Additional Support Predicted For Malaysia Stock Market

(RTTNews) - The Malaysia stock market bounced higher again on Tuesday, one session after snapping the two-day winning streak in which it had gathered almost 15 points or 1 percent. The Kuala Lumpur Composite Index new rests just beneath the 1,520-point plateau and it may extend its gains on Wednesday.

The global forecast for the Asian markets suggests mild upside, with gains likely limited by profit taking from the oil and technology sectors. The European markets were up and the U.S. bourses were mixed and the Asian markets figure to split the difference.

The KLCI finished sharply higher on Tuesday following gains from the plantations and telecoms, while the financials and industrials were mixed.

For the day, the index advanced 14.77 points or 0.98 percent to finish at the daily high of 1,518.78 after trading as low as 1,503.86. Volume was 2.693 billion shares worth 2.216 billion ringgit. There were 469 gainers and 399 decliners.

Among the actives, Axiata surged 5.84 percent, while CIMB Group rose 0.37 percent, Dialog Group strengthened 2.15 percent, Digi.com soared 5.75 percent, Genting added 0.85 percent, Genting Malaysia gathered 1.35 percent, Hartalega Holdings plummeted 4.84 percent, INARI advanced 1.03 percent, IOI Corporation increased 1.44 percent, Kuala Lumpur Kepong gained 0.63 percent, Maybank collected 0.67 percent, Maxis accelerated 3.92 percent, MISC was up 0.14 percent, MRDIY improved 1.91 percent, Petronas Chemicals shed 0.34 percent, PPB Group perked 1.31 percent, Public Bank fell 0.21 percent, Sime Darby tumbled 1.29 percent, Sime Darby Plantations jumped 2.85 percent, Telekom Malaysia rallied 3.57 percent, Tenaga Nasional climbed 1.95 percent, Top Glove spiked 5.03 percent and RHB Capital, IHH Healthcare, Press Metal and Petronas Gas were unchanged.

The lead from Wall Street is mixed as the major averages opened on opposite sides of the unchanged line, rallied mid-day but still finished the same way.

The Dow jumped 239.57 points or 0.71 percent to finish at 34,152.01, while the NASDAQ fell 25.50 points or 0.19 percent to close at 13,102.55 and the S&P 500 rose 8.06 points or 0.19 percent to end at 4,305.20.

The continued advance by the Dow was partly due to strong gains by Walmart (WMT) and Home Depot (HD) after both companies reported better than expected second quarter results.

Buying interest may also have been generated in reaction to a report from the Federal Reserve showing U.S. industrial production increased more than expected in July.

Traders largely shrugged off a Commerce Department report showing new residential construction tumbled by much more than expected last month.

Oil prices fell sharply Tuesday on worries about the outlook for energy demand and on a potential increase in supply from OPEC. West Texas Intermediate Crude oil futures for September sank $2.88 or 3.2 percent at $86.53 a barrel.