The stock market in Malaysia has seen an inconsistent performance over the last eight trading days, with alternating positive and negative results, following a two-day decline where it slid over 10 points or 0.6 percent. Currently, the Kuala Lumpur Composite Index is barely over the 1,535-point mark and might suffer further losses on Wednesday.
The international prognosis for Asian markets implies more consolidation due to worries about future interest rates. European markets saw mixed results with minimal changes, while the American exchanges experienced significant losses. It's forecasted that Asian markets may follow suit.
On Tuesday, the KLCI concluded with a slight decrease as plantations experienced losses and finance and telecom sectors showed mixed performances.
In that day, the index fell by 2.29 points or 0.15 percent, closing at 1,536.98 after fluctuating between 1,518.84 and 1,537.92.
Notably, Celcomdigi saw a 0.70 percent drop, while CIMB Group’s rally increased by 1.24 percent. Other companies such as Genting, Genting Malaysia, and Maybank saw substantial growth, while IOI Corporation and Kuala Lumpur Kepong experienced notable losses among others.
Wall Street's influence was generally negative as leading averages opened lower on Tuesday and remained so throughout the day, ending close to daily minimums.
The Dow plunged by 404.64 points or 1.04 percent, closing at 38,585.19, while NASDAQ and the S&P 500 also saw significant dips.
Investors began to capitalize on the recent bullish trend in the markets, leading to record closing highs for the S&P 500 and NASDAQ last week.
The unclear future of interest rates played a significant role in market fluctuations, particularly given the imminent congressional testimony by Federal Reserve Chair Jerome Powell. Powell is scheduled to address the House Financial Services Committee today and the Senate Banking Committee on Thursday.
In more economic news, indicators from the US showed that the country's service sector growth slowed down more than originally forecasted in February. A decrease in new orders for US-manufactured goods was also reported in January.
Oil futures also settled lower on Tuesday, marking the second consecutive session of declines due to demand concerns. The April futures for West Texas Intermediate Crude oil ended down by $0.59 at $78.15 a barrel.
