KL shares end lower as oil prices continue to fall

By BERNAMA

The benchmark FTSE Bursa Malaysia KLCI (FBM KLCI) closed 2.74 points lower at 1,738.10 today, on lack of buying in blue chips, coupled with the declining global oil prices, dealers said.

A dealer said oil prices slid to a fresh five-year low, putting pressure on commodity-linked currencies and most Asian bourses.

“As Malaysia is one of the oil exporters, the drop in oil prices will further weaken local equities, especially those heavyweights in the oil and gas-related sector.

“The price for the Brent crude is now US$65 per barrel and it is going to stay at that level for up to seven months until the global economy improves,” he said.

The dealer also added that the local bourse could regain support if the Organisation of the Petroleum Exporting Countries (Opec) decided to change its production policy.

Regionally, Japan’s Nikkei 225 fell 45.03 points to 17,818.38, Hong Kong’s Hang Seng trimmed 561.84 points to 23,485.83, and Indonesia’s Jakarta Composite was 21.70 points lower at 5,122.31.

Losers trounced gainers 646 to 216, while 239 counters were unchanged, 616 untraded, and 11 others suspended.

Total volume slipped to 1.4 billion units worth RM1.7 billion from 1.3 billion units worth RM1.5 billion on Monday.

Oil-and-gas-linked companies, Petronas Gas was down 48 sen to RM21.50 and SapuraKencana fell 7 sen to RM2.45.

Maybank was flat at RM8.87, TNB eased 2 sen to RM13.84, and Public Bank was 8 sen lower to RM18.10.

The FBM Emas Index decreased 39.6 points to 11,954.20, FBMT100 Index fell 28.47 points to 11,685.14, FBM 70 dropped 70.52 points to 13,032.12, FBM ACE trimmed 170.30 points to 5,726.77, and the FBM Emas Syariah Index was 60.43 points lower at 12,341.80.

On a sectoral basis, the Industrial Index lost 21.12 points to 3,147.32, the Plantation Index contracted 69.71 points to 7,861.59, but the Finance Index rose 15.02 points to 15,535.71.

Among actives, Compugates added 0.5 sen to 5.5 sen, Sumatec inched down 1.5 sen to 21 sen, and Bumi Armada slipped 3 sen to RM1.06.

Main Market volume rose to 931.18 million units worth RM1.6 billion from 856.93 million units worth RM1.4 billion on Monday.

Turnover on the ACE Market improved to 322.7 million shares valued at RM68.22 million against 249.57 million shares valued at RM50.38 million yesterday.

Warrants advanced to 186.97 million units worth RM77.82 million versus 136.81 million units worth RM52.88 million.

Consumer products accounted for 51.49 million shares traded on the Main Market, industrial products (114.74 million), construction (50.61 million), trade and services (478.9 million), technology (50.35 million), infrastructure (21.32 million), Spac (26.32 million), finance (36.95 million), hotels (518,800), properties (84.4 million), plantations (10.15 million), mining (25,000), REITs (5.12 million), and closed/fund (259,000).