Rebound Predicted For Malaysia Stock Market

(RTTNews) - The Malaysia stock market on Monday snapped the two-day winning streak in which it had collected more than 20 points or 1.2 percent. The Kuala Lumpur Composite Index now sits just beneath the 1,680-point plateau although it may bounce higher again on Tuesday. The global forecast for the Asian markets is cautiously optimistic on bargain hunting, with support expected especially among the technology and oil sectors. The European markets were soft and the U.S. bourse were mostly higher and the Asian markets figure to follow the latter lead. The KLCI finished modestly lower on Monday as losses from the financial shares and telecoms were mitigated by support from the plantations. For the day, the index shed 13.91 points or 0.82 percent to finish at 1,679.52 after trading between 1,676.95 and 1,684.14. Among the actives, 99 Speed Mart Retail climbed 1.21 percent, while AMMB Holdings retreated 1.53 percent, Axiata skidded 1.02 percent, Celcomdigi contracted 1.42 percent, Gamuda and Maybank both dropped 0.93 percent, IHH Healthcare crashed 2.82 percent, IOI Corporation gained 0.72 percent, Kuala Lumpur Kepong and Telekom Malaysia both dipped 0.40 percent, Maxis sank 0.91 percent, MISC lost 0.61 percent, MRDIY plummeted 3.11 percent, Nestle Malaysia tanked 2.42 percent, Petronas Chemicals rallied 2.03 percent, Petronas Dagangan cratered 3.33 percent, Petronas Gas perked 0.11 percent, PPB Group shed 0.62 percent, Press Metal surrendered 2.20 percent, Public Bank tumbled 1.85 percent, QL Resources added 0.55 percent, RHB Bank slumped 1.06 percent, Sime Darby declined 1.46 percent, SD Guthrie jumped 1.86 percent, Sunway fell 0.57 percent, Tenaga Nasional rose 0.42 percent, YTL Corporation plunged 2.90 percent, YTL Power stumbled 1.93 percent and CIMB Group was unchanged.

The lead from Wall Street suggests mild upside as the major averages opened higher on Monday but faded as the day progressed, with the Dow slipping into the red.

The Dow shed 80.77 points or 0.16 percent to finish at 50,786.01, while the NASDAQ jumped 220.23 points or 0.86 percent to close at 25,929.66 and the S&P 500 added 21.99 points or 0.30 percent to end at 7,405.73.

The rebound on Wall Street comes amid bargain hunting following last Friday's plunge, which dragged the tech-heavy NASDAQ down to its lowest closing level in a month.

The upside may be limited by growing concerns about the outlook for interest rates, as last week's robust U.S. jobs report led traders to ramp up bets on a Federal Reserve rate hike this year.

Crude oil prices edged higher on Monday as delays in the reopening the Strait of Hormuz persists. West Texas Intermediate crude for July delivery was up $0.52 or 0.57 percent at $91.06 per barrel.