Malaysia Bourse May Extend Tuesday's Gains

(RTTNews) - The Malaysia stock market bounced higher again on Tuesday, one day after ending the two-day winning streak in which it had gathered almost 10 points or 0.6 percent. The Kuala Lumpur Composite Index now rests just above the 1,670-point plateau and it may add to its winnings on Wednesday.

The global forecast for the Asian markets is positive on continued optimism over the outlook for interest rates. The European and U.S. markets saw mild upside and the Asian bourses figure to open in similar fashion, although some of the more oversold markets may correct to the downside.

The KLCI finished modestly higher on Tuesday following gains from the plantations and telecoms, while the financial shares were mixed.

For the day, the index collected 5.07 points or 0.30 percent to finish at 1,670.37 after trading between 1,665.51 and 1,671.47.

Among the actives, Axiata advanced 0.80 percent, while CIMB Group shed 0.60 percent, Genting gathered 0.24 percent, Genting Malaysia and SD Guthrie both added 0.43 percent, Kuala Lumpur Kepong climbed 1.17 percent, Maxis rose 0.25 percent, Maybank gained 0.37 percent, MISC sank 0.61 percent, MRDIY surged 4.52 percent, Petronas Chemicals perked 0.18 percent, PPB Group rallied 1.26 percent, Press Metal dropped 1.03 percent, Public Bank lost 0.43 percent, QL Resources declined 1.08 percent, RHB Bank collected 0.64 percent, Sime Darby tumbled 2.11 percent, Sunway soared 2.63 percent, Telekom Malaysia was up 0.15 percent, Tenaga Nasional spiked 2.04 percent, YTL Corporation retreated 1.47 percent, YTL Power jumped 1.81 percent and Celcomdigi, IHH Healthcare and IOI Corporation were unchanged.

The lead from Wall Street is cautiously optimistic as the major averages opened slightly higher on Tuesday, bounced back and forth across the line and finally ended mixed and little changed.

The Dow added 83.57 points or 0.20 percent to finish at 42,208.22, while the NASDAQ gained 100.25 points or 0.56 percent to end at 18,074.52 and the S&P 500 rose 14.36 points or 0.25 percent to close at 5,732.93.

The strength that emerged on Wall Street came on continued optimism for more rate cuts from the Federal Reserve in the coming months.

The upside was limited by concerns for the economy after the Conference Board reported a notable deterioration in U.S. consumer confidence in September.

Oil prices rallied on Tuesday as concerns about the outlook for demand eased after the Chinese central bank announced a slew of stimulus measures to boost the nation's economy. An escalation in tensions in the Middle East, and reports of a new storm in Gulf of Mexico also contributed to the rise in oil prices. West Texas Intermediate Crude oil futures ended up by $1.19 or about 1.7 percent at $71.56 a barrel.