KLCI dips on mild profit taking, regional markets mixed

KUALA LUMPUR (Dec 4): The main index at Bursa dipped in early trade Friday on some mild profit taking against the backdrop of mixed regional markets.

At 9.05am, the FBM KLCI dipped 1.53 points to 1,626.73.

The early losers included Nestle (M) Bhd, Magni-Tech Industries Bhd, Pharmaniaga Bhd, Euro Holdings Bhd, PPB Group Bhd, Khind Bhd, Vivocom International Holdings Bhd and Pintaras Jaya Bhd.

Bloombergsaid Asian stocks began Friday in a mixed fashion as investors weighed the recent strength in global equities against signs of possible further lockdowns in the U.S., a move that could threaten the economic recovery.

The dollar held its retreat, it said.

Rakuten Trade in its daily market report said Wall Street closed higher as traders continue to digest the developments over the ongoing discussion on the US stimulus package.

The research house said the Dow Jones Industrial Average actually shot past the 30,000 mark in early session however profit taking emerged to push the index back and closed 86 points higher at the 29,970 level.

“Regional markets are expected to be mixed today from the lack of indication as the US DJI futures is flat ahead of the unemployment figures.

“Meanwhile, we expect the FBM KLCI to experience some profit taking today following a strong run up yesterday.

“As such the benchmark index is seen to trend below the 1,620 today giving the local bourse some time to digest the solid uptrend this week where the FBM KLCI had gained by some 60 points.

“If this occurs, we advise investors to accumulate on weakness,” it said.