Malaysia Stock Market May Take Further Damage On Wednesday

(RTTNews) - The Malaysia stock market has finished lower in three consecutive sessions, slipping almost 20 points or 1.3 percent along the way. The Kuala Lumpur Composite Index now rests just above the 1,470-point plateau and it's tipped to open in the red again on Wednesday.

The global forecast for the Asian markets is soft on rising concerns over the outlook for interest rates. The European and U.S. markets were down and the Asian bourses are expected to open in similar fashion.

The KLCI finished barely lower on Tuesday following mixed performances from the financials, plantations, telecoms and glove makers.

For the day, the index eased 0.01 points or 0.00 percent to finish at 1,471.55 after trading between 1,467.13 and 1,473.52.

Among the actives, Axiata added 0.65 percent, while CIMB Group declined 1.24 percent, Dialog Group gained 0.43 percent, Digi.com plunged 2.56 percent, Genting skidded 0.45 percent, Genting Malaysia retreated 1.14 percent, Hartalega Holdings tumbled 1.84 percent, IHH Healthcare slumped 0.51 percent, INARI sank 0.36 percent, Kuala Lumpur Kepong strengthened 1.06 percent, Maybank collected 0.35 percent, Maxis and Petronas Dagangan both lost 0.26 percent, MISC and MRDIY both climbed 0.97 percent, Petronas Chemicals advanced 0.71 percent, PPB Group dipped 0.12 percent, Press Metal rallied 1.25 percent, Public Bank rose 0.23 percent, Sime Darby spiked 1.38 percent, Sime Darby Plantations tanked 2.05 percent, Tenaga Nasional jumped 1.21 percent and Top Glove, Telekom Malaysia, RHB Capital, IOI Corporation and Hong Leong Bank were unchanged.

The lead from Wall Street remains negative as the major averages opened lower and continued deeper into the red as the day progressed, ending near session lows.

The Dow retreated 350.76 points or 1.03 percent to finish at 33,596.76, while the NASDAQ tumbled 225.05 points or 2.00 percent to close at 11,014.89 and the S&P 500 dropped 57.58 points or 1.44 percent to end at 3,941.26.

The extended sell-off on Wall Street reflected lingering concerns about the outlook for interest rates ahead of next week's Federal Reserve meeting.

While the Fed is widely expected to slow the pace of interest rate hikes next week, recent upbeat economic data has raised concerns about how much further the central bank will raise rates at future meetings.

In economic news, the Commerce Department released a report showing the U.S. trade deficit widened in the month of October.

Crude oil prices dropped to an 11-month low on Tuesday amid concerns about the outlook for energy demand as uncertainty and consequences of a continued Fed tightening weighed on the commodity. West Texas Intermediate Crude oil futures for January ended lower by $2.68 or 3.5 percent at $74.25 a barrel.