Malaysia Shares May Find Traction On Wednesday

(RTTNews) - The Malaysia stock market has moved lower in back-to-back sessions, sinking almost a dozen points or 0.8 percent along the way. The Kuala Lumpur Composite Index now rests just above the 1,465-point plateau although it's expected to halt its slide on Wednesday.

The global forecast for the Asian markets is cautiously optimistic, with bargain hunting expected after days of heavy selling on recession fears. The European markets were mixed and the U.S. bourses were slightly higher and the Asian markets figure to split the difference.

The KLCI finished modestly lower on Tuesday as losses from the plantations were offset by gains from the telecoms and a mixed picture from the financials.

For the day, the index lost 9.77 points or 0.66 percent to finish at 1,467.32 after trading between 1,464.86 and 1,476.23.

Among the actives, Axiata tumbled 1.65 percent, while CIMB Group added 0.69 percent, Dialog Group rose 0.44 percent, Digi.com jumped 1.85 percent, Genting slumped 1.13 percent, Genting Malaysia climbed 1.14 percent, IHH Healthcare perked 0.17 percent, INARI advanced 1.13 percent, IOI Corporation dropped 1.01 percent, Maybank eased 0.11 percent, Maxis gained 0.53 percent, MISC tanked 1.80 percent, Petronas Chemicals plunged 3.88 percent, PPB Group declined 1.60 percent, Press Metal plummeted 4.29 percent, Public Bank and Hong Leong Bank both sank 0.68 percent, Sime Darby shed 0.45 percent, Sime Darby Plantations stumbled 1.35 percent, Telekom Malaysia rallied 1.34 percent, Tenaga Nasional retreated 1.40 percent and MRDIY, RHB Capital and Kuala Lumpur Kepong were unchanged.

The lead from Wall Street suggests mild upside as the major averages opened lower, bounced back and forth across the unchanged line and finally moved into positive territory for good in the afternoon.

The Dow advanced 92.20 points or 0.28 percent to finish at 32,848,74, while the NASDAQ perked 1.08 points or 0.01 percent to close at 10,547.11 and the S&P 500 rose 3.96 points or 0.10 percent to end at 3,821.62.

The modest strength on Wall Street came as traders looked to pick up stocks at reduced levels following recent weakness. The major averages had closed lower for four consecutive session, ending Monday's trading at their lowest closing levels in over a month.

Buying interest remained somewhat subdued, however, with some traders reluctant to get back into the markets amid lingering concerns the Federal Reserve's aggressive interest rate hikes will tip the economy into a recession.

In economic news, the Commerce Department reported a decrease in new residential construction and building permits in the U.S. in November.

Crude oil bounced higher on Tuesday thanks to an improving demand outlook and a slightly weaker dollar. West Texas Intermediate rose $0.83 or 1.10 percent to $76.02 per barrel.