Kuala Lumpur shares close firmer on late support from local funds - UPDATE 14/9/2006
- Share prices closed firmer on late support from
local institutions as well as on bargain-hunting after recent losses, dealer
said.
They said follow-through interest is likely to see the key index opening
higher tomorrow as buying momentum in blue chips increases from local
institutions, which are seen supporting the market at the 950 points level.
The Kuala Lumpur Composite Index (KLCI) closed up 2.85 points or 0.30 pct
at 957.10.
The FTSE Bursa Malaysia 30 large-cap index rose 12.04 points to 6,212.30,
while the second board index eased 0.20 points to 83.21.
The finance sub-index, the biggest gainer among sectors, rose 72.19
points or 2.07 pct to 3,564.15, followed by the mining sub-index which gained
4.41 points or 0.85 pct to 522.03.
Trading volume was 503.44 mln shares valued at 787.14 mln rgt.
Gainers outnumbered losers 391 to 293, with 320 stocks unchanged and 316
counters untraded.
"Buying momentum seemed to be gathering ground in the afternoon session
with some keen buying support in selected blue chips," a local brokerage
dealer said.
He added that bargain-hunting in blue chips and lower liners began to
emerge, especially in the latter part of the afternoon session.
"We could likely see a technical rebound tomorrow as local institutions
try to support the market at the 950 points level. However, the upside is
likely to to be capped by more selling especially from foreign funds," he
added
TA Securities said in a note to clients the revived momentum in
lower-liners after a lackluster showing for nearly two months should spur
further participation from retail investors, with renewed rotational plays
crucial to sustaining interest.
Sector-wise, construction stocks may attract interest again as rotational
plays pick up, it said.
Among blue chips, IOI Corp was up 0.50 rgt at 16.10, Kuala Lumpur Kepong
rose 0.30 rgt to 11.10 , and Transmile advanced 0.30 rgt to 11.80.
MTD Capital gained 0.10 rgt or 5.95 pct to 1.78 on news that the highway
operator has won a 1.4 bln rgt highway project from the government. MTD
Infraperdana gained 0.065 rgt to 1.04 on the contract win.
Pos Malaysia rose 0.32 rgt or 6.93 pct to 4.94, after
government-controlled investment firm Khazanah Nasional again raised its
stake in the company.
Road Builder was up 0.07 rgt at 2.45 on the construction sector's
improved outlook, as well as the company's own earnings prospects.
Esso Malaysia turned flat at 3.70 after bargain-hunting offset earlier
losses after the company dismissed as "speculation" media reports that parent
ExxonMobil Corp is planning to take the firm private by the end of the year.

For tomorow...market may test 960 points again...

For CPO market...market may test 1500 points...

Regard

Anthony Wong