The Malaysian stock market has been on an upward trend for the past two sessions, gaining nearly 10 points or 0.6 percent. The Kuala Lumpur Composite Index (KLCI) is now perched just below the 1,675-point mark, but it could face some resistance on Thursday.
The global outlook for Asian markets appears bleak, with many overbought regional exchanges likely to experience profit-taking. European and U.S. markets have generally seen declines, and it seems likely that Asian markets will follow suit.
On Wednesday, the KLCI inched higher, buoyed by gains in plantations and telecommunications sectors, although these were offset by weaknesses in the financial sector. Specifically, the index increased by 3.01 points, or 0.18 percent, to close at 1,673.38 after fluctuating between 1,665.19 and 1,675.73.
Regarding specific stocks, Axiata declined by 1.19 percent, while Celcomdigi rose by 0.81 percent. CIMB Group slipped by 0.12 percent, IHH Healthcare saw a rise of 0.42 percent, and IOI Corporation advanced by 0.79 percent. Other notable changes included Maxis dropping 0.51 percent, Maybank losing 0.37 percent, and MISC gaining 0.12 percent. Noteworthy were MRDIY’s surge of 4.33 percent and Sime Darby’s increase of 4.31 percent. Several companies experienced declines, such as Public Bank, which fell 1.07 percent, and RHB Bank, which tumbled 1.90 percent. Stocks like Genting Malaysia, Genting, and Kuala Lumpur Kepong remained unchanged.
On Wall Street, the major indices turned mostly negative after starting the session mixed on Wednesday. The Dow Jones Industrial Average plummeted by 293.47 points, or 0.70 percent, to finish at 41,914.75. Meanwhile, the NASDAQ edged up 7.68 points, or 0.04 percent, to close at 18,082.21, and the S&P 500 dipped 10.67 points, or 0.19 percent, ending at 5,722.26.
Wall Street's mixed performance came as traders showed uncertainty about the market's near-term outlook following recent gains that pushed the Dow and the S&P 500 to record highs.
In economic news, the Commerce Department reported a significant pullback in new home sales in August. Upcoming data on weekly jobless claims, durable goods orders, and personal income and spending, as well as a speech from Fed Chair Jerome Powell, are also being closely watched.
Meanwhile, oil prices fell sharply on Wednesday due to uncertainties about demand and diminished concerns over supply disruptions in Libya. West Texas Intermediate Crude oil futures for November dropped $1.87, or 2.6 percent, settling at $69.69 per barrel.
