Kuala Lumpur shares close lower on profit-taking UPDATE 12/12/2006
Gaming group Genting and unit Resorts World, however, managed to buck the
trend and finish the day in positive territory. The two stocks posted sharp
gains yesterday after news that Genting won the license to build an
integrated casino resort in Singapore.
The Kuala Lumpur Composite Index (KLCI) closed down 13.28 points or 1.21
pct to 1,088.42.
The technology sector sub-index registered the biggest fall in percentage
terms, falling 0.88 point or 3.12 pct to 27.36.
The construction sector sub-index lost 5.47 points or 2.70 pct to 196.80,
followed by the financial sector sub-index, which fell 208.66 points or 2.38
pct to 8,544.48.
Losers outnumbered gainers 826 to 133, with 202 stocks unchanged and 152
counters untraded.
Trading volume was 1.23 bln shares valued at 1.94 bln rgt.
Among index heavyweights, Tenaga fell 0.30 rgt or 2.59 pct to 11.30,
Maybank lost 0.30 rgt or 2.54 pct to 11.50 while Telekom Malaysia added 0.10
rgt or 1.05 pct to 1.65 after saying its unit Multinet Pakistan has sealed
deals worth about 40 mln usd with Telenor Pakistan.
Genting and unit Resorts were both higher as investors remain positive
about the group's prospects after securing the Sentosa integrated casino
resort project, with Genting finishing the day up 0.50 rgt or 1.56 pct to 32.
50 and Resorts up 0.10 rgt or 0.69 pct to 14.50.
Nevertheless, Eon Capital Securities technical analyst Lee Cheng Hooi
said Genting looks "tricky" from a technical perspective, and he expects
Genting's share price to come down on profit-taking soon.
Measat Global was sharply lower on profit-taking after the successful
launch of the Measat-3 satellite this morning, falling 0.19 rgt or 6.48 pct
to 2.74.
Astro fell 0.10 rgt or 1.79 pct to 5.50, even though analysts expect the
pay TV operator to benefit from the launch of the Measat-3 satellite,
allowing it to add more new channels and reprice its packages.
Berjaya Capital was lower as profit-taking wiped out earlier gains,
falling 0.03 rgt or 2.07 pct to 1.42, off a high of 1.51 rgt.
The company yesterday said it plans to sell a 30 pct stake in unit
Berjaya General Insurance Bhd to Sompo Japan for 101 mln rgt.
National auto maker Proton was lower on profit-taking after recent gains
amid speculation that German carmaker Volkswagen has come close to sealing a
deal with Proton, dealers said.
The stock slid 0.45 rgt or 7.14 pct to 5.85.
Financial company Pacificmas was sharply lower as investors were upset by
the news that talks between the company and Great Eastern Holdings Ltd over a
proposed restructuring scheme involving a merger between the two companies
have been terminated.
Metroplex, a PN17 or financially-troubled company, was sharply lower,
after Bursa Malaysia decided to commence delisting procedures against the
company. The stock was down 0.015 rgt or 33.33 pct to 0.03.
Mobile phone operator Digi was higher as investors expect the company to
continue to return cash to shareholders given parent Telenor has to pare down
its shareholding to 49 pct before Dec 2007. Digi advanced 0.10 rgt or 0.68
pct to 14.70.
Rival Maxis also gained on improved earnings prospects, especially its
Indian operations, dealers said. The stock rose 0.20 rgt or 1.90 pct to 10.70.

For tomorrow...market to rebound after correction...

For CPO Market...correction toward 1800 levels...

STOCK TO WATCH

7165 APP CL 0.50 7002 NAKA CL 0.70