Malaysia Shares May Extend Wednesday's Gains

(RTTNews) - The Malaysia stock market on Wednesday snapped the two-day slide in which it had fallen almost 25 points or 1.7 percent. The Kuala Lumpur Composite Index now rests just beneath the 1,490-point plateau and it's expected to open higher again on Thursday.

The global forecast for the Asian markets is upbeat on an improved outlook for interest rates. The European and U.S. markets finished higher and the Asian bourses are expected to open in similar fashion.

The KLCI finished modestly higher on Wednesday as gains from the telecoms and industrials were capped by weakness from the plantations and glove makers, while the financials were mixed.

For the day, the index advanced 11.84 points or 0.80 percent to finish at 1,488.80 after trading between 1,464.81 and 1,489.78.

Among the actives, Axiata soared 5.18 percent, while CIMB Group fell 0.34 percent, Dialog Group strengthened 2.76 percent, Digi.com jumped 3.09 percent, Genting Malaysia added 0.38 percent, Hartalega Holdings slumped 1.70 percent, IHH Healthcare tumbled 2.52 percent, INARI declined 1.85 percent, IOI Corporation skidded 1.55 percent, Kuala Lumpur Kepong dropped 1.14 percent, Maybank shed 0.80 percent, Maxis surrendered 1.79 percent, MRDIY spiked 5.00 percent, Petronas Chemicals rose 0.23 percent, PPB Group surged 6.04 percent, Press Metal advanced 1.04 percent, Public Bank collected 2.04 percent, RHB Capital sank 0.88 percent, Sime Darby tanked 2.27 percent, Sime Darby Plantations retreated 2.07 percent, Telekom Malaysia gained 0.36 percent, Tenaga Nasional rallied 4.43 percent, Top Glove lost 0.57 percent and Genting and MISC were unchanged.

The lead from Wall Street ends up sharply positive as the major averages opened fairly flat and stayed that way before exploding higher late in the day.

The Dow surged 737.24 points or 2.18 percent to finish at 34,589.77, while the NASDAQ soared 484.22 points or 4.41 percent to end at 11,468.00 and the S&P 500 rallied 122.48 points or 3.09 percent to close at 4,080.11.

The rally on Wall Street came as Federal Reserve Chair Jerome Powell's remarks provided further evidence the central bank plans to slow its aggressive pace of interest rate hikes as soon as next month.

The Fed's next monetary policy meeting is scheduled for December 13-14, with CME Group's FedWatch Tool currently indicating a 77.0 percent chance of a 50-basis point rate hike and a 23.0 percent chance of a fifth straight 75-basis point rate hike.

In economic news, payroll processor ADP noted slower than expected private sector job growth in November, while the Commerce Department reported an unexpected upward revision to GDP growth in the third quarter.

Crude oil futures surged on Wednesday after data showed a steep drop in U.S. crude inventories last week. Expectations of increased demand from China and a weaker dollar also contributed to the jump in oil prices. West Texas Intermediate Crude oil futures for January ended higher by $2.35 or 3 percent at $80.55 a barrel.