KLCI falls 0.37% to extend loss as Public Bank and IHH drag

KUALA LUMPUR (Jan 30): The FBM KLCI extended its loss in erly trade Thursday and fell 0.37%, dragged by index-linked stocks including Public Bank Bhd and IHH Healthcare Bhd.

At 9.05am, the FBM KLCI lost 5.80 points to 1,544.67.

The early losers included Icon Offshore Bhd, Public Bank Bhd, MISC Bhd, IOI Corp Bhd, UWC Bhd, Hong Leong Bank Bhd, Allianz Malaysia Bhd, Petronas Chemicals Group Bhd and IHH Healthcare Bhd.

Bloombergsaid treasuries rose after the Federal Reserve continued to signal policy would stay on hold and cited inflation concerns. Asian stock futures pointed to a cautious start and U.S. equities closed flat.

Ten-year Treasury yields retreated toward the lowest levels since October and traders lifted bets on a U.S. interest rate cut by November. American stocks struggled to hold on to gains and Asia was on course for modest declines amid lingering concern about the coronavirus. Earnings continue to roll in, with Facebook Inc. falling in after-hours trading following its underwhelming result. Microsoft Corp. rose as sales and profit topped estimates, it said.

JF Apex Securities Research said US markets were flat after the Federal Reserve kept interest rates unchanged.

It said that earlier, European stocks advanced as investors brushed off concerns over the Wuhan coronavirus.

“On the local market, the FBM KLCI shed 1.17 points to 1550.47 points.

“Following the uncertainty from the coronavirus outbreak, the FBM KLCI is expected to remain pressured and hover around the support of 1550 points,” it said.