Sign up | Log in



Home  >>   Daily News  >>   Malaysia News  >>   Security  >>   Malaysian Stock market lower on global and local uncertainty
NEWS UPDATES Asean Affairs    12 September  2012

Malaysian Stock market lower on global and local uncertainty


The local bourse closed lower as continued speculation over the date of the general election and concerns on the global economic outlook cast a shadow on investor sentiment.

The FBM KLCI fell in tandem with markets in the region, with plantation and banking stocks among the top losers. The index shed 1.10 per cent to 1,601.31 at the midday break before regaining some ground in the second session of trade.

European markets opened lower as investors remained cautious ahead of a ruling today by the German federal constitutional court on the proposed European Stability Mechanism, a bailout fund.

JF Apex Securities Bhd deputy managing director Lim Teck Seng told StarBiz that investors were now using any excuse to sell and take profit. “The date of the elections and what may come after is what is driving the performance of the local bourse in recent weeks,” he said.

Lim said besides the election issue, funds were also selling due to worries over the global economic outlook. The country's latest trade and factory output data shows external demand remains tepid amid recession in the eurozone and slower growth in the United States and China.

OSK Research technical analyst Mohammad Ashraf Abu Bakar does not see the FBM KLCI's uptrend being threatened as long as the index does not fall below the 1,600 level.

He said it was still too early to see a downward trend, even if the index did fall below the 1,600 level. “It'll still need a lot of market movement before we see a trend and there may be another decline before the market moves up again,” Mohammad Ashraf pointed out.

However, he said there was a correlation between the market movement now and the market movement two months prior to the last general election held in March 2008.

“What is different this time around is that consumer stocks are driving the market instead of the government-linked ones. It does look like investors are moving towards stocks with fundamentals or defensive stocks,” Mohammad Ashraf said, adding that these stocks would be the ones to support market performance going forward.

Meanwhile, analysts at Alliance Investment Bank Bhd said in a research note that the rebound from the midday low was due to supportive buying when traders realised that they needed to do something to keep the index above the 1,600 psychological level followed by a close above 1,611 support level “in order to avoid panic selling.”

They said haggling in the area of the 1,611 support level could be seen in the next few days while a downside violation of the 1,600 level should see the market moving downward with an eye to test the next downside target at 1,570.

Reach Southeast Asia!
10- Nations, 560- Million Consumers
And $1 -Trillion Market
We are the Voice of Southeast Asia Media Kit
The only Media Dedicated to Southeast Asia Advertising Rates for Magazine
  Online Ad Rates

Comment on this Article. Send them to

Letters that do not contain full contact information cannot be published.
Letters become the property of AseanAffairs and may be republished in any format.
They typically run 150 words or less and may be edited
submit your comment in the box below




1.  Verifier

1. Verifier

For security purposes, we ask that you enter the security code that is shown in the graphic. Please enter the code exactly as it is shown in the graphic.
Your Code
Enter Code

Today's  Stories    10 September 2012  Subsribe Now !
• Timor Leste's Asean bid receives continued...  Subcribe: Asean Affairs Global Magazine
• Asean’s most slow moving member, Philippines Asean Affairs Premium

• Putin at APEC summit: Russia a vital partner...

Research Reports
on Thailand 2007-2008

•Textiles and Garments Industry

•Coffee industry

•Leather and footwear industry

•Shrimp industry

• Asean countries Stocks ‘At Risk’ says, ...
• Asean+3 meeting to focus on ‘Energy’
• Malaysian Stock market lower on global
• Separatists to 'cease fighting' in south ...
• Coke on sale in Burmese shops  
• First Securities Company in Vietnam punished  
• Bangkok Airways to start flying to Vientiane  
Asean Analysis              6 September 2012
Advertise Your Brand
• Asean Analysis- September 6, 2012  
• Asean Weekly- August 17, 2012 Sponsor Our Events

Asean Stock Watch     6 September 2012 

• Asean Stock Watch- September 6, 2012 p

ASEAN NEWS UPDATES      Updated: 04 January 2011

 • Women Shariah scholars see gender gap closing
• Bank Indonesia may hold key rate as inflation hits 7 percent

• Bursa Malaysia to revamp business rules
• Private property prices hit new high in Singapore • Bangkok moves on mass transport
• Thai retailers are upbeat
• Rice exports likely to decline • Vietnamese PM projects 10-year socioeconomic plan


This year in Thailand-what next?

AseanAffairs   04 January 2011
By David Swartzentruber      

It is commonplace in journalism to write two types of articles at the transition point between the year that has passed and the New Year. As this writer qualifies as an “old hand” in observing Thailand with a track record dating back 14 years, it is time take a shot at what may unfold in Thailand in 2011.

The first issue that can’t be answered is the health of Thailand’s beloved King Bhumibol, who is now 83 years old. He is the world's longest reigning monarch, but elaborate birthday celebrations in December failed to mask concern over his health. More


Home | About Us | Contact Us | Special Feature | Features | News | Magazine | Events | TV | Press Release | Advertise With us

| Terms of Use | Site Map | Privacy Policy  | DISCLAIMER |

Version 5.0
Copyright © 2006-2020 TIME INTERNATIONAL MANAGEMENT ENTERPRISES CO., LTD. All rights reserved.
Bangkok, Thailand