mixed; KLCI up ahead of economic data - UPDATE 29/8/2006
- Share prices closed mixed in lackluster trade,
with the benchmark index supported by local institutional funds' interest in
select blue chips ahead of the release tomorrow of second-quarter economic
data and the national budget on Friday, dealers said.
They said a string of good corporate results reported by heavyweights
like Malayan Banking helped boost interest in blue chips.
The Kuala Lumpur Composite Index (KLCI) was up 2.26 points or 0.24 pct at
953.22.
The FTSE Bursa Malaysia 30 large-cap was up 14.61 points at 6,178.72,
while the second board index was down 0.17 points at 83.57.
Losers outnumbered gainers 381 to 312, with 336 counters unchanged and
290 stocks untraded.
Trading volume was 415.02 mln shares valued at 680.74 mln rgt.
TA Securities, in a note to clients, said trading was rangebound as
investors keenly awaited the second-quarter GDP numbers, due out tomorrow,
for fresh leads on the domestic economy.
Many investors also kept to the sidelines awaiting the unveiling of
Budget 2007 on Friday. The brokerage said other than these factors, the
market lacked trading incentives.
"The market's movement remained rangebound, with investors continuing to
be sidelined ahead of the national budget, with no other major news to excite
investor interest," TA Securities technical analyst Stephen Soo said.
Soo said certain blue-chip companies like Malayan Banking reported
better-than-expected results, which helped attract some buying interest.
A local brokerage dealer sees another quiet trading tomorrow.
"Trading will continue to be lackluster tomorrow, ahead of the second
quarter GDP data due out later in the day," the dealer said.
He said investors will continue to be cautious ahead of fresh leads,
although select blue chips may see further gains on follow-through buying by
local institutional investors.
TA Securities sees the KLCI continuing to enjoy support above the
950-point level in the near term, but with lower-liners pulled in a downward
direction given the absence of a strong catalyst.
Among key blue chips, BAT Malaysia closed up 0.25 rgt at 40.50, IOI Corp
advanced 0.50 rgt to 16.90, Dutch Lady rose 0.20 rgt to 10.00 and Nestle
Malaysia gained 0.20 rgt to 23.90.
Iris Corp was up 0.01 rgt or 4.88 pct at 0.215 despite a media report
that the Securities Commission is investigating alleged manipulation of the
stock.
Ireka Corp was sharply higher by 0.035 rgt or 5.43 pct at 0.68 on news
that the construction firm plans to sell the Westin Kuala Lumpur Hotel for
455 mln rgt.
Pantai Holdings, a health care group, added 0.10 rgt to 2.61on news that
state-owned investment firm Khazanah Nasional Bhd, together with its
Singapore joint-venture partner, will make a general offer of 2.65 per share
to Pantai shareholders.
Wah Seong Corp, a pipe coating firm, was down 0.03 rgt at 2.20 after
reporting a net loss of 2.97 mln rgt for the second quarter to June,
reversing a net profit of 30.61 mln rgt a year earlier.
Ranhill dropped 0.06 rgt to 1.24 after posting a net loss of 49.47 mln
rgt for the fourth quarter to June, reversing a net profit of 8.98 mln rgt
from a year earlier.
Bumiputra-Commerce Holdings advanced 0.15 rgt to 6.40 after its net
profit for the second quarter to June more than doubled.
At the close, the ringgit was traded at 3.6780/6830 to the dollar,
against the previous close of 3.6805/6855.

For tomorrow...SHORT KLOFF...target 900 points...

For CPO market...market correction may come to 1500 points...

Regard

Anthony Wong