Malaysia Stock Market May Extend Friday's Gains

(RTTNews) - The Malaysia stock market picked up less than a single point on Friday. But that was enough to end the four-day losing streak in which it had dropped more than 25 points or 1.8 percent. The Kuala Lumpur Composite Index now rests just above the 1,400-point plateau and it's likely to accelerate on Monday.

The global forecast for the Asian markets is upbeat thanks to an apparent resolution to the U.S. debt ceiling crisis forged over the weekend. The European and U.S. markets were up and the Asian bourses are expected to follow suit.

The KLCI finished barely higher on Friday following mixed performances from the financial shares and telecoms, while the plantation stocks were soft.

For the day, the index perked 0.50 points or 0.04 percent to finish at 1,402.98 after trading between 1,397.98 and 1,405.45.

Among the actives, Axiata tumbled 1.53 percent, while CIMB Group skidded 1.21 percent, Dialog Group declined 1.43 percent, Genting dropped 1.15 percent, Genting Malaysia retreated 1.53 percent, INARI skyrocketed 9.29 percent, Kuala Lumpur Kepong sank 0.64 percent, Maxis rallied 1.18 percent, Maybank added 0.23 percent, MISC was down 0.28 percent, MRDIY slumped 1.23 percent, Petronas Chemicals and AMMB Holdings both slid 0.29 percent, PPB Group lost 0.50 percent, Press Metal spiked 1.28 percent, Public Bank collected 0.26 percent, Sime Darby fell 0.48 percent, Sime Darby Plantations stumbled 1.40 percent, Telekom Malaysia surged 1.60 percent, Tenaga Nasional jumped 1.15 percent and RHB Capital, IHH Healthcare, IOI Corporation, Celcomdigi and Nestle Malaysia were unchanged.

The lead from Wall Street is broadly positive as the major averages opened higher on Friday and remained solidly in the green throughout the session.

The Dow surged 328.64 points or 1.00 percent to finish at 33,093.34, while the NASDAQ spiked 277.59 points or 2.19 percent to end at 12,975.69 and the S&P 500 jumped 54.17 points or 1.30 percent to close at 4,205.45. For the week, the Dow slumped 1.0 percent, the NASDAQ rallied 2.5 percent and the S&P rose 0.3 percent.

Stocks benefitted from renewed optimism about raising the U.S. debt ceiling amid reports lawmakers are closing in on an agreement.

Those hopes came to fruition over the weekend when President Joe Biden and House Speaker Kevin McCarthy, R-Calif., reached an agreement in principle. It will raise the debt ceiling for two years and keep non-defense spending roughly flat for fiscal 2024.

Optimism about a debt ceiling deal overshadowed a Commerce Department report showing a reacceleration in the annual rate of consumer price growth in the month of April.

Crude oil prices climbed higher on Friday after Russia played down the prospect of additional output cuts by OPEC. West Texas Intermediate crude oil futures for July ended higher by $0.84 or 1.2 percent at $72.67 a barrel. WTI crude futures gained about 1.6 percent last week.